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Published on: 3/8/2004
Last Visited: 3/8/2004
Melissa Amado proudly points to the statistics: 19 loans granted between May 2002 and December 2003, creating 85 jobs in Tucson's inner city neighborhoods.
As development officer for the Business Development Finance Corp., Amado cites these numbers to demonstrate the effectiveness of "Tucson's Money," a creative financial package aimed at jump-starting business opportunities within the city's extensive enterprise zone with a focus on the smaller and more disadvantaged empowerment zone.
Without the program, she said Tucson would have fewer companies able to expand and take on new workers, especially those in the city's poorest neighborhoods."This has been a good opportunity for business owners, especially if they're moving into the empowerment zone, and a good opportunity for the community to support investment and economic development," Amado said.
Established in 1979 to provide affordable financing for Arizona business, the U.S. Small Business Administration-affiliated BDFC has invested in over 750 Arizona companies who have sponsored over $700 million in projects over the last 25 years.
In response to central Tucson's 2002 designation as a federal empowerment zone, the nonprofit corporation targeted its resources to support employers in the zone, which extends from Flowing Wells to Irvington, between Mission and Campbell.The result, Amado said, has been $7.9 million worth of investment by companies purchasing and upgrading commercial real estate in the zone.
Supporting the investment has been $2.89 million in loans from the Business Development Finance Corp., from its small business and SBA 504 loan programs."Normally, financing through the SBA 504 program requires 50 percent of real estate investment money to be loaned by banks, with another 40 percent coming from the BDFC.The remaining 10 percent is paid by the participant," she explained.
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For further information on the Tucson's Money program, contact Melissa Amado at the Business Development Finance Corp. at (520) 623-3377 or on the Internet at www.bdfc.com.