How the Revolving Loan Fund Works

In this episode of the Econ Dev Show, Dane Carlson talks with Tim Hanigan, CEO of the Aberdeen Development Corporation in Aberdeen, South Dakota, about how a rural community of 30,000 punches above its weight in economic development.

Tim explains how Aberdeen leverages entrepreneurship, regional workforce draw, and value-added agriculture to build one of the most diverse micropolitan economies in the U.S. The conversation dives into practical tools like revolving loan funds, shovel-ready site development, and tight-knit community coordination, along with lessons learned from winning and losing projects.

Tim also shares how rural economic developers must wear many hats, from childcare advocacy to housing and workforce development, and why knowing your limits and leaning into your strengths is key to long-term success.

10 Actionable Takeaways for Economic Developers

1. Build your own toolbox early - Start small with tools like a revolving loan fund. Even modest contributions compound into real leverage over time.
2. Have product ready before the prospect shows up - Shovel-ready sites win deals. If you're waiting until an RFI arrives, you're already behind.
3. Sell your labor shed, not just your city limits - Expand your workforce story to include the full commuting region, not just population within city boundaries.
4. Be honest about fit upfront - Disqualify bad-fit projects early. It saves time, builds credibility, and focuses your effort on winnable deals.
5. Use speed as a competitive advantage - Quick answers, quick coordination, and quick decisions often beat larger incentive packages.
6. Coordinate like one team, not multiple agencies - Eliminate friction between city, county, utilities, and partners so companies feel like there's "no wrong door."
7. Invest in local companies, not just recruitment - Expansions from existing businesses can absorb sites faster and more reliably than outside recruitment.
8. Treat workforce, housing, and childcare as core infrastructure - These are not side issues. They directly determine whether companies can hire and grow.
9. Lean into what you actually do well - Don't try to win every project. Focus on industries and company sizes that match your real strengths.
10. Own the outcome, even when you lose - Some deals fall apart for reasons outside your control. Learn what you can, adjust where possible, and keep moving.

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Special Guest: Tim Hanigan.

Sponsored By:

• Sitehunt: If your property data is scattered or out of date, you're losing projects. Sitehunt gives economic developers an AI-powered property database and instant RFI responses. Schedule a demo today!

Links:

• Tim Hanigan | LinkedIn
• Aberdeen Development Corporation | South Dakota
• Properties | Aberdeen Development Corporation
• Aberdeen Development Corporation | LinkedIn
• Aberdeen Development Corporation | Facebook
• Extreme Ownership by Jocko Willink — "Extreme Ownership by Jocko Willink is my favorite book because the core idea, which taking full responsibility for outcomes, fits perfectly with leadership in a rural community. In smaller towns, there’s no one else to blame and no one else coming to fix things for you. If something isn’t working, you own it and you figure it out."