Organizations call on Congress to support rural small businesses

LYONS, NEBRASKA – The Center for Rural Affairs and 22 organizations from across the country are asking Congress to support rural small businesses as lawmakers consider funding for 2027.

On Monday, the groups, representing 17 states, sent a letter to the chairmen and ranking members of the House and Senate Agriculture Appropriations Subcommittees requesting $5 million for the Rural Microentrepreneur Assistance Program (RMAP). This funding request comes ahead of lawmakers’ efforts to pass a full budget for the U.S. Department of Agriculture (USDA) out of the subcommittee, one of the first steps in the annual appropriations process that determines funding for the federal government.

According to the letter, RMAP provides much-needed support for business owners and entrepreneurs who are rebuilding rural main streets. Through RMAP, direct loans and grants are provided to Microentrepreneur Development Organizations, such as the Center for Rural Affairs, who then provide technical assistance and microloans of $50,000 or less to business owners.

“RMAP is the only federal program that finances the capitalization of microloan revolving loan funds that exclusively serve rural areas," the letter said. "This provides support to microentrepreneurs that are unable to obtain adequate capital from commercial credit or other federal, state, or local programs at reasonable rates and terms."

Kalee Olson, senior policy manager with the Center, said that, while important, loan funds are only one piece of the puzzle.

“The value of the technical assistance that accompanies RMAP loans can not be overstated,” she said. “By offering training on topics such as business planning, accounting, and marketing, intermediary lenders help ensure loan recipients are successful long after the loan has been repaid.” 

Since RMAP’s inception in 2008, the program has been used to support rural businesses in 45 states, plus the District of Columbia and Puerto Rico. This widespread interest demonstrates the program’s value and impact nationwide.

“RMAP comes at an extremely low cost when put in perspective of the entire USDA budget,” Olson said. “But the loans and training have an outsized impact on microbusinesses and the communities they serve, bringing economic opportunity and vitality to rural areas.”