The South Eastern Economic Development (SEED) Corporation has been awarded a $700,000 grant from the Community Development Financial Institution (CDFI) Fund under the U.S. Department of the Treasury. The award is through the Treasury’s $1.25 billion CDFI Rapid Response Program and will provide necessary capital for CDFI’s to respond to the economic challenges created by the COVID-19 pandemic, particularly in underserved communities.
“We are so very pleased to receive this grant which will increase SEED’s total capital to $13.7 million for small loans up to $250,000 and enable SEED to continue meeting the financing needs of start-up and expanding small businesses in underserved markets, and economically distressed areas in our region,” stated Susan Murray, SEED’s Executive Director. “These loans are typically in conjunction with a financing institution to reduce their level of risk, however SEED can also lend independently when traditional financing is not available. SEED’s terms are more flexible with use of funds, repayment, collateral and personal credit scores, however jobs must be created or retained as required by EDA.” Explained Murray.
“SEED is an invaluable member of the Commonwealth,” stated Congressman Jake Auchincloss. “Through their work, SEED supports small business and gives them the tools to succeed, creating new jobs and economic growth throughout Southeastern Massachusetts. With this $700,000 award from the CDFI Rapid Response Program, SEED will have the resources needed to help other businesses hurting from the pandemic, spurring economic recovery in Taunton and beyond.”
According to Murray, since being certified as a CDFI by the U.S. Treasury in 2010, SEED has received six CDFI Fund grants totaling $5.2 million. These grants have been matched with another $2.5 million from the Commonwealth of Massachusetts. In addition, SEED has received over $375,000 in contributions from the region’s financial institutions, which served as matches for the CDFI grants, and $1.2 million in interest free loans from RI Commerce Corporation for small business loans in Rhode Island.
SEED is a non-profit corporation established and certified by SBA in 1982 to assist small businesses in Southeastern MA including the Cape and Islands, Middlesex and Suffolk county, and the entire state of Rhode Island. Under various loan programs including the SBA Micro Loan and 504 Programs, SEED makes loans from $5,000 to $5 million to assist small businesses grow and create jobs. Over the past 38 years, SEED has made 2,231 loans totaling $400 million, leveraging $825 million in private funds, and assisting in the creation of 13,450 new jobs.
SEED also provides technical assistance to small businesses and works with other economic development organizations, various resource partners through SBA, and financing institutions in the region to ensure that individuals who are committed to owning and operating a small business can obtain the assistance they need to be successful.
For more information about SEED’s loan programs, and free entrepreneurial workshops, please call 508-822-1020 or visit SEED at www.seedcorp.com.
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