Well, that's quite the project you're looking to start. I'm also in the Midwest and picked up a degree in engineering. (although I learned more on a 6 hour live gig than I did in a whole year there) I got together with another student and started a live sound company (just about $3k to start). We first wanted to open a recording studio, but thought better of it. The live sound avenue left us with less overhead (no rent, just a garage or basement), and we made ourselves so bloody cheap that bands lined up to use us.
Now we've grown big enough to open our own studio and we've been working long enough with the local acts to already have a good customer base to work off of. The live sound is still our bread and butter, but we're hoping to eventually sell off that side of the company in lieu of a thriving studio.
But it's tough, with every MF employee telling people they can have their own recording studio with a computer, $300 interface, and $100 mic. Without some sort of 'in' with the local music scene, you'll be hard-pressed to make enough money to cover rent. Much less pay off a loan for gear or put anything in your pocket.
I guess just think it through and realize it will take time to get customers.