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UPDATE: Half Million Dollar Loan Will Help Create Jobs

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Primghar, Iowa — Earlier, we told you that the O’Brien County Revolving Loan Fund had been given a half-million-dollar loan.

Timothy Helmbrecht, USDA Rural Development Acting State Director in Iowa announced that the O’Brien County Economic Development Corporation is receiving a $500,000 USDA loan to promote job creation opportunities in northwest Iowa.

We had a chance to talk with O’Brien County Economic Development Director Kiana Johnson, whose office administers the revolving loan fund. She says the fund is for gap financing for existing businesses looking to expand in O’Brien County or even for new businesses starting up in O’Brien County. She says the funding is great news for O’Brien County.


She tells us how much money they have available now.


She says the revolving loan fund is only for gap financing, so there is some risk involved, but things have been going well.


She says they work with all the lenders in O’Brien County, and those who borrow from the revolving loan fund need to borrow the rest of the funding through a local lender. She tells us why she thinks the program has been so successful.


To learn more about the O’Brien County Economic Development Corporation revolving loan fund, you can call Kiana Johnson at (712) 957-1313.


Original Story:
Primghar, Iowa — The O’Brien County Revolving Loan Fund has been given a half-million-dollar loan.

Timothy Helmbrecht, USDA Rural Development Acting State Director in Iowa has announced that the O’Brien County Economic Development Corporation is receiving a $500,000 USDA loan to promote job creation opportunities in northwest Iowa.

Helmbrecht says they are pleased to be assisting O’Brien County Economic Development Corporation with their efforts to create new jobs for rural Iowans. He says that working with rural communities to support new economic development opportunities is a vital component of the agency’s mission.

O’Brien County Economic Development Corporation is receiving funding through USDA Rural Development’s Intermediary Relending Program which provides one-percent-interest loans to local organizations that re-lend to businesses and for community development projects in rural communities.

Helmbrecht says the USDA funding will supplement O’Brien County Economic Development Corporation’s active revolving loan fund which has made nearly 20 loans to local small businesses in the past 12 years.

USDA Rural Development funding has assisted more than 150 active revolving loan funds throughout the state through its Intermediary Relending Program, Rural Economic Development Grant Program (funds provided to local utility organizations) and the Rural Business Development Grant Program (funds provided to a wide range of applicants to support the expansion of small and emerging private businesses in rural areas).

According to Helmbrecht, these revolving loan funds are managed by intermediaries such as rural electric cooperatives and local and regional development organizations including Consumers Energy Cooperative, North West REC and Grow Iowa Foundation, Inc.

Current revolving loan funds in Iowa have more than $25 million available to support growth opportunities for small and emerging rural businesses.

To learn more about the O’Brien County Economic Development Corporation revolving loan fund, you can call Kiana Johnson at (712) 957-1313.

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