Rural Business Investment Program in Michigan

Goal/purpose: This program provides a Rural Business Investment Company (RBIC) license to newly formed developmental capital organizations to help meet the equity capital investment needs in rural communities. It works with for-profit developmental capital funds.

Additional applicant eligibility criteria: Eligible applicants for the RBIC license include newly formed for-profit entities or subsidiaries of an entity. All applicants must have relevant experience in venture capital or community development financing and must raise a minimum of $10 million in private equity capital. They may be structured as limited partnerships, limited liability companies, or corporations.

Project eligibility: There are no restrictions on the location of eligible applicants for RBIC licenses, but the goal is to help fill the need for business and development capital in rural areas. A minimum of 75 percent of funds must be made in rural areas with a population of 50,000 or less. A minimum of 50 percent of funds must be invested in smaller enterprises. A maximum of 10 percent of RBIC investments may be made in urban areas.

Application process: Applications for this program are accepted on an ongoing, year-round basis.