Transcript Document
A One Stop Shop for Small
Business
Roberto E. Barragan
President, VEDC, Inc.
Presentation to NALCAB
www.vedc.org
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Valley Economic Development
Center
Multi-ethnic CDC
serving LA, Ventura, and
Orange counties
Will serve over 6,000 businesses in 2007
San Fernando Valley based non-profit
Technical Assistance Provider for 31 years
Largest Business Development Org. in Los
Angeles
7 offices stretching from the Valley to Downtown
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One Stop Shop for Small
Business
Womens
Business Center/Microenterprise Training
Glendale Capital Access Center
Los Angeles Business Development Corporation
Downtown Historic Core Retail Project
Pan City Retail Project
Retail and Economic Development
San Fernando Valley Financial Development Corporation
Pacoima/Credit Union
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Womens Business Center/SFV
Microenterprise Program
Serving 4,000 businesses annually
One
on One Consulting: Marketing, Accounting,
Strategic Planning
100 Workshops annually: current issues, I.e.
workers comp., family leave
Startup and Business Plan Assistance
Microenterprise/Entrepreneur training to fledging
and startup business; Spanish language training
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Glendale Capital Access Center:
Serves 1,000 businesses annually
Originates over
400 SBA loans annually in
Downtown, Glendale and Main Office
7(a), Community Express, 504
BofA SBA Express
Innovative Bank SOHO
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Bank Partners
Partnering with
numerous commercial banks,
including Wells Fargo, Wachovia, Bank of
America, Citibank, HSBC, Wamu, City National
and Cathay Bank to provide business and
community development lending,
Established referral and access to capital system
Objective is to increase business access to
capital
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Los Angeles Business
Development Corporation
State
Licensed Lender and FEDERAL Certified
Development Financial Institution
Revolving Loan Fund: $6.5M Loan Fund
BofA/SBA Microloans: 75 loans annually: $2,000,000
Wells Fargo Pacoima Microloan Program: $200,000
Cal National Downtown LA Microloan Program:$200,000
GE Money Womens Microloan Program:$500,000
Portfolio Management and Debt Advisory
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Downtown Historic Core Retail
Project:
40
new businesses,
200 jobs created
$6 million in financing
Unique model of 2nd tier retail in hottest RE
market in So Cal
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Panorama City Retail Project
Public Markets Assistance: Plaza del
Valle
New
Pan City/CRA program
Retail attraction, development and TA program
10 businesses, 25 jobs created in 1st year
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Economic Development
Pacoima
14
years, 800 businesses, 2,000 jobs
Retail Revitalization: $2M in capital investment
Volunteerism:
E file tax returns, 1,000, $2,000,000 in
refunds
Financial Literacy: Pacoima Family Development
Initiative
Job
Placement/Career Coaches: 150 FT/annually
Events: Xmas Job Fair, Adopt A Family
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Economic Development (cont)
San
Fernando Learning Center (Union Bank)
Union
Bank sponsored Technology Center: computer
training
1,000 visitors in 2006
Pacoima
Equity Fund
$700,000
investment in mid tech company to create 70
jobs
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Affiliates: San Fernando Valley
Financial Development
Corporation:
One of 11 FDCs in State of CA providing guarantees
to bank loans and lines of credit
Guarantee authority of $8 million against $2 million cash
reserve
$30M in loans guaranteed to date, 3,000 jobs saved or
created
14 banks are partners
Projected to do SBA 504 lending by end of of 2007
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Affiliates: Pacoima Development
Federal Credit Union
Credit
Union opened for business in September
2005
Low Income Designation
$500, 000 capital raised
$2.5 million in assets, 605 members, $550,000 in
used car loans
Just approved to do SBA lending
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Opportunities
Combine
entrepreneurial underwriting with
technical assistance
Strong SBA and SBA District Office relationship
Strong credit relationship with banks
Strong job creation requirements
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Financial Support
Federal:
SBA: 20%
City of Los Angeles/CDBG: 25%
Banks, corporations: 22%
Earned Income: 24%
Foundations, other: 9%
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The Future for Communities
Access to
Capital remains the biggest challenge
to the growth of diverse business, the creation of
local jobs and the revitalization of communities
Local responses to Credit works
Technical Assistance goes hand in hand with
Capital
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