USDA Intermediary Relending Program (IRP)

USDA Intermediary Relending Program (IRP)

Status: Active ongoing program

Geographic Scope: Rural areas in California, Nevada, and Arizona; specific California counties served

Program Partner: U.S. Department of Agriculture (USDA); administered by Statewide CDC

Focus Areas: Small businesses in rural communities needing capital for:

Commercial real estate purchase and improvement

Machinery and equipment

Plant improvements

Working capital

Farm-related and non-farm rural businesses

Program Description:
Statewide CDC partners with USDA to support economic development in rural areas through the Intermediary Relending Program (IRP). This program provides competitive business terms financing to rural small businesses, including farm-related enterprises and businesses supporting rural communities.

Key Loan Features

• Loan Amount:
- Up to $150,000 (standard) - Up to $250,000 (in special circumstances)
• Loan Terms:
- 5–10 years for most loans - 25 years for real estate (fully amortizing)
• Interest Rates: Prime + Spread (based on risk); fixed rates
• Fees: 1–2% loan origination fee, plus closing attorney fee; fees can be financed as part of the project

Eligible Uses

• Commercial real estate purchase and improvement
• Machinery and equipment
• Plant improvements
• Working capital

Eligible Communities

Rural areas – including municipalities with population less than 50,000 throughout:
• California
• Nevada
• Arizona

Specific California counties served:
Colusa, Glenn, Madera, Merced, Sutter, Yuba, Butte, Monterey, San Benito, Santa Cruz, Shasta, Siskiyou, Tehama, Yolo, Sacramento, Placer, El Dorado, San Luis Obispo, Santa Barbara, Ventura, Kern, San Bernardino, Riverside

Eligible Businesses

• Farm-related businesses: encouraged to apply
• Non-farm rural businesses: supporting rural communities
• Does not require business to be a farm operation
• Physical business address determines eligibility

Eligibility Requirements

No specific eligibility criteria detailed beyond location in eligible rural area and USDA guidelines.

Prequalification Requirements

• Business tax returns for the past three years, plus interim financial statement
• Business debt schedule
• For any owner of 20% or more ownership: personal tax returns for the last three years, plus personal financial statement
• Summary of how loan funds will be used

Success Stories

• Healing Minds: Outpatient mental health clinic in Nevada
• Play Care Learning Center: State-of-the-art preschool

Contact: 1-800-982-9192 or contact a Loan Expert