Rural Business & Cooperative Program

Rural Business Programs

Creation of viable new and improved businesses and cooperatives in rural America is a top priority of USDA. It works through partnerships with public and private community-based organizations to provide financial assistance, business planning and technical assistance to rural businesses. It also conducts research into rural economic issues, including those affecting rural cooperatives.

Under the Business and Industry (B&I) Guaranteed Loan program, USDA guarantees up to 80 percent of a loan made by a commercial lender to start or expand a rural business or cooperative. The B&I program reduces the risks faced by private lenders and raisers their lending limits. USDA also offers direct B&I loans to some applicants who cannot obtain credit from other sources to start a business.

USDA provides technical assistance, research and educational materials to help improve the performance of the nation's cooperatives. Through various information products, it promotes greater public understanding of the use of the cooperative business system. By working together for their mutual benefit in cooperatives, rural residents are often able to reduce costs for production supplies and consumer goods, obtain services that might otherwise be unavailable and achieve greater returns for their products.

Programs for Rural Businesses and Rural Cooperatives

USDA Rural Development's Rural Business-Cooperative Programs delivers a variety of assistance to rural businesses and communities. All of them work in financial partnership with local economic organizations -- banks and lenders, economic development groups, local revolving loan funds, universities, cities, counties, tribes, and utility cooperatives.

• Business and Industry Guaranteed Loan 

• Intermediary Relending Program

• Rural Business Enterprise Grant

• Rural Cooperative Development Grant

For more information contact a representative from the Rural Business & Cooperatives Staff.