Charlotte establishes new $40 million fund for small businesses
Big donors include Bank of America, Truist, and Atrium Health. The City of Charlotte is contributing $2 million.
With $40 million available, a newly established fund in Charlotte should have an impact on small businesses.
The goal of the Charlotte Small Business Growth Fund is to alleviate barriers that keep small businesses from growing. It’s especially designed for businesses that don’t qualify for traditional bank loans because of their credit history, lack of collateral, or they haven’t been around long enough.
The Fund is starting with a combined $18 million from its contributors. Repayments and money generated by investments on the loans issued will help replenish and expand the fund — which is how CLT Alliance Foundation and partners set the goal of $40 million.
The CLT Alliance Foundation helped establish the fund. Nate Hogan, the organization’s President, said the loans will equip businesses with the tools they need to be successful.
“Our hope is that they’ll be able to hire people. They’ll be able to buy these tools and technology, equipment, supplies, that will help them scale their business in a meaningful way,” Hogan said. “We hope that long-term, for some of them, it’ll help create generational wealth. They’ll have something to leave behind for folks as well.”
Big donors include Bank of America, Truist, and Atrium Health. The City of Charlotte is contributing $2 million.
Small business owners can apply for loans ranging between $1,000 and $250,000. The applications are matched with local community development groups like ASPIRE Community Capital, which decide whether to make the loan.
Like what you've read?
Forward to a friend!