Awards are made to existing Kansas commercial enterprises and are based on the performance of the project. USDA Rural Development Through its Business and Industrial Loan Program, USDA guarantees loans from local lenders to businesses and industries to benefit rural areas. A primary purpose of the program is to create and maintain employment and improve the economic and environmental climate in rural communities. Any legal entity, including individuals, public and private organizations, and federally recognized Indian tribes may borrow under this program. Lenders are responsible for making and servicing the loans.
Applicants apply for loans through private lenders.
The Rural Business Cooperative Service provides zero interest loans for qualifying businesses. Industrial Revenue Bonds may be used to finance land, building and equipment. Cities may issue the bonds, but issuance is based on the ability of underlying bonds to be sold publicly or through negotiated sale. These are competitive loan applications with the amount of money available to loan at any given time being dependent on the balance in the funds at the time of application. Job retention or creation is required.