The staff at ECD/HOPE thought Murriel’s shop would make a sound investment, because it provided a critical service that gave local residents an affordable means of transportation to get to and from work, says William Bynum, CEO of ECD/HOPE, a credit union with 28,000 members, 11 full-service retail branches and eight lending offices in Mississippi, Louisiana, Arkansas, and Tennessee.
“Everybody unfortunately can’t go out and purchase a new vehicle,â€ says Bynum. “There are small entrepreneurs like Murriel across the country that are filling the gaps in communities that need the same tools and services that more prosperous communities have.â€
Under President Barack Obama’s Recovery Act the CDFI Fund received an extra $100 million for CDFI program grants. If the 2010 budget is approved it will receive a 127% increase over the 2009 budget of $107 million, which will further help small businesses climb out of the credit crisis.
As for Murriel, he was able to buy the equipment he needed, and as a result he says his revenue increased by 10%, and productivity and sales increased also. He is also considering adding a fourth employee.
“I didn’t think it could be done,â€ says Murriel. “I went to all the big banks and they said I didn’t qualify. I think ECD was my only Hope.â€
Got a small business idea that needs funding? Visit your local CDFI or Community Development Entity (CDE) for loan eligibility information. Visit the CDFI Fund Website for a list of certified CDFIs and (CDEs) by state
Click here for resources on how to certify your financial institution or company as a CDFI: