On May 28, the U.S. Small Business Administration (SBA), in consultation with the U.S. Treasury Department, announced it is setting aside $10 billion of Round 2 PPP funding to be lent exclusively by community development financial institutions (CDFIs). CDFIs work to expand economic opportunity in low-income communities by providing access to financial products and services for local residents and businesses.
NMSDC recently surveyed its certified MBEs and learned as of two weeks ago, more than 60% of those surveyed had not yet received their funding, leading to frustration and disillusionment about the prospect of receiving PPP support.
“We have been thoroughly investigating a range of options for helping MBEs secure the much-needed PPP funding,” said Adrienne Trimble, NMSDC president and CEO. “After receiving the survey results, I knew it was time for NMSDC to take care of our own and so I began making calls.”
Among Trimble’s first calls was to Dave Steward, chairman and founder of World Wide Technology, one of the largest African American-owned businesses in the U.S. and the largest NMSDC-certified MBE. World Wide Technology was among the first certified MBEs to receive funding from NMSDC’s BCF and the first to repay its loan.
“Dave quickly connected us with Orvin T. Kimbrough, chairman and CEO of Midwest BankCentre,” Trimble continued. “Our organizations share similar passions and philosophies about supporting minority business, which makes it especially exciting to launch this partnership between NMSDC’s Business Consortium Fund and the Midwest BankCentre.”
“Midwest BankCentre has a strong commitment to reinvesting in our communities and ensuring we all have the tools to have the best shot at winning,” Kimbrough said. “This collaboration is even more important given the current economic challenges impacting small business, and to a greater degree, minority-owned businesses.”
“The NMSDC Business Consortium Fund is perfectly positioned to support MBEs in successfully accessing PPP funding. Our staff is trained and ready to work with MBEs on their specific needs when it comes to accessing this critical funding,” said G. Winston Smith, BCF president and COO. “We have created an efficient application process, and we are eater to work with Midwest BankCentre to break down barriers and facilitate MBE access to the PPP funds.”
If you are a minority business still in need of PPP funding, click here to begin your application process.