U.S. Treasury Awards MCDC $1.5 Million to Lend Out to Small Businesses

Great news for Montana businesses! The U.S. Treasury Department recently announced that MCDC was one of several organizations nationwide to receive the top dollar award of $1.5 million to lend out to small businesses around the state.

MCDC’s loan fund for small businesses received a boost of $1.5 million from the U.S. Treasury’s Community Development Financial Institution fund. The money is awarded to help community-based financial institutions like MCDC spur local economic growth and recovery, as well as expand access to affordable financial products and services. MCDC’s loan fund provides capital for Montana business owners who do not quite qualify for traditional bank loans.

Two other Montana groups receiving grants from the CDFI were Jobs Now, Inc. in Kalispell and NeighborWorks Montana in Great Falls. MCDC was one of several groups nationwide to receive the top dollar amount awarded.

Montana Senator Jon Tester has stressed the significant impact that the CDFI program brings to small businesses and their communities around the state, and has expressed his continued support for the program. "Small business owners are the real job-creators in Montana," Tester said. "And this investment in Montana business will open the door to opportunities. With its proven track record, the Montana Community Development Corporation will spur job creation by getting important resources into the hands of those ready to hire more people and grow Montana?s economy."

Also a longtime champion of Community Development Financial Institutions, Montana?s senior U.S. Senator Max Baucus says these funds provide an efficient and cost-effective tool for small businesses. "Small businesses are the engine of our economy and MCDC has a great track record of helping the rubber meet the road. These funds allow Montanans who might not qualify for a traditional business loan move forward with their great ideas to grow, enhance our communities and hire workers. I’m pleased to see MCDC successfully tap into this important resource for our state."

Using previous CDFI funding, MCDC has provided over 40 entrepreneurs throughout the state with loans to start or grow their small businesses. Jason McFarlane of Riverside Garage Doors in Kalispell used a CDFI loan to sustain his garage door manufacturing business through the construction downturn, allowing him to retain five jobs in this rural area. In Great Falls, Robin Fleek expanded Sapphire Assisted Living Facility by using CDFI funds to purchase an additional building to house more elderly residents. In Stevensville, Felicia St. Germain of Leaps and Bounds Learning Center purchased a new building for her childcare facility with a MCDC loan, keeping high quality childcare in a rural area. And in Bozeman, Katherine Dayton used MCDC financing to purchase Visions Service Adventures, which allows high-school students to participate in community service in cross-cultural communities.

MCDC looks forward to putting the new CDFI funds to work for additional business owners across the state, helping them to create jobs and build economic vibrancy within their communities. For questions about MCDC’s loan fund contact Patty Cox at [email protected] or 406.728.9234.
http://www.mtcdc.org