Black Economic Fund Strategy

Part I - Leveraging Microenterprise Capital

The revolution of microenterprise development is built on the foundation of a simple truth: Many of the world's poorest people are a good credit risk. A lifetime of struggling just for food and shelter fosters the kind of single-minded drive that it takes to start or build a small business. Rather than being merely victims, the world's poor are the key to their own emergence from poverty. Given a working chance - just a start - they can begin to build their own future.

Blacksonville Community Network's approach provides emerging entrepreneurs with access to small loans and training that will enable them to start or expand their own businesses.

Microenterprise development started as microcredit - the provision of small, collateral-free loans to the poor in developing nations. Over time, this term has expanded to include a broader range of services such as savings and insurance, all encompassed by the term microfinance.

But poverty is multidimensional. Therefore, microenterprise development builds on the foundation of microfinance and adds business training, mentoring, financial planning and leadership development.

By helping a poor family to increase their income, microenterprise development has an immediate and lasting impact on quality of life - the ability to afford food, shelter, education and healthcare. As business income increases, the business is able to expand, and the effect spreads beyond the family into the local community, through employment and contribution to the local economy. Thus, the benefits of microenterprise development help grow not just businesses, but stronger communities as well.

Micro Enterprise Development (MED) is a proven way to strengthen viable, small businesses owned by local residents, resulting in increased economic impact and higher household income and savings, thus, alleviating the crunch of economic poverty. Blacksonville and our Community Partners work alongside enterprising members, helping them realize their economic potential and proving that they have the capacity to build their own, small Micro Enterprise units. Blacksonville facilitates the formation of Self-Help Groups (SHGs) to save, share and build capacity. Small loans for the businesses are provided and collected through individual members in SHGs.

A specialized non-profit company, established under Florida Law, manages the loans and economic assessment. The non-profit company called 'WEALTH WATCHERS, INC.' focusses on MED in target communities identified by Blacksonville. Small loans (ranging from $2,000 to $10,000) are provided for individuals in SHGs, along with training on management, marketing and investments.

As a result of such economic development initiatives, many small businesses and their communities expand and become viable. As a result, poor families have enough to feed their children and send them to school. The marginalized poor develop their businesses and manage to live a decent life in a decent neighborhood. This approach is very powerful in revitalizing communities from economic poverty, ultimately leading the community to be self-reliant and live with dignity.

If you decide to partner with the Blacksonville Community Network in building economically viable communities across Urban America, you would be helping to reach out to millions of impoverished people and adding on to investment funds for people who work where they live. These will be disbursed through various Micro Enterprise Development arms in your city.

Contact us if you would like to conduct research study on the opportunities in your neighborhood. Help us to ensure these funds are not wasted. Call 800.863.9130 for details.