A Comprehensive Guide to Excelling in Rural Business
Running a rural business is a challenging yet rewarding endeavor. Rural business owners face unique obstacles along with specific advantages. Understanding the ins and outs of this type of operation can make it easier to excel at running a rural business.
Challenges and Opportunities in Rural Business
There’s no shying away from the inherent difficulties of running a rural business. The remote nature of the positioning makes it more expensive and timely to source materials. If you’re a business relying on in-person customers, you have fewer people around who might wander into your store. Perhaps the most challenging aspect of running a rural business is finding qualified laborers from the limited market available in the surrounding area. Don’t let the obstacles of a rural business scare you away. There are nearly more advantages!
First and foremost, rural companies benefit from having plenty of space. Furthermore, that land is usually much more affordable than in a city. This allows for ongoing, sustainable growth. Besides, the internet makes it possible to stay connected with your customers no matter where they’re located. There’s also a growing trend of turning to mom-and-pop shops out in the rural areas rather than spending money at multinational companies in the city. In fact, the government even offers unique subsidies and loans for rural businesses.
Understanding the USDA Loan Program
If you’re running a rural business, you might be eligible for a government loan program through the United States Department of Agriculture. The USDA loan program provides affordable home financing designed to support individuals, couples, and families in rural and even some suburban settings. The point of the system is to promote the development of economies outside of cities by incentivizing home building and business creation in these areas.
Eligibility Requirements for USDA Loans
As with any loan program, there are some specific requirements you must meet to receive the benefits. Fortunately, these eligibility criteria aren’t too limiting. You have to be a U.S. citizen, non-citizen alien, or qualified alien in order to receive these loans. Secondly, there are specific income limits that vary by location. After all, the purpose of the USDA loan program is to help moderate to low-income families. Finally, you have to be located in specific rural regions which are defined by population density among other important factors.
Tips for Excelling in Rural Business
Know your market – Take the time to research and understand the local market.
Build relationships – Make personal connections with local business owners, community leaders, and other individuals in the rural community.
Provide quality services or products – Offer the very best in the area to encourage people to become customers.
Use local marketing strategies – Get in front of local eyes through local newspapers, flyers, local-focused sites, and more.
Resources and Support for Rural Businesses
Working with a loan professional can make it easier to determine if you meet these requirements. These experts can also support you through the application process.
For more tips about running a successful rural business, Evolve Bank can help.