West End Neighborhood House’s Launcher program is a recipient of support from the Delaware Community Investment Venture Fund.
Through the fund Stepping Stones Federal Credit Union will receive $469,000 to provide accessible lines of credit to small businesses and community-based organizations.
The fund offers access to capital for small businesses and entrepreneurs traditionally denied loans to build businesses by banking institutions.
As many as 45 graduates of the Launcher program may receive loans of up to $10,000 each.
"So we're able to work with our community banks, our CDFI's - Community Development Financial Institutions - and our local credit unions to now bolster that ecosystem around access to capital, access to loans, to build out in our state, an economic ecosystem where businesses can grow here in the First State," said State Senator Darius Brown.
Instead of relying on traditional credit scores, the lending approach will recognize entrepreneurs’ commitment, hard work, program performance and business readiness.
Brown says different types of businesses are eligible.
"From bioscience firms to small businesses doing landscaping they now have access to these dollars to make sure they have opportunity for prosperity for themselves, and ultimately live out their dreams and strengthen Delaware's economy," said Brown.
Loan recipients receive monthly business coaching and wraparound assistance to help use the capital successfully, strengthen credit and grow sustainable businesses.
The funds can be used to purchase equipment or inventory, expand operations, move into storefronts from homes or create jobs.
The Delaware Community Investment Venture Fund was created by the General Assembly in 2023.
