USDA rural business development grants available
June 1, 2026Application window is open until June 30 for cities, local nonprofits in rural areas
The U.S. Department of Agriculture has announced $27.7 million in grants available through the Rural Business Development Grant Program (RBDG). This program provides funding for business and community initiatives that promote economic growth and job creation.
Local government entities–such as municipal utilities–and nonprofit corporations are eligible to apply.
What does this program do?
Rural Business Development Grants provide funding for business development projects, training, technical assistance, and infrastructure improvements. The program is designed to strengthen small and emerging rural businesses and support long-term community and economic development.
There are two types of RBDG projects: enterprise or opportunity grants.
Enterprise grant eligible uses:
- Training and technical assistance, such as project planning, business counseling, market research, and product or service improvements
- Buying or developing land, easements, or rights of way
- Constructing or renovating buildings, and buying machinery and equipment
- Access for streets and roads; parking areas and utilities
- Rural transportation improvement
Opportunity grant eligible uses:
- Community economic development
- Technology-based economic development
- Leadership and entrepreneur training
- Feasibility studies, business plans, and long-term business strategic planning
What are some of the grant terms?
Projects must benefit rural communities with populations under 50,000. You can use the USDA Property eligibility site to determine if your community qualifies.
There is no official maximum grant amount, but smaller requests typically receive higher priority. Many awards range from about $10,000 to $500,000. There is no cost sharing requirement.
Applications are evaluated based on factors such as job creation potential, economic need, local impact, and project readiness.
How do I get started?
Visit Grants.gov to view the application toolkit and other relevant documents. Applicants are advised to view program information specific to your state-based USDA Rural Development office to learn about local application timelines, concept paper requirements, and more.
For the current funding cycle, the RBDG program has two different closing dates:
- June 15, 2026: Strategic Economic and Community Development applications
- June 30, 2026: Remainder of applicants
RBDG applications are also accepted annually through your state Rural Development office.