The Black Business Investment Fund (BBIF) announced Tuesday, it has provided capital in the amount of $183K to its first Small Business Loan Fund client, CB Metcalf Company. In October 2012, with the initial funding source of a $250,000 equity equivalent investment (EQ2) from Wells Fargo, BBIF launched the Small Business Loan Fund (SBLF), a race neutral loan initiative for black, minority and underserved small businesses throughout Florida. Clients served through the SBLF are a part of the SBA Community Advantage initiative.
“The Small Business Loan Fund will allow us to consolidate our loans and hire an additional staff member,” said Charles Metcalf, owner of CB Metcalf Company headquartered in Gonzalez, FL. “These funds will also serve as much needed operational capital, which will help us improve our purchasing power”.
The SBA’s Community Advantage program is designed to expand access to lower dollar loans and lending to small business owners in traditionally underserved communities by opening SBA’s 7(a) Loan Guaranty to community-based financial institutions like BBIF. BBIF is the only approved SBA Community Advantage lender in the state of Florida, and one of only 57 in the U.S. Since the SBLF program launch, over 12 requests for a total of $2,362,300 dollars have been received. Community Advantage loan borrowers also benefit from the management and technical assistance expertise of the approved community lenders.
SBLF Capital Partner, Wells Fargo, provided the initial $250,000 in fund pool dollars as well as a $50,000 operation grant to support BBIF’s continued expansion into the statewide market as part of the company’s EQ2 investment.
“We are very pleased to have been designated a SBA Community Advantage Lender and we are aggressively working to provide the much needed access to capital to black, minority and underserved small businesses throughout the state of Florida”, stated Inez Long, BBIF president.
Studies have shown that small businesses in underserved communities are among the hardest hit by the recent economic downturn and helping them to recover, expand and create jobs will strengthen their local communities.
