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Rural Small Business and Entrepreneurship Loan Fund

 

Rural Small Business Loans
$500 – $20,000

Rural business. Microenterprise. Affordable. Business assistance. Alternative lender.


Working capital, equipment and machinery, remodeling, signage, and more…


Loan
Amount
Monthly payment* # of
Months

$2,500 $141 18

$7,000 $162 45

$10,000 $175 60

$20,000 $351 60

*estimated payments

 

  • Below prime interest rate
  • Up to 5 yr. Repayment Term
  • No prepayment penalty
  • 2% Closing fee

 

Loan Amount:
Interest Rates:
Term(Years):
Monthly Payment:

 

 

 

  • Existing and Startup Business in Tennessee
  • Business located in rural area.
    Check now.
  • Fewer than 10 employees
  • Current on all bills - personal and business
  • No open bankruptcies
  • Collateral - yes

This institution is an equal opportunity provider.

Apply for a Rural Small Business Loan.

These small loans give businesses a chance to succeed. It’s about businesses and communities. When a loan is repaid, another business gets the chance to increase its income and hire employees.


Working capital, equipment and machinery, remodeling, signage and more…

 

 

  • 2% points below the prime interest rate with a base of 1%, fixed
  • Up to a 5 yr. Repayment Term
  • No prepayment penalty
  • 2% Closing fee
Loan
Amount
Monthly payment* # of
Months

$2,500 $141 18

$7,000 $162 45

$10,000 $175 60

$20,000 $351 60

*These are estimates and depend on the prime interst rate at the time of approval.

  • Strength of the business and financial plan
  • Experience of the business owner(s)
  • Applicant(s) personal credit history and available collateral

 

Complete the loan application package and return it by email or regular mail when it’s ready.

 

The package includes:

  • Introduction letter
  • Checklist
  • Application for company (page 1)
  • Application for each owner (pages 2 - 4)

 

Download pdf

Download Application

 

To request a hard copy or a Word version of the application call 1-800-872-7201 or email ecd.bero@tn.gov.

  • Existing and Start-up Business, including part-time and home-based.
  • Business must be located in a rural area.
    Check now. Click “Accept” and type in the address of the business.
  • Fewer than 10 employees including the owners.
  • Current on all bills, personal and business.
  • No excessive credit card debt.
  • No open bankruptcies or liens.
  • Collateral: Up to $5,000 is case-by-case; over $5,000 requires collateral. All collateral offered must be owned in full by the borrower(s).

All businesses must be located and licensed in Tennessee.


On average, a decision will be made within three to four weeks once all documentation is received. If approved, please expect up to four to six weeks to receive the loan proceeds. While the time may be shorter, we have to give the outside estimate.


The policy for collections and write-offs for the TNECD-BERO Microloan Program can be found here.



If you haven’t already, be sure to check your credit before you apply for any loan. You are entitled to get a free credit report each year at AnnualCreditReport.com.


Your credit isn’t quite what you would like it to be? There are resources to help you!
The Consumer Affairs Division of the Tennessee Department of Commerce and Insurance and the Federal Trade Commission’s Consumer site offer resources on how to manage and repair credit.


 

The Rural Small Business and Entrepreneurship Loan Fund received seed funding from USDA Rural Development of Tennessee.

This institution is an equal opportunity provider.

Real People. Real Stories. Real Success.

Funded businesses so far…
coffee vendor . travel . bed and breakfast . ecommerce . bee products . fine craft artist . children’s clothing florist . equine therapy . wholesale bakery . salon and spa . home inspection . bbq


A Cut Above the Rest

 

“My clients are No. 1, and it’s an amazing feeling when you are able to help another stylist achieve success.”

Stephanie Cofer, Owner

 

Read the full story here or visit their website.


Starting from Scratch

 

“We began production with one convection oven, one stainless steel table, a small mixer and several sheet pans.”

Laurie Pavlou, Co-owner

 

Read the full article here or visit their website.


Barbeque Dreams Come True

 

“Phil was born and raised here and wanted to retire here. We decided if we didn’t give it a go we probably would not have the opportunity again.”

Dianna Pipkin, Co-owner

 

Read their bbq story here or visit their website.


Recipe for Success

 

“One of the best things I did with the BERO funding I received was finding and hiring a qualified graphic designer to create a brand for our products.”

Diane Ravens, Owner

 

What’s the buzz about? Find the full article here or visit their website.


T and C Corporation

 

U.S. Veteran Ted Dunn launched a new career as an entrepreneur after a 30-year career with General Motors. Ted is the inventor of a multi-purpose trailer hitch that provides a one-stop hook-up. With the help of TNECD's BERO office, Ted was able to successfully launch his product.

 

Find the full article here or visit their website.


Check back for stories about other rural Tennessee businesses… one might even be your neighbor!


 

State Resources:

Federal Resources:

 

This institution is an equal opportunity provider.