SOUTH BEND, Ind. (WSBT) -- Small businesses are receiving big money!
The City of South Bend partnered with First Source Bank and the North Central Indiana Small Business Development Center (ISBDC) to help create the Opportunity Fund programs.
Entrepreneurs will now have another option available for financing.
This comes after the City of South Bend, First Source Bank, and North Central Indiana Small Business Development Center partnered to bring in $1 million dollars to the Opportunity Fund.
"And there are some institutions, you know, who simply don't want to loan to a business until it's got a track record for a couple of years. So, for a lot of entrepreneurs, really, that first infusion of capital is huge and getting the business established and positioned for future growth," saidAllen Steele, Indiana Small Business Development Center Director.
The goal is to allow financing opportunities at lower interest rates to small businesses trying to get their start.
South Bend Mayor James Mueller (D) said this will allow an opportunity for entrepreneurs.
"This is one of those programs that the, you know, we wanted to make sure that this was going to where the need was and make sure these had a real impact in our community. And so it's taken the team time, we did a full RFP process, and thankfully First Source and Indiana Small Business Development Center stepped up," said Mayor Mueller.
Funding can range from $1-$30 thousand dollars per business.
More than 400 businesses part of the ISBDC program are eligible for the funding.
The director of Indiana's Small Business Development Plan said the people who will benefit the most from this grant are businesses that can't receive bank loans.
"Most people who start small businesses are not business majors. They didn't go to business school, right, they're experts in what they do, but frequently they're learning the business part on the fly as they go," saidSteel.
Small businesses will be able to apply for financing in a few weeks, but won't be able to receive that funding until 2025.