USDA Rural Development has Financing Available for Rural Kansas Businesses
- Published on Monday, 27 January 2014 11:51
The B&I Program finances business expansions or development of new businesses in rural areas or cities less than 50,000 population.
The Agency provides a guarantee for quality loans and because of this guarantee, lenders can offer businesses more flexible terms enabling expansions and profitability.
Since 2009, USDA Rural Development in Kansas has provided $63 million in loan guarantees to rural businesses.
B&I funds may be used for:
- Financing business and industrial construction, conversion, acquisition or modernization;
- Purchase and development of land, equipment, facilities, machinery, supplies or materials; or
- Debt refinancing.
USDA Rural Development's B&I Loan Guarantees:
- 80 percent loan guarantee for loans of $5 million or less
- 70 percent for loans between $5 million and $10 million
Guaranteed loans have a 3 percent guarantee fee at closing and a .5 percent annual renewal fee.
For more information on USDA's Business & Industry Guaranteed Loan Program and other USDA Business Programs, contact a USDA Rural Development Business Program Specialist in Kansas.Read More Local News