Renew Rural Iowa deemed successful after first year
Source: BrownfieldNetwork.com, by Peter Shinn
November 29, 2007
A little more than a year ago, the Iowa Farm Bureau Federation (IFBF) allocated $3 million for its Renew Rural Iowa program, an ambitious effort to find, mentor and fund job-creating businesses in rural Iowa. Other companies quickly contributed money to the effort. And the $3 million quickly grew into two separate pools worth a total of $22.5 million. Now, Renew Rural Iowa has pegged four companies for funding.
Dave Sengpiel is investment manager for IFBF. He told Brownfield after a year-long process that began with basic business seminars for interested entrepreneurs, nearly two dozen companies are in line for funding through Renew Rural Iowa.
"We had nearly 600 people statewide that attended our day one seminars and then nearly half that many attended the more in-depth day two," Sengpiel said. "Of that, 20 companies are now in the pipeline for review for financial assistance from the two funds."
Curt Nelson runs Renew Rural Iowa’s Entrepreneurial Development Center. He pointed out many of the companies helped through the program needed something other than money.
"Some of them already have traditional debt funding and they just need business improvement tools - they don't need an outside equity investment," Nelson explained. "So when you look at all the business you can help, you're helping an awful lot more than just the ones you fund."
Sengpiel says the IFBF Board of Directors approved Renew Rural Iowa as a three-year initiative. After year one, both Sengpiel and Nelson said they’re hopeful the board will extend the program well beyond its initial commitment.
