Making Small Business Lending Work for More People Without Anyone Noticing
Oftentimes it’s a lot less visible. Based on the West Side of Chicago, Accion Serving Illinois and Indiana is a revolving loan fund for small businesses. It primarily makes microloans — defined as small business loans of $50,000 or less — to borrowers who otherwise may only have access to predatory lenders. Its average loan size is $8,000. Nearly 40 percent of its clients are Black, more than 20 percent are Latino, and three-quarters are low-to-moderate income. Around the fifteenth of every month, the team at Accion compiles their monthly financial report, and when it does it also loo...
Source: nextcity.org