The partnership between American Express and AOF is anticipated to give small businesses the momentum they need in a post-COVID-19 pandemic economy. The fresh funding is essential as lack of capital remains an ongoing problem for Black entrepreneurs. The loans will range from $5,000 to $100,000, carry interest rates as low as 5.99%, and feature no prepayment penalties.
“Investing responsibly in the nation’s small businesses is essential to building a more equitable society. This
program combines access to capital and expert advising to support small businesses that are in a strong position to rebuild and grow in 2021 and beyond. We’re looking to lift up those who have been overlooked and underfunded for far too long,” Luz Urrutia, CEO, Accion Opportunity Fund, said in a statement. “Together with American Express, we’re working to accelerate progress towards an inclusive financial system.