Minority Loans – Feminaust http://feminaust.org/ Tue, 20 Jul 2021 02:33:36 +0000 en-US hourly 1 https://wordpress.org/?v=5.7.2 https://feminaust.org/wp-content/uploads/2021/04/cropped-icon-32x32.png Minority Loans – Feminaust http://feminaust.org/ 32 32 Social and financial capital: the ingredients that black women entrepreneurs lack https://feminaust.org/social-and-financial-capital-the-ingredients-that-black-women-entrepreneurs-lack/ https://feminaust.org/social-and-financial-capital-the-ingredients-that-black-women-entrepreneurs-lack/#respond Mon, 19 Jul 2021 22:09:00 +0000 https://feminaust.org/social-and-financial-capital-the-ingredients-that-black-women-entrepreneurs-lack/ The business of an average black woman earns only 11% of the revenue generated by businesses owned by white women. (WOCinTech Chat / Flickr) Black women are driving America’s entrepreneurial boom by creating six times as many businesses as the average and creating 1.4 million jobs, according to the Center for American Progress. Latin women […]]]>


The business of an average black woman earns only 11% of the revenue generated by businesses owned by white women. (WOCinTech Chat / Flickr)

Black women are driving America’s entrepreneurial boom by creating six times as many businesses as the average and creating 1.4 million jobs, according to the Center for American Progress. Latin women also make a significant contribution, with 944,000 businesses and $ 65.5 billion in annual revenue. This increase in entrepreneurship indicates that women are seeking alternatives to the traditional workforce to establish their economic self-sufficiency, instead seeking business ownership as a tool for wealth creation.

But even though black women are starting businesses at a rapid pace, their businesses generate less income, stay smaller, and have a higher failure rate.

Most women-owned businesses are smaller operations with lower growth rates than those owned by men, according to a report published by the US Small Business Administration (SBA). Plus, the business of an average black woman earns only 11% of turnover earned by businesses owned by white women. Hispanic women’s businesses earn just 28 percent.

Access to capital remains a significant barrier, preventing women-owned businesses from taking advantage of attractive opportunities and, in some cases, even starting up.

A history of social and racial inequalities means that women of color often operate at a disadvantage. For example, they have less access to capital due to wealth disparities and credit discrimination. Women of color also have fewer mentoring and training opportunities, which also means they tend to have less social capital (think: friends, colleagues, and strategic allies who can help them close deals).

Data from 2016 Federal Reserve Small Business Credit Survey (SBCS) confirmed that black-owned businesses are less likely than white-owned businesses to obtain funding approval and are more likely to be discouraged from applying for funding. The report also found that businesses operated by people of color are more likely than white-owned businesses to seek funding from non-bank online lenders, such as OnDeck Capital, CAN Capital and Kabbage. Women and minority business owners typically pay higher interest rates and are often denied loans from traditional banks, the SBA’s advocacy office has confirmed.

During Racism and the economy: focus on entrepreneurship, an online event hosted by the Atlanta Fed, I was touched by a story from Carmen Tapio, founder of North End Teleservices, LLC. Tapio operates his business in a corporate zone – an impoverished area that offers incentives like tax breaks to encourage business investment and create jobs – in a predominantly black community in Nebraska. It employs 425 people. Despite a 30-year business relationship with his bank and a stellar credit history, Tapio was unable to get his PPP loan processed. She was also refused a $ 10,000 line of credit without any reason being given.

Women of color are also cut off from investment opportunities. According to a 2020 PitchBook report, women of color receive only 2% of venture capital funding. The venture capital world itself is still predominantly white and male.

Let’s face it: a business cannot grow or develop without a variety of credit resources, especially if the business owner is considering pursuing procurement opportunities. Entrepreneurs need a constant cash flow to keep their business operational and support the business in times of crisis.

Lack of access to capital underscores the essential role of community development finance institutions (CDFIs). CDFIs are non-profit organizations strategically serving struggling communities by providing business owners with loans, training, and technical support through funds provided by the federal government, commercial banks, and for-profit foundations. non-profit. Through CDFIs, entrepreneurs can obtain low-interest loans that provide essential working capital to start and grow their businesses. (Small business owners interested in finding a CDFI can use this locator.)

Access to networks is one of the main problems facing women entrepreneurs. Without a legacy network, it is difficult to expand the reach, visibility and brand awareness of a business, resulting in missed opportunities.

In his report, Black Women’s Startups, Dell Gines collected information from 34 black women entrepreneurs. The participants said they wanted or would recommend four things be available for black women startups:

  1. access to general and specific knowledge of the company,
  2. mentoring,
  3. peer engagement, and
  4. financial ressources.

Impediments to access to capital hamper the success of women and minority-owned businesses. The result is a snowball effect of inequality.

Despite the challenges, minority women still succeed in business, which in some cases is necessary for economic survival due to the lack of employment opportunities. The COVID-19 pandemic has created a new shock of uncertainty for women-owned and minority-owned businesses, creating a critical need for support, preferably delivered through a coordinated system of services that respond to challenges unique challenges facing underserved entrepreneurs.

In the meantime, the women themselves are rising to the challenge. Black Girl Ventures provides founders who identify black and brunette women with access to the community, capital and capacity to help them reach business milestones that lead to economic advancement through entrepreneurship. Backstage Capital, founded by Arlan Hamilton, invests in companies led by under-represented founders of color.

Since its creation in 1999, the Entrepreneurial Opportunity Project for Women (WEOP) has been dedicated to promoting the economic advancement of minority women with innovative programs and model projects that connect women to new opportunities for business expansion and growth globally. The women change the narrative with a movement by “starting theirs”.

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Ukraine’s hesitant efforts to privatize state-owned banks https://feminaust.org/ukraines-hesitant-efforts-to-privatize-state-owned-banks/ https://feminaust.org/ukraines-hesitant-efforts-to-privatize-state-owned-banks/#respond Sun, 18 Jul 2021 19:20:19 +0000 https://feminaust.org/ukraines-hesitant-efforts-to-privatize-state-owned-banks/ Customers pictured at a branch of Privatbank in Kiev. (REUTERS / Valentyn Ogirenko) As of July 2021, the Ukrainian state owned more than half of the total assets of the Ukrainian banking sector. The government has formally committed to drastically reducing its stake in the sector, but progress towards this goal has so far been […]]]>


Customers pictured at a branch of Privatbank in Kiev. (REUTERS / Valentyn Ogirenko)

As of July 2021, the Ukrainian state owned more than half of the total assets of the Ukrainian banking sector. The government has formally committed to drastically reducing its stake in the sector, but progress towards this goal has so far been extremely slow.

The government’s current strategy sets a target of reducing the state’s share in the Ukrainian banking sector to 25% by 2025. However, the government has already failed to achieve similar targets on several occasions. which has led to repeated reviews of the official privatization strategy. . Understandably, many observers are now questioning whether the current plan is achievable.

The first version of the Ukrainian government’s banking sector privatization strategy was drawn up in February 2016. At this stage, the state banks Oschadbank, Ukrgasbank and Ukreximbank were not profitable and often needed additional capital from the budget of state due in part to the large existing portfolios. non-performing loans (NPL).

The reasons for this unusually high share of non-performing loans in Ukrainian state-owned banks include mismanagement and corruption. At this initial stage, the government’s strategy involved the formation of independent supervisory boards to prepare banks for privatization.

The situation changed dramatically in December 2016, when the Ukrainian authorities were forced to nationalize the country’s largest bank, Privatbank, in order to ensure the stability of Ukraine’s banking sector. The move boosted the government’s share in the banking sector from around 26% to 55%. Inevitably, the nationalization of Privatbank meant that the government’s initial privatization strategy had to be revised.

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The updated plan identified a new timeline for steps towards a reduction in the state-owned share in the banking sector. Ukrgasbank was chosen as the first bank to be privatized. In line with the government’s strategy, the International Finance Corporation (IFC) would acquire a 20% stake in the bank by the end of 2018 and identify a strategic investor for an additional 75% stake in the bank by the end of 2018. January 2020.

At the same time, the European Bank for Reconstruction and Development (EBRD) would take a 20% stake in Oschadbank by mid-2020, this share rising to an unspecified amount by 2022. The Council of Ministers was also committed to finding a minority shareholder for a 20% stake in Ukreximbank by 2021. The privatization plan also provided for the sale of Privatbank by mid-2022.

This ambitious strategy would have reduced the share of state-owned banks in Ukraine from 55% to 24%. Unfortunately, the slow pace of reforms in the country and the turmoil caused by the 2019 presidential and legislative elections meant that none of the goals set out in the government’s revised strategy were actually achieved. Then came Covid-19 and other disruptions.

The most recent update of the government’s privatization plans for the Ukrainian banking sector was approved by the Cabinet of Ministers in August 2020. In the latter document, the deadline for the reduction of government participation in the banking system has been pushed back considerably to 2025. However, even this much more modest target date can be overly optimistic. Privatization still faces a number of major obstacles which make it very doubtful that real progress is possible.

One of the main problems is the dysfunction of the Ukrainian legal system. This is a huge red line for international investors. Without credible guarantees of the rule of law, it will be difficult to attract the type of investment necessary for successful privatization. Since 2014, Ukraine’s various attempts at judicial reform have repeatedly failed or failed to convince.

Question marks also remain about the independence of the National Bank of Ukraine. This is crucial for the effective regulation and functioning of the entire banking sector. Unless they receive guarantees about the independence of the country’s central bank, serious investors are unlikely to view Ukraine’s banking sector as a viable option. Concerns about political interference in the work of the NBU first surfaced in mid-2020 with the sacking of the widely respected central bank governor amid accusations of government pressure, while the alarm s ‘is further increased following a series of resignations from the NBU in the summer of 2021.

Another obstacle to the Ukrainian government’s banking sector privatization plans is the current state of the country’s economy. While Ukraine recorded four consecutive years of stable but unspectacular GDP growth from 2016 to 2019, the economy shrank by 4% in 2020 mainly due to the negative impact of the Covid-19 pandemic. While most sources predict a return to solid growth in 2021 and beyond, investors are likely to remain cautious after the disappointing economic performance of 2020. This is especially true given the slow progress of the economy. Ukraine in the country’s vaccination campaign and the potential for a new pandemic. -the linked lapels.

Meanwhile, some skeptics are still not convinced that the current government has the political will to proceed with privatization. They argue that Ukrainian state-owned banks will not be sold anytime soon as they are a very practical instrument for financing the country’s budget deficit.

In light of these challenges, it is easy to understand why doubts persist about the credibility of Ukraine’s latest bank privatization strategy. While few members of the government or the banking sector would question the need to reduce excessive state participation in Ukraine’s banking sector, progress towards privatization remains elusive. This is bad news for the banking industry itself and for the economy as a whole. It also means that Ukraine is not meeting an important reform target set by the IMF.

Mark Savchuk is the head of the Civil Oversight Committee of the National Anti-Corruption Office of Ukraine (NABU).

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Urban League of Greater Madison Receives $ 400,000 Grant for Future Black Business Hub Tenants | Local News https://feminaust.org/urban-league-of-greater-madison-receives-400000-grant-for-future-black-business-hub-tenants-local-news/ https://feminaust.org/urban-league-of-greater-madison-receives-400000-grant-for-future-black-business-hub-tenants-local-news/#respond Sat, 17 Jul 2021 13:40:00 +0000 https://feminaust.org/urban-league-of-greater-madison-receives-400000-grant-for-future-black-business-hub-tenants-local-news/ On Friday, press conference attendees got a glimpse of what the building might look like. The hub is slated to have a two-story entrance atrium with space for primary tenants and a restaurant, business kiosks, coworking, and community uses. JLA ARCHITECTS The design includes a two-story entrance atrium, space for primary tenants and a restaurant, […]]]>


On Friday, press conference attendees got a glimpse of what the building might look like.






The hub is slated to have a two-story entrance atrium with space for primary tenants and a restaurant, business kiosks, coworking, and community uses.


JLA ARCHITECTS


The design includes a two-story entrance atrium, space for primary tenants and a restaurant, fourth-floor community room, coworking space and other features, said Rafeeq Asad, director of development for the team and vice-president at JLA Architects.

Asad, who is the lead co-designer on the project, said the hub’s appearance is inspired by “black aesthetics” or design principles “indicative of black culture,” such as angularity, boldness of colors, interior-exterior connections, and certain rhythms and patterns.

“We knew what this project is and what it was for and we wanted the architecture to support it,” said Asad.

Madison moves to buy South Side Mall for future redevelopment

In addition to the WEDC grant, the Urban League also announced on Friday another state grant – $ 185,000 from the Wisconsin Department of Workforce Development – to support its professional training program with Exact Sciences to prepare participants. to potential jobs at the growing Madison-based medical diagnostics company. .

Anthony said the accelerator fund and the training partnership are “key to eliminating dramatic racial wealth disparities” in Dane County.



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CIP sells minority stake in Taiwanese duo https://feminaust.org/cip-sells-minority-stake-in-taiwanese-duo/ https://feminaust.org/cip-sells-minority-stake-in-taiwanese-duo/#respond Thu, 15 Jul 2021 09:19:18 +0000 https://feminaust.org/cip-sells-minority-stake-in-taiwanese-duo/ Copenhagen Infrastructure Partners (CIP), on behalf of the Copenhagen Infrastructure II K / S (CI-II) and Copenhagen Infrastructure III K / S (CI-III) funds, has reached an agreement to sell a 25% stake in the Taiwanese company 595MW ChangFangand Xidao(CFXD) from offshore wind farms to Global Power Synergy Public Company Limited (GPSC). GPSC will acquire […]]]>


Copenhagen Infrastructure Partners (CIP), on behalf of the Copenhagen Infrastructure II K / S (CI-II) and Copenhagen Infrastructure III K / S (CI-III) funds, has reached an agreement to sell a 25% stake in the Taiwanese company 595MW ChangFangand Xidao(CFXD) from offshore wind farms to Global Power Synergy Public Company Limited (GPSC). GPSC will acquire the interest through its wholly owned subsidiary, Global Renewable Synergy Company Limited (GRSC).

CI-II and CI-III will continue as majority co-owners of the project and lead the construction phase towards commercial operation in 2024.

GPSC is a subsidiary and an innovative energy flagship of PTT Public Company Limited (“PTT”), Thailand’s largest energy company. By partnering with GPSC, CFXD also contributes to the new policy towards southern Taiwan by strengthening cooperation between Taiwan and Thailand in the field of renewable energies.

Located 13-15 km off the coast of Changhua County in Taiwan, the CFXD wind farm has a planned capacity of 595 MW. CFXD reached financial close in February 2020 and construction of the offshore wind farm with a high share of local Taiwanese content is progressing as planned towards the commercial operation date in the first quarter of 2024. It will include 62 MHI Vestas V174-9 wind turbines, 5 MW.

CFXD is funded by a combination of equity and senior loans from a consortium of 25 international and Taiwanese banks and financial institutions as well as 6 export credit agencies. CIP acquired the CFXD project in 2017. The project was awarded the grid award in 2018 and entered into a 20-year PPA with state-owned Taiwan Power Company in 2019. Local Taiwanese suppliers and partners include Century Iron & Steel Industrial Company Limited, TECO, Hung Hua Construction and CTCI.

GPSC, through GRSC, will enter the project as a co-owner alongside CI-II and CI-III, as well as local Taiwanese shareholders, who hold a minority stake in the project.

“We welcome GPSC as a co-investor and partner of CFXD. The transaction highlights the significant potential of offshore wind in Taiwan and other Asian countries and recognizes CIP’s added value to the project during the development phase and the initial construction phase. said Michael Hannibal, partner at CIP.

The transaction is subject to the usual closing conditions, the filing of a foreign investment approval and the filings with the Ministry of Economic Affairs of Taiwan ROC, and after the closing of the transaction, CI-II and CI-III will remain the controlling shareholders and operators of the offshore CFXD. wind farm.

FIH Partners acted as exclusive financial advisor and White & Case acted as legal advisor to CIP on the transaction.

For more information on the Taiwan offshore wind market as a whole,
Click here. You can also see projects all over the world on 4C Offshore Interactive map.



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Democratic Senators to End Federal Cannabis Ban https://feminaust.org/democratic-senators-to-end-federal-cannabis-ban/ https://feminaust.org/democratic-senators-to-end-federal-cannabis-ban/#respond Wed, 14 Jul 2021 10:07:59 +0000 https://feminaust.org/democratic-senators-to-end-federal-cannabis-ban/ Senators hope this will also end the disproportionate damage to communities of color July 14, 2021, 10:06 • 8 minutes to read Share on FacebookShare on twitterEmail this article For the first time in Senate history, Democrats will focus on ending the federal ban on cannabis on Wednesday, removing it from the federal list of […]]]>


Senators hope this will also end the disproportionate damage to communities of color

For the first time in Senate history, Democrats will focus on ending the federal ban on cannabis on Wednesday, removing it from the federal list of controlled substances. It’s a move the sponsors are also hoping to end the disproportionate damage that has been done to communities of color.

“The Cannabis Administration and Opportunities Act will ensure that Americans – especially black and brown Americans – no longer have to worry about being arrested or being excluded from public housing or federal financial assistance for higher education for using cannabis in states where it is legal, ”he added. the discussion draft reads. “State-compliant cannabis companies will finally be treated like other businesses and allowed access to essential financial services, like bank accounts and loans. Medical research will no longer be stifled.”

Senators Chuck Schumer, Majority Leader Cory Booker and Ron Wyden release the draft to allow for a public comment period before the legislation is submitted to the House for a vote, a time long overdue for some lawmakers .

“For decades our federal government has waged a war on drugs that has had an unfair impact on low-income communities and communities of color,” said Booker, DN.J. “As red and blue states across the country continue to legalize marijuana, the federal government continues to lag behind. It’s time for Congress to end the federal ban on marijuana and reinvest in communities most affected by the failure of the war on drugs.I am proud to present this historic bill with Senator Wyden and Majority Leader Schumer, who will finally turn the page on this dark chapter in American history and will begin to right those wrongs. ”

But a number of Republicans, led by Senate Republican Leader Mitch McConnell, R-Ky., Oppose legalization.

“I have no intention of approving the legalization of marijuana,” McConnell said in 2018 when he announced his support for the legalization of hemp, noting that they were “entirely separate plants.” .

Federal legislation would allow states to make their own cannabis laws, much like states do with alcohol. This would end the confusion in some states that have legalized the product in various forms, but where marijuana users could face potential civil and criminal penalties.

A new federal excise tax would also be created by legislation similar to alcohol and tobacco.

Cannabis would be taxed at 10% the first year after the law comes into force. This rate “would increase each year to 15 percent, 20 percent and 25 percent in subsequent years.” From the fifth year onwards, the tax would be levied on a rate per ounce in the case of the cannabis flower, or per milligram of THC rate in the case of any cannabis extract ”, according to the draft. discussion.

The legislation, if approved, would have an immediate effect on the lives of many, freeing some detainees for non-violent offenses.

“The bill automatically erases non-violent federal marijuana crimes and allows a person currently incarcerated in federal prison for non-violent marijuana-related crimes to go to court for a new conviction,” the project says. .

It would also reinvest new federal tax revenues in the minority communities most affected by the ‘war on drugs’ of the 1980s and ensure that no past marijuana-related crimes are used to deny someone public assistance. federal.

The proposed legislation would encourage states and communities with federal assistance to clear criminal records for cannabis-related offenses in exchange for funding under two new Small Business Administration programs designed to help hard-hit communities.

“The Cannabis Opportunity Program will provide funding to eligible states and localities to provide loans to help small businesses in the cannabis industry owned by socially and economically disadvantaged people. The Fair Trade Licensing Grant program will provide funding to eligible states and localities to implement cannabis licensing programs. that minimize barriers for those affected by the war on drugs, ”the project says of the SBA’s two new programs.

Research into the effects of marijuana would also be improved, according to the sponsors.

The researchers said that the cannabis produced for research is not comparable to cannabis used in the medical and adult markets nationwide, and that the (Drug Enforcement Agency’s) past failures to expand the federally approved cannabis production have further limited the productivity of their research, ”the project says.

The House passed a law last year removing marijuana from the list of controlled substances, and the law was reintroduced in May.



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From ‘fear of nervousness’ to ‘big things’: How a female-owned gym survived the pandemic https://feminaust.org/from-fear-of-nervousness-to-big-things-how-a-female-owned-gym-survived-the-pandemic/ https://feminaust.org/from-fear-of-nervousness-to-big-things-how-a-female-owned-gym-survived-the-pandemic/#respond Mon, 12 Jul 2021 22:30:02 +0000 https://feminaust.org/from-fear-of-nervousness-to-big-things-how-a-female-owned-gym-survived-the-pandemic/ In August of last year, Tiffany Krueger feared her dream of owning and operating a fitness center would be shattered by the COVID-19 pandemic. This month, Washington Gov. Jay Inslee imposed new gym restrictions that nearly tripled the space required between class participants. For Krueger’s small gym, Athena Fitness and Wellness in Olympia, this meant […]]]>


In August of last year, Tiffany Krueger feared her dream of owning and operating a fitness center would be shattered by the COVID-19 pandemic.

This month, Washington Gov. Jay Inslee imposed new gym restrictions that nearly tripled the space required between class participants. For Krueger’s small gym, Athena Fitness and Wellness in Olympia, this meant further reducing class sizes.

In anger and frustration, Krueger took to social media to speak out against the changes.

“I have to say I’m pissed off,” she said in a video posted to Instagram at the time. “We are unable to pay our bills with these money orders; it is reality.

Krueger was especially frustrated because she felt her business – which opened just before the pandemic hit – was being punished for the recklessness of others. She had kept her classes small, demanded masks, and otherwise complied with health mandates.

And yet, when COVID-19 cases started to rise again, Inslee targeted industrial sectors considered to be at higher risk for disease transmission, including gyms.

It was then.

Now, almost a year later, the state is reopening and Krueger has reason to be celebratory. Athena survived the pandemic – barely.

“A year ago we really weren’t sure we were here, really, like it was really scary for a little while,” Krueger said recently.

But she and her business partner, Joanna Sather, managed to pull through.

They have moved their fitness classes online. They raised almost $ 11,000 through a GoFundMe campaign. They got about $ 30,000 in grants and loans. They also got a break from their owner. Together, it helped them cover the bills. But Krueger says that ultimately what got them through the pandemic was the support they received from their customers.

“They’ve led us through this whole year,” Krueger said.

While Athena has managed to keep functioning during the pandemic, many other gyms have not. Nationally, the Global Health and Fitness Association says fitness club revenues have fallen 58% and 17% of fitness facilities have closed for good.

In Washington, Blair McHaney of the Washington Fitness Alliance estimates that about 150 of the state’s 800 clubs and studios are closed. Although he is optimistic about the future, he predicts that the bleeding is not over yet.

“I think there is a great way forward for the fitness industry,” said McHaney, who operates two clubs in the Wenatchee area. “[But] for fitness operators there will still be a lot of closures. “

It’s not just the fitness industry that has been hit hard. Between February and April last year, 3.3 million U.S. businesses closed temporarily or permanently – the biggest drop in business activity on record, according to a researcher at the University of California (UC) Santa Cruz.

The toll was particularly high for businesses owned by immigrants and minorities. UC Santa Cruz’s analysis found a 41% drop in business activity for African-American-owned businesses, a 36% reduction for immigrant-owned businesses, a 32% drop for Latino-owned businesses and 26% success for Asian businesses.

Now, however, there are signs of an economic recovery. Last month, Yelp reported that restaurants nationwide have rebounded to 86% of their 2019 levels. Retail sales have also rebounded. Meanwhile, some sectors have defied the recession, such as home-related services and auto sales.

In Washington, the unemployment rate has returned to near pre-pandemic levels, although the overall labor force is smaller and the state has seen a net loss of 129,000 jobs, according to the Department of Security. employment.

But the recovery is and will remain uneven.

In an effort to help minority-owned businesses bounce back, two University of Washington (UW) professors have launched a project titled “Helping Minority-Owned Small Businesses Survive and Thrive After COVID-19 “.

The project provides clients with access to a list of COVID-19 resources, a series of negotiation trainings and one-on-one pro bono legal consultations. Demand for the offers has been high, says Jennifer Fan, a UW law professor who co-leads the project.

“The need is great,” Fan said. “Usually we have a waiting list for people who want to do these consultations. “

And there have been successes. A business owner who took his training, which is offered in multiple languages, saved $ 46,000 in past and future rents after negotiating with his owner.

“Thank you from the bottom of my heart,” the person wrote in a testimonial about the program.

Despite this, Fan is worried about the future of women and minority-owned businesses, especially those without access to banking and capital.

“I wish I could say I was more optimistic about the future, but unfortunately there are structural issues and structural inequalities that have exacerbated the chances of survival for these companies,” Fan said.

While minority-owned businesses have been particularly hard hit by the pandemic – and have struggled to access federal assistance in the event of a pandemic – William Bradford, Dean Emeritus of UW’s Foster School of Business, is more optimistic about their chances of recovery.

Bradford, whose areas of expertise include small business development and minority businesses, said the current focus on racial equity is prompting businesses, governments and lenders to be more intentional in their collaboration with historically disadvantaged businesses.

Bradford said the murder of George Floyd in Minnesota last year, and the resulting national racial awakening, has put “an attitude in many big companies that they should do what they can to support growth. minority companies “.

In the future, he sees the potential for more opportunities for business-to-business and business-to-government contracts for minority-owned businesses.

In fact, Bradford predicts that over the next three years or so, some minority-owned businesses may actually return to a stronger financial position than before the pandemic.

“I think when we look… we’ll see growth to make up for the loss we suffered during the COVD 2020 issues,” Bradford said.

The COVID-19-related recession has also disproportionately affected women-owned businesses. The UC Santa Cruz study found that 25% of businesses run by women shut down during a crucial two-month period in the first months of the pandemic.

“The disproportionate losses in the first 3 months of the number of active female business owners will only further increase gender inequalities in business ownership and possibly broader economic inequalities,” the writer wrote. study author Robert Fairlie, professor of economics at UC Santa Cruz.

Athena Fitness and Wellness in Olympia could easily have been one of those statistics. Co-owner Tiffany Krueger said there had been plenty of times in the past 16 months that she thought they wouldn’t survive. On two occasions, she said, she had to dip into her retirement savings to pay her personal bills.

But now, as the state reopens, the classes are filling up and Krueger says “great things” are happening. For example, she and her business partner recently received a delivery of exercise bikes that will allow them to expand their course offering.

Krueger also said they are on the verge of breaking even financially.

After a recent midday workout class, one of Krueger’s longtime clients marveled that Athena’s doors were still open.

“A lot of times I’m very struck by the miraculous fact that we’re still here and growing,” Shelby Payne Shier said as she put away gear after class.

She attributed Athena’s success to her special interest in women and their holistic health.

“I think people are even more drawn to spaces like this with people who build a community… and a place of well-being and thoughtfulness,” said Payne Shier.

Yet there have been setbacks. Twice in the past few months, someone has smashed Athena’s windows. Krueger said people had suggested they may have been targeted because they displayed Black Lives Matter signs and the Pride flag in the windows.

“It’s impossible to know, but we are not removing them,” she wrote in an email. [Copyright 2021 Northwest News Network]



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National non-profit lender, donor returns to Cleveland after 15-year absence https://feminaust.org/national-non-profit-lender-donor-returns-to-cleveland-after-15-year-absence/ https://feminaust.org/national-non-profit-lender-donor-returns-to-cleveland-after-15-year-absence/#respond Sun, 11 Jul 2021 08:00:00 +0000 https://feminaust.org/national-non-profit-lender-donor-returns-to-cleveland-after-15-year-absence/ A national loan and grant organization that pulled out of Cleveland 15 years ago is returning to the region, with the aim of narrowing the gaps in wealth, work and well-being. Local Initiatives Support Corp., better known as LISC, quietly began to reestablish its presence here last year by awarding more than $ 1 million […]]]>


A national loan and grant organization that pulled out of Cleveland 15 years ago is returning to the region, with the aim of narrowing the gaps in wealth, work and well-being.

Local Initiatives Support Corp., better known as LISC, quietly began to reestablish its presence here last year by awarding more than $ 1 million in loans and grants to small businesses, community groups and to a redevelopment of housing for the elderly in the city center. Today, the New York-based nonprofit is setting up a local office with $ 3 million in support from the Cleveland Foundation.

At the end of June, the foundation’s board of directors approved a three-year grant to help LISC open this office, hire staff and develop a longer-term strategy. The funding comes after more than two years of discussions about the possibilities of pumping money out of town into everything from neighborhood revitalization to financial advice to workforce development.

LISC, launched in 1979 by the Ford Foundation, acts as an intermediary between funders – banks, private companies, foundations and governments – and people and places in need. The nonprofit organization provides loans, grants, and equity for real estate development and businesses, as well as technical assistance to community development corporations and other organizations.

“I think they bring a lot of national resources that can be harnessed here in Cleveland,” said India Pierce Lee, senior vice president of the Cleveland Foundation who leads the granting and former senior program director of LISC who ran an office here from 1998 to 2004.

The nonprofit first entered Cleveland in 1981 with the support of local foundations and societies. Over the past quarter of a century in the region, LISC has invested more than $ 33 million in affordable housing. The Northeast Ohio office once covered an area of ​​six counties.

LISC quietly closed its doors here in 2006, after Lee changed jobs.

Denise Scott, executive vice president of programs for the association, said she did not know the specific reasons for the decision. But the organization has periodically left markets due to funding issues, lackluster local support, or a feeling that its programs are not making enough of a difference in communities.

“I was always sad every time LISC came out,” said Scott, who oversees the organization’s 37 offices and country programs. “Now that I am sitting in this seat, I am delighted to say that we are returning.”

In the years that followed, the group’s mission extended far beyond affordable housing, job creation, business growth, education, safety and health. LISC, which also provides services in around 2,200 rural areas, invests more than $ 1 billion annually in a wide range of programs.

As a community development finance institution, the association provides debt and equity to real estate developers, small businesses, and other clients who may find it difficult to secure traditional financing. LISC often invests some of the earliest and riskiest funds in a project.

Last year, for example, the association granted a loan of $ 450,000 to the owner of Carter Manor to study the feasibility of renovating the building, a senior housing tower on Prospect Avenue downtown. In May, a Chicago-based developer announced plans to move forward with an $ 18 million renovation of the 270-unit rental property.

Through a trio of affiliates, LISC connects investors and developers on deals involving low-income housing tax credits; uses federal tax credits for new markets to fill funding gaps for projects in struggling communities; and serves as a Small Business Administration lender.

In November, the group announced an initiative called Project 10X, a decade-long initiative to improve the health and wealth of communities of color. So far, the billion dollar effort relies on money from the big tech, retail and finance companies; corporate foundations; and philanthropist MacKenzie Scott, the ex-wife of Amazon founder Jeff Bezos.

The 10X project got its start as discussions about LISC’s return to Cleveland were well underway. But the program’s goals align closely with the Cleveland Foundation’s growing focus on equity, said Keisha Gonzalez, the foundation’s program manager for social impact investing and community development initiatives.

“I think everyone is collectively on this journey of what equity is, what justice is and how it manifests in community development and economic development,” Gonzalez said.

In the short term, LISC is committed to selecting four geographies for investments, said Kevin Jordan, senior vice president who lives in the Cleveland area and represents LISC in the field as the association searches for a local executive director. .

The first two target sites are the adjacent Stockyards and Clark-Fulton neighborhoods on the West Side of Cleveland and the endemic city of East Cleveland.

Cuyahoga County officials brought LISC to East Cleveland, Mayor Brandon King said. The organization is contributing to an nascent master planning process focused on approximately 40 acres near the city’s western border. And the nonprofit is helping the city’s new community development corporation, the Northeast Ohio Alliance for Hope, recruit staff and develop expertise.

“We want to ensure that quality housing and businesses that support quality housing are built in the city, to protect the integrity of current residents and new residents. I think LISC has a great track record in both of these areas, ”King said. “And I think they will play a very important role in ensuring that the development of mixed income is done in a responsible manner.”

It is too early to say how much of a big mark LISC can make in Cleveland.

Tania Menesse, CEO of the nonprofit Cleveland Neighborhood Progress, said she was encouraged by the work LISC did last year, during the worst of the pandemic, to support small businesses through through grants to community development corporations and through the federal paycheck protection program.

Most of the direct loans or grants have gone to minority-owned or female-owned businesses with fewer than 10 employees, Scott said.

“We are a growing market,” Menesse said. “We need all the resources we can get.”



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Oregon $ 1 Million Vaccine Jackpot Winner Announced https://feminaust.org/oregon-1-million-vaccine-jackpot-winner-announced/ https://feminaust.org/oregon-1-million-vaccine-jackpot-winner-announced/#respond Sat, 10 Jul 2021 01:29:01 +0000 https://feminaust.org/oregon-1-million-vaccine-jackpot-winner-announced/ PORTLAND, Oregon (AP) – The winner of Oregon’s $ 1 million COVID-19 vaccine jackpot is a fine arts student at Oregon State University, officials said on Friday. McMinnville resident Chloe Zinda, says she plans to use the money to pay off student loans, pursue her artistic dream and open her own studio. “I never imagined […]]]>


PORTLAND, Oregon (AP) – The winner of Oregon’s $ 1 million COVID-19 vaccine jackpot is a fine arts student at Oregon State University, officials said on Friday.

McMinnville resident Chloe Zinda, says she plans to use the money to pay off student loans, pursue her artistic dream and open her own studio.

“I never imagined that getting my COVID vaccine would lead me to be here today and meet all of these amazing people,” Zinda said at a press conference on Friday, where Gov. Kate Brown presented her with a check.

Zinda said that as a part-time swimming instructor, she decided to get the shot in hopes of keeping her students safe.

“I’m really excited for our winner, but I’m also very excited for our state,” said Patrick Allen, director of the state health authority. “Thanks to our winner and the more than 2.3 million other Oregonians who have received at least one dose of the safe and effective COVID-19 vaccine, COVID is no longer holding Oregon so firmly in its grip.”

As the state neared its goal of vaccinating 70% of partially or fully vaccinated adults in the state, the governor announced a list of incentives in May and June for people who have been vaccinated. Among the prizes were vacation packages and $ 100 gift cards.

But the biggest prize was $ 1 million. Adults who received at least their first hit were automatically entered to win the jackpot.

“Like all of our lottery games, even if you didn’t win, Oregon won, albeit in a little different way,” said Barry Pack, Oregon Lottery Manager. “Instead of generating income for school parks and other good things, we helped Oregon meet the 70% immunization goal.

Additionally, there is at least one $ 10,000 prize in each of Oregon’s 36 counties, and those aged 12 to 17 have a chance to win one of five $ 100,000 scholarships. Officials say the winners of these awards will be announced in the coming weeks.

A week ago, Oregon reached the 70% mark of partially or fully vaccinated adults.

As demand for vaccines has started to slow, health officials are refocusing their priorities on vaccines in the arms of minority and underserved communities.

“We’re going to continue our vaccination efforts and we’re going to double down and make sure every Oregonian who wants a vaccine gets one,” Brown said.

In a sign of slowing demand, the state’s first mass vaccination clinic at the Oregon State Fair and Exposition Center in Salem is expected to close on July 24.

The clinic opened in January and more than 212,000 doses have been distributed.

___

Sara Cline is a member of the Associated Press / Report for America Statehouse News Initiative body. Report for America is a national, nonprofit service program that places reporters in local newsrooms to cover undercover issues.



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Community foundation supports minority-owned businesses in Northern Virginia https://feminaust.org/community-foundation-supports-minority-owned-businesses-in-northern-virginia/ https://feminaust.org/community-foundation-supports-minority-owned-businesses-in-northern-virginia/#respond Fri, 09 Jul 2021 00:07:00 +0000 https://feminaust.org/community-foundation-supports-minority-owned-businesses-in-northern-virginia/ June 30, 2021 The Community Foundation for Northern Virginia, in partnership with the New Northern Virginia Minority-Owned Businesses Working Group, recently released a new report “Supporting Northern Virginia Minority-Owned Businesses” that examines the impact of the COVID-19 pandemic on region estimates. 128,000 minority-owned businesses. The report reveals that the pandemic has had a complex effect […]]]>


June 30, 2021

The Community Foundation for Northern Virginia, in partnership with the New Northern Virginia Minority-Owned Businesses Working Group, recently released a new report “Supporting Northern Virginia Minority-Owned Businesses” that examines the impact of the COVID-19 pandemic on region estimates. 128,000 minority-owned businesses. The report reveals that the pandemic has had a complex effect on the region’s local economy and on the well-being of its minority-owned businesses. Overall, businesses in the region have experienced both revenue loss (measured by taxable sales) and staff reduction (measured by workforce size and initial jobless claims) .

The total number of businesses with paid staff operating in Northern Virginia has remained stable, possibly due to downsizing of businesses instead of permanently shutting down and replacing those that have been closed with new businesses. . Minority-owned businesses are at higher risk of becoming insolvent, according to the report. In large part because of their small size, their concentration in high-risk sectors and their difficulty in accessing capital. Black and Hispanic-owned businesses were more likely to seek – but less likely to receive – outside funding and government funding. “When you look at businesses without paid staff… this population of workers and entrepreneurs and self-employed people, you see that overall, half of minority-owned businesses are in the high-risk sector,” Elizabeth said. . Hughes, Senior Director of the Insight Region Research Center at the Community Foundation for Northern Virginia.

At a virtual event on Wednesday, June 23 hosted by the Community Foundation for Northern Virginia, keynote speaker Melissa Bradley, co-founder of Ureeka, a coaching service mentoring company, said the long history not to invest in businesses and minority communities of color have created barriers that make them more economically vulnerable. “It’s not a race issue. It’s not a gender issue. It’s an economic issue that we all have to recognize as extremely important,” Bradley said. More than half of Asian businesses are in high-risk industries like food and hospitality, making them one of the hardest hit groups financially.

“In order to have a resilient economy, everyone must be able to participate … it is not enough to create a program. We must be proactive. We must be coherent. We must bring real added value to everyone”, Buddy Rizer said. , Executive Director, Loudoun Economic Development. Several underrepresented local entrepreneurs funded by a $ 59,800 Community Foundation grant participated in Ureeka’s FireUp Business Mentoring and Coaching program for minority-owned businesses. “What I liked about the program is that whatever I learned I could immediately apply to my business and improve it,” said Niecia Bullock, owner of Rooted Yoga. “The pandemic ended up being a blessing in disguise for us because I could make really big mistakes on a very small scale and tighten things up. Northern Virginia is expected to be a majority minority region after the release of final 2020 census data. Twenty-seven percent of residents are immigrants who generate $ 57 billion in GDP annually. Immigrants are 47% more likely to be entrepreneurs.

“It’s in the best interests of all of us to lift all boats to do things positively,” said Bob Lazaro, executive director of the Northern Virginia Regional Commission. To help recover its businesses, jurisdictions in Northern Virginia provided $ 89.2 million in loans and grants to more than 9,600 local small businesses during the pandemic. Minority ownership rates among these beneficiaries ranged from 18% to 51% for programs that collected demographic information. The Northern Virginia Minority-Owned Business Task Force includes the Alexandria Economic Development Partnership, Arlington Economic Development, the Community Foundation for Northern Virginia, the County Economic Development Authority of Fairfax, Loudoun Economic Development, Northern Virginia Economic Development Alliance, Northern Virginia Regional Commission and Prince William County Economic Development Department.



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Colorado nonprofit Energize Colorado helps more than 2,000 women and minority-owned businesses stay alive during pandemic https://feminaust.org/colorado-nonprofit-energize-colorado-helps-more-than-2000-women-and-minority-owned-businesses-stay-alive-during-pandemic/ https://feminaust.org/colorado-nonprofit-energize-colorado-helps-more-than-2000-women-and-minority-owned-businesses-stay-alive-during-pandemic/#respond Wed, 07 Jul 2021 12:02:59 +0000 https://feminaust.org/colorado-nonprofit-energize-colorado-helps-more-than-2000-women-and-minority-owned-businesses-stay-alive-during-pandemic/ (CBS4) – Energize Colorado, a pandemic-born nonprofit, has worked throughout the past year and a half to help small minority-owned and women-owned businesses stay afloat, providing additional funding to fill the gaps left by federal money. Now, there are more opportunities for local business owners in underrepresented communities to get the essential help they need. […]]]>


(CBS4) – Energize Colorado, a pandemic-born nonprofit, has worked throughout the past year and a half to help small minority-owned and women-owned businesses stay afloat, providing additional funding to fill the gaps left by federal money. Now, there are more opportunities for local business owners in underrepresented communities to get the essential help they need.

In the early stages of the pandemic, Governor Jared Polis launched an economic task force to help analyze and address the economic toll of the pandemic closure and subsequent restrictions. Energize was born from this working group and achieved 501c3 status within a few months.

After speaking with dozens of community organizations on the ground, the nonprofit quickly learned that federal funding was insufficient for many small business owners, especially those in under-represented communities, across the State, which may not have had the resources, expertise and connections to acquire all the money it needed.

For example, Energize Colorado, with the help of financial specialists and innovators from the public, private and philanthropic sectors across the state, developed a “Gap Fund” to give small businesses the extra help they need to stay alive.

Using money from the CARES Act, Energize Colorado deployed Gap Fund grants to 2,064 small businesses in Colorado.

“These are small businesses, 25 employees or less, with priority over women, veterans, small rural businesses and BIPOC,” said Wendy Lea, CEO of Energize Colorado. “I think the thing that touched me the most was being with these small businesses, these owners, and seeing what they’ve been through and seeing how much help a little bit, how far it goes for them, just emotionally… it’s so rewarding, and it’s also heartbreaking.

Peggy Sue Schmoldt was one of those lucky business owners to receive the funding. She has owned the Academy of Cosmetology Arts – a beauty school in Denver – for 20 years.

“They made a difference at the right time to tell you the truth,” Schmoldt said.

Thanks to the Gap Fund, Schmoldt was able to keep his beauty school running without having to lay off employees.

“Being able to provide a service for my industry means a lot to me,” she said.

Lea says that last year, Energize Colorado received more than 10,000 requests for top-up funding, but only had enough to award the money to just over 2,000 of those applicants.

Now, she says a new bill signed in June by the governor just allocated an additional $ 15 million in assistance to small businesses, and Energize Colorado will help deploy that money to some of the businesses in sub-communities. represented who did not receive help in the last round.

“We are excited about the opportunity to leverage the mechanism we have built to serve these businesses again,” Lea said.

Lea expects this money to help at least 800 more small businesses in Colorado.

Energize Colorado also has $ 8 million in low interest loans to help even more small businesses. The loans are made possible thanks to the money raised from the private sector, and Léa hopes that they will be deployed soon.

“Some businesses can really benefit from a loan at very low interest rates,” Lea said. “This is why we are delighted to accelerate the deployment of this type of capital, once again to the same audience. ”

Lea says all efforts are “in the spirit of resilience and fairness and building Colorado’s next economy on the small business side.”

Schmoldt says she is grateful to see so many people coming together to help businesses like hers during an unprecedented time. She says it has made her business stronger than ever.

“There has been so much collective kindness, where other people are really, really helping others, and it’s wonderful to have had,” Schmoldt said.

To learn more about Energize Colorado’s Gap Fund, Click here .

To learn more about other resources Energize Colorado provides for small businesses, Click here .



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