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RURAL CAPITAL NETWORK EXPANDS SERVICE
TO YUBA AND SUTTER COUNTY
ENTREPRENEURS AND INVESTORS

Last month the Rural Capital Network (RCN) was expanded to include Yuba and Sutter Counties. Officially launched earlier this year in 15 Northern California counties, the RCN was formerly Rural Venture Capital Network, an arm of Tri-County Economic Development Corporation, a Chico-based development and finance corporation also associated with CSU Chico, and Chico=s College of Business. The RCN is being offered in partnership with the Yuba-Sutter Economic Development Corporation, also offering business financial and technical assistance services.

RCN links entrepreneurs in need of capital with high-net-worth individuals and corporations seeking equity investment opportunities. Pioneering what is traditionally an urban concept, the organization is the first of its kind in rural America and matches investors from across the nation with entrepreneurs located in 22 counties throughout Northern California.

The rural areas of Northern California are home to thousands of entrepreneurs, start-up ventures and small businesses with innovative ideas just waiting to be discovered "offering investors a wealth of opportunity," said Martin Sorensen, program manager for RCN. Since our launch in January, we have already received approximately 329 inquiries from entrepreneurs and investors B a very promising start. We hope to increase that number with interest from entrepreneurs and investors in Yuba and Sutter Counties.

RCN manages a confidential database comprised of investors. It includes detailed information on their investment criteria, and entrepreneurs, complete with a business plan and financial projections. Both parties fill out applications and pay registration fees ($250 for entrepreneurs and individual investors and $500 for institutional investors). To introduce RCN, the $250 registration fee for entrepreneurs and individual investors will be waived for a limited time.

An innovative, two-stage computerized process is then used to match the investor with the business investment opportunities that meet the criteria specified in their application. Once matches are made through the computer, RCN sends investors profiles on those businesses that meet their criteria. If there is an interest in pursuing the investment, an introduction is made. From that point, the two parties work together directly, and RCN's role is completed.

Ten years ago, prior to the formation of the RCN, the Tri-County Economic Development Corporation assisted a small beer brewing company in Northern California. "Today, Sierra Nevada Brewing Company is one of the largest breweries in the nation, currently undertaking a multi-million dollar expansion," added Sorensen. Success stories like this are a testament to the power of entrepreneurs and investors working together for a common goal and just another example of the gems that can be found in the rural areas of our state.

RCN is a division of the Tri-Counties Economic Development Corporation, a federally recognized Economic Development District, affiliated with the United States Department of Commerce Economic Development Administration. To receive a RCN Application Packet or for more information, call the Yuba-Sutter Economic Development Corporation at (530) 751-8555.