SBA Regional Director Brad Zaun: Agency Working to Expand Access to Capital in Rural America

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The challenges facing rural America aren’t hard to find. Walk into any grocery store, talk to a cattle producer, or drive through a small town that’s lost a major employer, and the pressure points become obvious. But according to Small Business Administration Regional Director Brad Zaun, there’s a coordinated effort underway to change that trajectory—starting with access to capital and a renewed focus on competition in agriculture.

Zaun, who has been traveling across the Midwest where he serves Nebraska, Iowa, Missouri, and Kansas – told American Farmland Owner that the mission is simple: get resources into rural communities and remove barriers that have held small businesses back.

“I have finished up 3 in 3 states. I still have Kansas left…what we call a meatpacking roundtable,” Zaun said. “Obviously, the focus is affordability. It’s tough right now. What we’re trying to do is deploy cash, create more competition.”

Brad Zaun bio:

• Small Business Administration (Region 7) – Regional Administrator

• Master Dowel – Former Director of Sales

• State of Iowa – Former state senator

• Grapnel Tech Services – Former Director of Marketing and Sales

• City of Urbandale, Iowa – Former mayor, former city council

SBA Meat Processing Loans Aim to Increase Competition

That competition is especially critical in meat processing, where consolidation has left many producers feeling squeezed.

“We’ve got a very aggressive program for the meat processors,” Zaun explained. “These are meat processors that maybe have a dozen employees or maybe 200 employees. We’re trying to get some competition out there for the ‘Big Four.’ And quite honestly, I don’t think they play fair.”

Zaun’s comments echo a growing concern across farm country. While consumers face high prices at the meat counter, producers often see little of that upside.

“If you talk to farmers, they do all the work,” he said. “We know what we pay for our beef when we go to the grocery store, and they’re not getting a fair shake.”

90% SBA Loan Guarantees Open Doors for Rural Lenders

To address that imbalance, the SBA is backing loans with unprecedented guarantees.

“We at the SBA will guarantee 90% of the loan,” Zaun said. “That’s really going to open up the door for a lot more lenders, because they have such little risk if the loan goes into default.”

The program targets not just meat processing, but the broader food system.

“It’s basically anything that touches food in regards to production,” he said. “There’s a focus on American-made. I’m very passionate about agriculture, and I think this program is incredible. I think it will alleviate the pain we see at the grocery store.”

Addressing Meatpacking Consolidation and Farmer Profitability

Still, access to capital alone won’t solve every issue facing rural America. Structural challenges—like consolidation and global trade pressures—continue to shape the outlook for farmers and ranchers.

“First of all, you’ve really got a monopoly on the meat processing market,” Zaun said. “If we could expand that, I think that would be favorable to our cattle producers.”

Trade policy is another major variable. While tariffs have created short-term pain, Zaun believes long-term gains are coming.

“I hear that at different places where I go… businesses that have challenges in regards to tariffs,” he said. “But as I’ve told many people… it was painful for a while. But in the end, it was beneficial to people in agriculture.”

Zaun added that he expects progress on trade negotiations, particularly with China.

“I truly believe there will be announcements. And they’ll cut a deal,” he said. “In the long run, it’s going to be good for the consumer and good for people in agriculture. As my old wrestling coach used to say, ‘no pain, no gain.’”

Helping Rural Communities Recover from Plant Closures

Beyond agriculture, the SBA is also focused on helping rural communities recover from economic shocks, whether that’s a plant closure or a natural disaster.

When a major employer leaves, the agency works to coordinate a response across multiple levels of government.

“We’re bringing all of our resources together,” Zaun said. “Workforce development, job retraining, working with community colleges… and then offering workshops for people who have ever thought about owning their own business.”

That approach is playing out in places like Nebraska, where Tyson Foods shut down a 5,000 head of cattle per day, 3,000-employee beef processing plant in Lexington.

“There’s a lot… it’s a coordinated effort, which is what is most helpful,” Zaun said.

Manufacturing Growth and Rural Economic Diversification

Part of that coordination involves helping communities rethink their economic base. Zaun points to diversification, particularly in manufacturing and logistics, as a key opportunity.

“We’re seeing a surge of expansions in manufacturing,” he said. “That would be just about anything you could think of.”

At the same time, rural areas continue to face persistent gaps in essential services.

“Where you’re really hit hard is with some of the services, such as grocery stores, medical,” Zaun said. “We have a shortage in regards to physicians, and that’s a big challenge.”

Technology may help bridge some of those gaps, particularly in healthcare.

“There’s a lot of things that can be done in telehealth,” he noted. “States have done a pretty good job of deploying the resources that are needed.”

Federal Agencies Coordinating to Cut Red Tape for Small Businesses

Zaun said the administration has prioritized that federal agencies need to work better together. He said the days of siloed decision-making are being replaced with a more collaborative approach.

“It seems like there was a competition between federal agencies before,” he said. “Now… you’re all going to work together.”

That includes coordination with USDA and a stronger role for the SBA’s Office of Advocacy.

“The Office of Advocacy is there to help any business owner with any challenges with any federal agency,” Zaun said. “It could be the IRS, OSHA, EPA. We are trying to bring everybody together to solve these problems.”

The goal, ultimately, is to reduce regulatory friction and allow rural businesses to grow.

“We want to cut the red tape,” Zaun said. “We want to let businesses flourish without being harassed by a federal agency.”

For rural America, where resilience has always been a necessity, that combination of capital, coordination, and competition could prove pivotal. As Zaun sees it, the foundation is already there.

“Agriculture is the backbone of the Midwest,” he said. “And I think there’s a very bright future ahead.”

Rural families across the country hope that he is right.