Best Grants for Rural Development in Minnesota

Eligible rural public entities, nonprofits, tribes, and educational institutions in Minnesota can seek funding to support small and emerging rural businesses through technical assistance, training, and community economic development projects. Grants from USDA Rural Development help rural development efforts with uses including land and facility development, revolving loan funds, business incubators, and long-term strategic planning.

Minnesota Department of Agriculture (MDA)

The Minnesota Department of Agriculture (MDA) has served our state for more than 125 years. The work we do touches every Minnesota citizen every day. Our mission is to enhance all Minnesotans’ quality of life by equitably ensuring the integrity of our food supply, the health of our environment, and the strength and resilience of our agricultural economy.

Our three general areas of responsibility include: protecting our food supply; protecting our natural resources; and, cultivating our agricultural economy.

Agricultural Growth, Research, and Innovation (AGRI) Works Grant Program

MDA is now accepting applications from nonprofit organizations, units of governments, and most colleges and universities for the Fiscal Year 2027 for Agricultural Growth, Research, and Innovation (AGRI) Works Grant Program. The Minnesota Legislature established the AGRI Works to provide regional and statewide development, education, research, and marketing services that promote agriculture, horticulture, and rural communities. Projects must provide regional or statewide services. Project examples include but are not limited to:

• Performing research on topics relevant to rural communities across the state.
• Conducting outreach or providing education to farmers or horticultural growers.
• We will give priority to projects not eligible for other grants from the Minnesota Department of Agriculture.

Rob-See-Co is an independent seed company with regional expertise, providing customers access to leading genetics and traits through the Rob-See-Co and Innotech® seed brands. Rob-See-Co also sells Masters Choice specialty silage and forage products, as well as Streamline Ag seed-driven crop inputs. Rob-See-Co works alongside its customers, building strong relationships and helping them plant the right seed for their long-term success, while keeping the process friendly, straightforward, and simple. 

Rob-See-Co Library Grant

In recognition of National Library Day, Rob-See-Co, an independent seed company located in Elkhorn, Neb. is proud to announce the continuation of its Rural Library Grant program.

Originally launched in 2023 to commemorate the company’s 10th anniversary and honor Agnes Robinson’s dedication to the rural library in Waterloo, NE, the program continues to hold special meaning. Agnes, great-grandmother of Jim Robinson, CEO of Rob-See-Co, was a passionate advocate for rural libraries. Today, the program extends support to libraries across rural communities within the company’s footprint. 

The focus areas for grant distributions from the Rob-See-Co Rural Library Grant program will assist local libraries with expanding book collections, core educational programs for adults or children, and computer or software upgrades. Examples of this would be new books, expansion of school visits or field trips, digitizing research materials, support for funding traveling exhibits and speakers.

Rob-See-Co will award ten grants to selected rural libraries across CO, IA, KS, MD, MI, MN, ND, NE, OH, OK, PA, SD, TX and WI. Funds may be used for core educational, preservation and interpretive purposes, including collection development, facility improvements, traveling exhibits, guest speakers, staff training, programming, and publications. 

Nonprofit 501(c)(3) organizations and local governments in rural Minnesota can seek planning and implementation support for new community projects through the Laura Jane Musser Fund’s Rural Initiative Grant Program, with awards up to US $25,000. Focus areas include rural development, economic and business development, arts and culture, education, and public space improvements that engage diverse local residents.

Focused on rural development, USDA Rural Development invites Minnesota public bodies, community-based nonprofits, and federally recognized Tribes to seek funding to build, purchase, or improve essential community facilities and equipment. Rural communities under 20,000 residents, especially smaller and lower-income areas, may receive higher grant percentages toward eligible project costs.

What does this program do?

It provides loans and grants to Microenterprise Development Organizations (MDOs) to:

• To help microenterprises startup and growth through a Rural Microloan Revolving Fund.
• Provide training and technical assistance to microloan borrowers and micro entrepreneurs.

Microenterprise Development Organizations must demonstrate experience in managing a Revolving Loan Fund, or:

• Certify that it or its employees have received education and training from a qualified microenterprise development training entity so that the applicant has the capacity to manage such a revolving loan fund.
• Demonstrate that it is actively and successfully participating as an intermediary lender in good standing under the U.S. Small Business Administration (SBA) Microloan Program or other similar loan programs as determined by the Administrator.

 What kind of funding is available?

• Grants are available to provide technical assistance to rural micro-entrepreneurs or microenterprises, up to $205,000 annually. Funding at the requested level is not guaranteed, and at least 15 percent matching funds are required.

• Loans of $50,000 to $500,000 may be used for establishing a Rural Microloan Revolving Fund managed by the Microenterprise Development Organization.
• Total aggregate debt is capped at $2.5 million.

What are the loan terms?

• Maximum term is 20 years.
• Two-year payment deferral.
• Must establish a loan loss reserve fund.

What terms are required on loans to ultimate recipients?

• Up to $50,000.
• Fixed interest rate.
• Limited to 75 percent of project cost.

How may the funds be used?

Microlenders may make microloans for qualified business activities and expenses including, but not limited to:

• Working capital.
• Debt refinancing.
• Purchasing equipment and supplies.
• Improving real estate.