By Jerraryn Davis | Accesity Coordinator |

    • Nearly 50% of California small businesses are at risk of shutting down
    • Data shows that businesses owned by people of color have been disproportionately impacted by the COVID-19 health and economic crisis 
    • Funding from the U.S. Department of the Treasury’s Community Development Financial Institutions (CDFI) Fund 
    • Accessity is one of 265 CDFIs chosen to bring equitable financing to low-income and underbanked communities

Accessity Received an Additional $625,000 Grant

Firstly, the grant is from the U.S. Department of the Treasury’s CDFI Fund Program to bring equitable small business financing, expert guidance and business development support to struggling San Diego, Riverside, San Bernardino and Imperial County small businesses amidst the ongoing COVID-19 health and economic crisis. Earlier this year, Accessity was awarded $1.8 million through the U.S. Department of the Treasury’s CDFI Rapid Response Program – the largest grant awarded from the CDFI Fund as well as the largest grant received in the organization’s 27-year history.

Furthermore, this new federal funding awarded through the CDFI Fund Program, will primarily be used as loan capital and loan loss reserve capital to reach low-to moderate-income, Hispanic and African American small business owners.

Support to Struggling Small Businesses

Meanwhile, as the COVID-19 pandemic rippled through economies, labor markets and communities across the globe, the pandemic disproportionately impacted minority-owned businesses, causing many to close their doors for good. According to the Federal Reserve Bank of Cleveland, for small businesses that remain open, cash balances are a growing concern with small business owners of color struggling and experiencing a more severe cash crunch than their white counterparts.

In response to this reality, Accessity will deploy close to $20 million in loan capital to low-income and diverse entrepreneurs to help them build prosperous businesses and spark economic growth in their communities.

CDFIs Play a Vital Role

In addition, CDFIs play a vital role in increasing access to equitable loan capital for low-income, Black and Brown communities of color, who already face systemic barriers to accessing financing and business resources. Of the total $625,000 grant, $100,000 is dedicated to fund loans within Imperial County which is designated as a Persistent Poverty County by the CDFI fund and the remaining $525,000 will fund loans and reserves directly to support low-to-moderate income, African American and/or Hispanic owned small businesses in the four territories that Accessity serves.

“Small businesses are the economic engine that drives our country. I am extremely grateful to the U.S. Department of the Treasury for its generous grant that will help Accessity reach Imperial, Riverside, San Bernardino and San Diego County small business owners and help them gain access to much-needed capital to recover from the impacts of the pandemic,” says Robert Lopez, chief credit & operating officer at Accessity. “When we invest in the small business owners, particularly those within low-and-moderate income & BIPOC communities, we strengthen local economies, promote future growth and create more jobs and opportunities.”

Additional Information and Contact:

About Accessity

Accessity, formerly Accion serving Southern California, is an independent, 501(c)(3) nonprofit Community Development Financial Institution organization that provides economic opportunity to entrepreneurs through access to small business loans from $300 to $100,000 and a community of support and resources.

For more information, visit accessity.org.