Financing Will Boost Small Business Growth for Hoosiers
Anderson, IN - July 20, 2015 – The Flagship Enterprise Center today announced it has received a $750,000 low-cost loan from PNC Bank, N.A., a member of The PNC Financial Services Group, Inc. (NYSE: PNC), for its Flagship Microloan Program, which helps provide capital to underserved small businesses and startups in 24 lender-approved counties statewide.
The new capital from PNC will provide pool funding to support microloans at an average of $15,000 over the course of seven years. Microloans provide gap financing for small businesses that aren’t yet ready for traditional bank financing. Borrowers may be eligible for up to $50,000 in loans and must operate in Flagship’s approved lending area.
“PNC was the first bank to invest in our micro-lending pool and we’re grateful for that. More importantly, they understand our vision to help create a stronger Indiana, one microloan at a time,” said Charles Staley, president and CEO of Flagship Enterprise Center. “This partnership will enhance our ability to provide affordable lending products and services to Hoosier entrepreneurs who are critical to job creation and economic growth statewide.”
Additionally, the new capital will be used to increase opportunities state-wide in an effort to grant more entrepreneurs access to much-needed alternative financing.
“PNC has a long-standing commitment to invest in the communities where we live and work,” said Patricia Gamble-Moore, PNC vice president of community development banking in Indiana. “The Flagship Microloan Program will benefit the overall economy by bolstering small business growth and financial sustainability in the region.”
Since 2010, the Flagship Microloan Program has provided 81percent of all SBA microloans in Indiana and has supported more than 50 women-owned, 30 minority-owned, and 20 veteran-owned small businesses.
The funding is provided through PNC Community Development Banking (CDB), a distinct line of business within PNC's retail bank that is primarily engaged in activities that strengthen low- to moderate-income (LMI) people and geographies. CDB is the primary interface with organizations engaged in affordable housing, economic development, financial education, community services for LMI individuals, and revitalization and stabilization of LMI areas.
The PNC Financial Services Group, Inc. is one of the largest diversified financial services institutions in the United States, organized around its customers and communities for strong relationships and local delivery of retail and business banking; residential mortgage banking; specialized services for corporations and government entities, including corporate banking, real estate finance and asset-based lending; wealth management and asset management. For information about PNC, visit www.pnc.com.
About Flagship Enterprise Center
The Flagship Enterprise Center (FEC) (www.flagshipenterprise.org) is a regional technology-based business incubator and SBA micro-lender in Anderson, Indiana. The Flagship Microloan Program was established in 2010 to assist FEC clients and partners with small businesses to provide financial services and resources that foster economic development in underserved communities. Created through a partnership between the city of Anderson and Anderson University, the FEC lending programs have helped create over 200 loans and provide small business loans totally more than $3.5 million. To apply for a microloan, potential borrowers may contact Adam Tidrow at (765) 622-0100 or firstname.lastname@example.org.