SW Minnesota Initiative Foundation awarded funding to assist small businesses

(WASHINGTON, DC) - U.S. Rep. Collin Peterson today announced that the Southwest Minnesota Initiative Foundation, based in Hutchinson, has been awarded a $500,000 loan and a $105,000 grant from USDA Rural Development to assist small businesses.

“Encouraging these small businesses to stay in rural Minnesota or start businesses here is an important part of keeping our small communities viable.”

The funding was awarded through the Rural Microentrepreneur Assistance Program (RMAP) and is the first of its kind awarded in Minnesota. The loan dollars are to be used to establish a revolving loan fund to assist startup small businesses, and the grant dollars will be used to provide technical assistance to borrowers.

The RMAP program was created in the 2008 Farm Bill to help new and existing rural microentrepreneurs obtain capital for their businesses when they are unable to get loans from other sources.

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