Community Investment Corporation (CIC) and Startup Tucson hosted a mixer on Thursday, May 3, to celebrate the official declaration of BIPOC Entrepreneurs Day.
Earlier this week, the City of Tucson and Pima County Supervisors designated May 1st as a day to recognize Black, Indigenous, and People of Color (BIPOC) business achievements.
In 2020, in response to the George Floyd riots, CIC launched the BIPOC Lending Fund to support small businesses owned by people of color.
This was done in response to Executive Director Danny Nee recognizing that the community was facing a financial and capital disadvantage.
According to research from Stanford University, white-owned businesses average more than $106,000 in startup capital, while black-owned businesses average just over $35,000 in startup capital.
“The system we have for accessing capital is not working,” Nee said. “The question is, if you have assets, if you have wealth, you can build more wealth. But how do you help people who don’t have wealth?”
The answer was the BIPOC Loan Fund, which provides monthly interest-free loans to three BIPOC-run businesses. Small businesses can receive loans of up to $10,000.
The loan committee selects recipients based on the company’s story and facilitates the application.
“We invest in BIPOC entrepreneurs because they make significant contributions to our communities. They are the fastest growing group of entrepreneurs and we invest in them. wants to make sure they have resources they wouldn’t have had before,” Nee said. Access to. “
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One of these entrepreneurs is Courtney Smith, who has run a catering business called Cookin’ Wit Cort since 2020.
When he first started, Smith wasn’t sure how to finance his business and was reluctant to ask banks for help.
“I was very intimidated about it,” Smith said. “I don’t want to sign my life away.”
She found a solution in CIC’s BIPOC Lending Fund.
“Zero percent interest and the fact that when you pay it back, it goes back into the community,” she pointed out. “This is something most banks will never offer.”
Keneshia Raymond, director of the BIPOC Lending Fund, said the proclamation of BIPOC Entrepreneurs Day shows the community is being recognized.
“We are teaching BIPOC people that they are seen and their voices are heard,” Raymond said. “We’ve been in those situations before, so we understand what they need.”
Next year, CIC is considering expanding its BIPOC lending fund to Phoenix and Maricopa counties. They also hope to raise $3 million to support BIPOC entrepreneurs across southern Arizona.
To apply for a BIPOC loan, please visit the Community Investment Corporation website.
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Joel Foster She is a multimedia journalist for KGUN 9 and previously worked as an English teacher in both the Boston and Tucson areas. Joel has experience working in the technology, finance, nonprofit, and public sectors with his web, print, and video work. In his off time, you might find Joel participating in Tucson’s local comedy scene. Share your story ideas with Joel. joel.foster@kgun9.comor by connecting Facebook, Instagram or X.
