On the second day of his tour through rural America, President Obama participated in a Rural Economic Forum at Northeast Iowa Community College in Peosta, Iowa. He and members of his Cabinet joined a group of farmers, small business owners, private sector leaders, rural organizations and government officials to discuss ideas and initiatives that will spur job creation and economic innovation in small towns across the nation. In his opening remarks, the President announced several new initiatives that will promote economic growth in rural communities, including:
Helping Rural Small Businesses Access Capital
- Doubling SBA Investment Funds for Rural Small Businesses over the Next 5 Years: As part of the Startup America Initiative, the Small Business Administration (SBA) recently announced the creation of a $1 billion Impact Investment Fund through its Small Business Investment Company (SBIC) Program. The Impact Fund will invest in distressed areas as well as in emerging sectors such as clean energy. SBA provides up to a 2:1 match to private capital raised by this fund, partnering with private investors to target “impact” investments. SBA and USDA will partner together to drive $350 million of investment capital through the Impact Fund and existing SBICs into rural small businesses over the next five years, doubling the current rate of investment.
- Connecting Rural Small Businesses with Private Investment Capital: To further achieve this goal, SBA and USDA will launch a series of Rural Private Equity and Venture Capital conferences nationwide to provide a platform for connecting private equity and venture capital investors with rural start-ups. USDA, SBA, Treasury, Interior and other relevant agencies will also create rural capital “marketing teams” that pitch federal funding opportunities to private investors. These “marketing teams” will leverage existing personnel with expertise about rural funding sources across all federal departments and agencies.
Fonte: White House