Microlending expands in rural Nevada

Rural Nevada businesses with fewer than 10 employees have a new small business loan program available to help grow their businesses and increase profits as they create jobs and strengthen rural communities.

The Rural Nevada Development Corp. is among the first nonprofit development corporations in the nation to participate in the Rural Microentrepreneur Assistance Program, said Sarah Adler, USDA Rural Development State Director.

"RNDC will borrow funds from our agency, USDA Rural Development, to be re-lent as microloans to small businesses and entrepreneurs throughout rural Nevada. RNDC will also have funding to provide technical assistance along side the business financing," Adler said.

RNDC will receive a $500,000 loan and $103,000 grant to provide financial and technical assistance and training to rural microentrepreneurs. The development group serves businesses statewide as well as the 27 Indian tribes, with the exception of the metropolitan areas of Reno, Carson City, and Las Vegas.

It will direct the microloans to small businesses in rural areas, with loans between $500 and $50,000. RNDC has offices in Carson City, Ely and Pahrump. Their website is at www.rndcnv.org.

"In many cases, an entrepreneur needs only a small amount of money, a microloan, to get started," said RNDC Chief Executive Officer Ferrel Hansen. "This new loan program allows us to expand a program that has been limited in the past."

Along with the loans, each borrower is entitled to training and technical assistance through the Small Business Development Centers. Through this training business owners could learn how to develop a business plan, or could learn other technical skills.