We’re thrilled to announce that Pacific Community Ventures can offer capital combined with free advising to a large number of underserved smaller businesses in Alameda and Contra Costa counties because of a $350,000 Wells Fargo grant.
“Increasing use of capital is essential for that success of smaller businesses,” said Micky Randhawa, EVP and president from the Greater Bay region for Wells Fargo. “Through our Diverse Community Capital program, we use community organizations such as Pacific Community Ventures to assist small businesses start, stabilize, and grow.”
African American, Hispanic, Asian and female small business borrowers face even more complicated access-to-capital challenges and frequently lack the guidance to build up strong loan applications. PCV's borrowers are assigned a professional bono small business financial advisor to help develop a strong loan application and also have access to free-one-on-one technical assistance throughout the life of the loan, filling a major lending gap in small company support.
The funds are part of the $22.3 million in lending capital and grants Wells Fargo is providing to 15 community development organizations across the nation that provide loans, technical training and business development resources to diverse smaller businesses and underserved communities.
“Our small company lending program is filling the gap for entrepreneurs who can't access capital in the traditional banking system,” said Mary Jo Cook, President and CEO of Pacific Community Ventures. “The deck is stacked against small business owners – yet fundamental essentials people who are creating good jobs in our communities and strengthening our local economies. We have both a moral and an economic imperative to enable them to succeed. Funding from Wells Fargo will enable Pacific Community Ventures to supply diverse small businesses – women, people of color, and immigrants – access to the funding and expertise they have to grow and make good jobs.”
In the next 3 years, PCV will lend $5 million to small businesses in the East Bay. If you're in Alameda or Contra Costa counties and you've got been in business for at least one year, then PCV is eager to use you. Visit pacificcommunityventures.org/loans to find out more and make an application for funding.
Support Will Total $75 Million
Wells Fargo intends to give a total of $75 million in lending and grant capital within the next 3 years to support diverse-owned small businesses. Nonprofits interested in obtaining a grant or loan with the Diverse Community Capital program can apply from now until June 1 by visiting www.wellsfargo.com/cdfi.
Available support from the program includes:
- Grant Capital – Available to community development banking institutions (CDFIs) to build their financial, operational and human ability to serve diverse smaller businesses.
- Debt Capital – Available to CDFIs to build their lending capital for everyone diverse small businesses.
- Social Capital – Offers CDFIs support by focusing on activities for example mentorship, peer learning, marketing/outreach, underwriting and guidance on tailored products.
Our Fellow Grant and Lending Capital Recipients
“The Diverse Community Capital program is one of many ways Wells Fargo demonstrates its commitment to helping small businesses start, stabilize, and grow, and we're excited that CDFIs are showing such curiosity about the program,” said Mike Rizer, Wells Fargo's head of Community Relations. “CDFIs are essential to the success of numerous smaller businesses and the additional capital, technical assistance and other support these 15 CDFIs can provide to the diverse-owned small businesses in their communities will help make those businesses, and eventually, our communities, even stronger.”
The DCC program is a component of Wells Fargo's four-point plan, which seeks to address challenges that diverse small businesses face when starting or growing businesses. The program is a collaboration between Wells Fargo and Opportunity Finance Network, a national network of CDFIs.
The round one DCC recipients are:
- Access to Capital for Entrepreneurs, Inc. (ACE) – Atlanta, Georgia
- Albina Opportunities Corporation – Portland, Oregon
- Bridgeway Capital, Inc. – Pittsburgh, Pennsylvania
- Community Investment Corporation (CIC) – Chicago, Illinois
- CommunityWorks – Greenville, South Carolina
- Craft3 – Ilwaco, Washington
- ECDC Enterprise Development Group – Arlington, Virginia
- Forward Community Investments, Inc. – Madison, Wisconsin
- Metropolitan Economic Development Association (Meda) – Minneapolis, Minnesota
- Montana & Idaho Community Development Corporation – Missoula, Montana
- Natural Capital Investment Fund, Inc. (NCIF) – Shepherdstown, West Virginia
- Pacific Community Ventures – San Francisco, California
- Pathway Lending – Nashville, Tennessee
- The Support Center – Raleigh, North Carolina
- WWBIC, The Wisconsin Women’s Business Initiative Corporation – Milwaukee, Wisconsin
Each CDFI focuses on providing loans, technical training and business development resources that induce and sustain jobs and wealth in traditionally underserved communities and populations.
(photo by Thomas Hawk)
