Illinois

Business Development Programs  

Rural Development’s goal is to promote a dynamic business environment and create opportunities for rural employment. We partner with private sector and community-based organizations to provide financial assistance for business planning and development. We also provide funding for technical assistance to rural businesses and cooperatives, research into rural economic issues, and renewable energy and energy efficiency projects.

Business and Cooperative Programs help fund projects that create or preserve quality jobs and/or promote a clean rural environment. The financial resources of Rural Development are often leveraged with those of other public and private credit source lenders to meet business and credit needs in under-served areas. Eligible borrowers may include individuals, corporations, partnerships, cooperatives, public bodies, non-profit corporations, and private companies.

Common Business Forms
Click Here

Business & Industry Guaranteed Loans are used to create jobs and stimulate rural economies by providing financial backing for rural businesses. Businesses apply to federal or state chartered banks, credit unions, savings and loan associations or Farm Credit System institutions. The funds can be used for most business purposes including acquisition, start-up and expansion of businesses that create rural employment (agricultural production not eligible).  Assistance is available to businesses located in areas with populations of less than 50,000 that are not immediately adjacent to large, urban areas.
Learn more about Business & Industrial Guaranteed Loans

Intermediary Relending Loans are available to public bodies, non-profit corporations and cooperatives to create revolving loan funds in rural areas and incorporated places with a population of fewer than 25,000 people. Rural Development makes loans to these intermediaries that provide loans to the ultimate recipients to develop community projects, establish or expand businesses, and create or save rural jobs.
Learn more about the Intermediary Relending Program

Rural Cooperative Development Grants are available to nonprofit corporations and institutions of higher learning to establish operating centers for the development of rural cooperatives.
Learn more about Cooperative Development Grants

Rural Business Enterprise Grants are available to public bodies and non-profit corporations to help small and emerging private business enterprises in areas with populations of less than 50,000 that are not immediately adjacent to large, urban areas. Individual small businesses are not eligible to apply. Funds can be used to buy and develop land, establish a revolving loan fund, and construct buildings, access streets, roads, parking areas, utility and service extensions, etc. that facilitate small business development.
Learn more about Business Enterprise Grants.

Rural Economic Development Loans are available to electric and telephone utility cooperatives that are eligible for financing through the Rural Utilities program to promote economic development and job creation in rural areas. The electric or telephone cooperative can make loans to for-profit and non-profit businesses and public bodies at zero percent interest for 10 years.
Learn more about the Economic Development Loans

Rural Economic Development Grants are available to electric and telephone utility cooperatives that are eligible for financing through the Rural Utilities program to promote economic development and job creation projects through the operation of a revolving loan fund program. To establish the revolving loan fund, the cooperative is required to contribute to the fund in an amount equal to 20% of the grant.
Learn more about the Economic Development Grants

Rural Business Opportunity Grants provide financial assistance to public bodies, non-profit corporations and cooperatives to finance technical assistance for business development and economic development planning in areas with populations of less than 50,000 that are not immediately adjacent to large, urban areas.  Individual businesses are not eligible to apply. The grants can be used for activities such as leadership training, business support services, and economic development planning.
Learn more about Rural Business Opportunity Grants

Value Added Producer Grants are available to independent producers, farmer and rancher cooperatives, agricultural producer groups and majority controlled producer-based business ventures. The grants can be used for planning purposes such as feasibility studies or business plans or for working capital expenses such as labor, marketing, and inventory.  The applicant must be adding value to a commodity through an eligible value-added category.
Learn more about the Value Added Program

For more information, contact a Rural Development Office near you.

USDA Rural Development is an equal opportunity lender. Click to see our non-discrimination statement.

Please send any comments or suggestions to: IL Webmaster
Revised on: April, 2009