Two Omaha Projects Receive CAHD Grants
Diocesan Press Service. November 24, 1975 [75407]
OMAHA, Neb. -- Two Omaha community agencies have been awarded grants by the Episcopal Church's national Community Action and Human Development Committee (CAHD) within the past few months.
The Community Equity Corporation was given a grant of $20, 000 in June. $15,000 of this grant was matched by the United Methodist Annual Conference of Nebraska. The purpose of Community Equity is to provide low-interest loans and equity investments for minority entrepreneurs to aid in small business creation and expansion. These businesses are handicapped in getting financing with commercial banks since the owners often do not have enough equity. Community Equity furnishes venture capital which will enable these businesses to negotiate loans from traditional lending institutions.
Since its inception in November, 1972, Community Equity has financed 35 businesses for over $70, 000 which made possible further loans of nearly $700,000 from lending institutions and has created or sustained nearly 300 jobs, mainly in the black community. The grant from the Episcopal Church has thus far been used to finance five businesses with another loan pending. It is virtually certain that at least five of these six will survive and be able to repay their loans, thus continuing the service.
Community Equity Corporation is associated with the United Methodist Community Center and has also received aid from Roman Catholic and United Presbyterian sources.
A second Omaha agency funded by the CAHD is the Franklin Community Federal Credit Union, which, since 1968, has provided financial services to 1,800 low-income members in an area of North Omaha.
A $10, 000 grant from the Episcopal Church's CAHD has made it possible to expand this service to the rapidly changing area of South Omaha, hard hit by the closing of several of the packing plants that had for many years made South Omaha a beehive of activity.
A branch office will be established in the Woodson Center, a community center in the hard-hit area of South Omaha. The cost of establishing this branch office and operating It for 16 months is estimated at a little over $22,000, about half received from the Episcopal Church. It is expected that the branch would be totally self-supporting at the end of that period.