Together, America Prospers

Rural Business Investment Program

What does this 

program do?

This program promotes economic 

development and creates job and 

wealth opportunities by supporting 

the equity capital investment needs 

of smaller enterprises located 

in rural areas. With the RBIP, 

USDA licenses newly-formed, 

for-profit developmental capital 

organizations as “Rural Business 

Investment Companies” (RBICs) 

which then use the equity raised 

through fund capitalization to 

make venture capital investments 

to eligible rural enterprises. 

Who can apply?

An applicant is eligible to apply for an 

RBIC license if the applicant:

• Is a newly-formed, for-profit entity 

or subsidiary of such an entity. 

Applicants can structure themselves 

as limited partnerships, limited 

liability companies, or corporations

• Has a qualified private fund 

management team with experience 

in venture capital or community 

development financing

• Will invest in enterprises that will 

create job and wealth opportunities 

in rural areas, with an emphasis on 

smaller enterprises

How can funds be invested?

• At least 75 percent of RBIC 

investments (measured in dollar 

amounts invested) must be made in 

rural areas. A “rural area” is defined 

as “outside a standard metropolitan 

statistical area, or in a community 

with a population of 50,000 or fewer.”

• Up to 10 percent of RBIC investments 

(measured in dollar amounts 

invested) can be in urban areas. An 

“urban area” is defined by the U.S. 

Census as having a population of 

150,000 or more.

• To find out whether your investment 

location is in a qualified area, visit the 

USDA Rural Development eligibility 

map at this link: https://go.usa.gov/

xSNQy, and then click the hyperlink 

associated with “Rural Business 

Investment Company (RBIC).” 

• To determine whether a business 

qualifies as a “rural business concern” 

eligible for an investment, an RBIC 

will determine whether the location 

with the business’s greatest number 

of employees is in a rural area.

• More than 50 percent of RBIC 

investments (measured by dollars 

invested) must be in “smaller 

enterprises — those with a maximum 

net worth of $6 million, and net 

income of $2 million — in the 

previous two years.

How do we get started?

Applications are accepted annually, 

and based on a Notice of Solicitations 

of Applications (NOSA) posted in the 

Federal Register, available at this link: 

https://www.federalregister.gov/.

Who can answer questions?

Send your questions to RBIP@usda.gov. 

What governs this program?

• Code of Federal Regulations 7 CFR 

Part 4290, available at this link: 

https://go.usa.gov/xSNPz, and the 

Food, Conservation and Energy Act 

(Farm Bill) of 2008, available at this 

link: https://go.usa.gov/xSNEj.

NOTE: Because information is subject to change, always consult official program 

instructions or contact your local Rural Development office for help. A list is available 

at this link: https://go.usa.gov/xJHPE. You will find additional resources, forms, and 

program information at https://rd.usda.gov. USDA is an equal opportunity provider, 

employer, and lender.

Last Updated August 2022