During the last year, one of the valuable programs that the Obama administration supported additional funding for is the Community Development Financial Institution (CDFI) program. I have written a number of columns about the 1,000 CDFI lenders across the U.S. during the last year.
CDFIs have been there when small businesses haven’t been able to obtain capital from banks and other lenders. CDFI lenders have been around a long time but their programs are not as well known as the SBA loan programs. They provide microloans to companies normally up to about $300,000. They also finance affordable housing projects in their communities. The CDFI program is backed by the U.S. Treasury.
As a part of last year’s major stimulus legislation, significant additional funding was provided for CDFI use to help grow jobs and impact local communities. The CDFI program’s success this year the CDFI program needs more funds to support its lending programs to small businesses.
Congressman Gutierrez (D- IL) is seeking support to provide additional funds to the CDFI lenders. The CDFI Coalition is asking anyone who believes in adding funds to this valuable program to contact their congressmen today to ask them to sign on to the Gutierrez letter.
Please take a few minutes and contact your Representative and urge them to sign on to the letter. The sign-on-letter and a dear colleague from Rep. Gutierrez are available here.
As one small business owner to another I would like to ask you to contact your U.S. congressman and senator and using the form letter above ask them to sign on to Representative Gutierrez’ legislation providing more funds to the CDFI program.
EXTRA: If you have questions for Sam regarding business financing, the credit market, and similar issues, please send an e-mail. Your questions will be recorded and Sam will answer the best ones in his Ask the Expert podcast show.