BIRMINGHAM, Ala., November 5, 2021 – The PNC Foundation has awarded a $50,0000 grant to Birmingham-based nonprofit Urban Impact Inc. (UII) to help capitalize a microloan fund program for small business owners located in several underserved communities across the region. The contribution is part of a larger effort toprovide technical assistance and a revolving, low-interest loan pool to support current and future small business owners operating in the Historic 4th Avenue Business District, Civil Rights District, and surrounding neighborhoods. The IMPACT Loan Fund, administered by Urban Impact, will offer loans from $500 to $25,000 to qualifying women and minority small business owners in the targeted communities.
“For nearly a decade, PNC has worked closelywith community organizations such as Urban Impact to ensure that small businesses throughout Alabama have access to sustainable, low-cost funding,” said Nick Willis, PNC regional president for North and Central Alabama. “It is critical that we work to support the economic vitality of under-resourced communities by moving quickly to help small businesses address barriers to sustainable growth.”
The PNC Foundation provided $25,000 of the micro-fund grant through its regional Community Development Banking office, with the remaining $25,000 coming from a broader commitment of more than $1 billion PNC made to help support the economic empowerment of African Americans and low- and moderate-income communities.
Urban Impact also will use the funding to seed alarger capital campaign to support the nonprofit’s efforts in applying forcertification to become a Community Development Financial Institution (CDFI). As a CDFI, the nonprofit will gain access to federally-funding programs including Small Business Administration loans.
“In these unprecedented economic conditions, small businesses are struggling financially to stay economically afloat,” said Ivan Holloway, executive director for Urban Impact. “Thanks to PNC’s support, we have an even greater opportunity to become a long-term driver of stable growthfor small businesses in our communities.”
Since 2012, Urban Impact has served as loanoriginator for the City of Birmingham’s Business Development Loan Program (BBDL). Under BBDL, the City offers bank-guaranteed, 24-month loans at current market rates to qualified borrowers for eligible projects and uses that willhave a positive economic impact on Birmingham.
Since 2019, the nonprofit also has managed the Birmingham Kiva Hub, a national small business microfinance platform thatoffers 0% interest crowdfunded loans from $1,000 to $15,000 for traditional underserved entrepreneurs.
Urban Impact Inc. is a 501 (c)(3) local place based community and economicdevelopment agency that advances asset building, economic opportunity and revitalization of the Historic 4th Avenue Business District and the Civil Rights District through support and services to assist individuals, businesses and developers. Learn more at www.urbanimpactbirmingham.org/impactloans.
The PNC Foundation, which receives its principal funding from The PNC Financial Services Group, actively supports organizations that provide services for the benefit of communities in which it has a significant presence. The foundation focuses its philanthropic mission on early childhood education and community and economic development, which includes the arts and culture. Through Grow Up Great®, its signature cause that began in 2004, PNC has created a bilingual $500 million, multi-year initiative to help prepare children from birth to age 5 for success in school and life.
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