Naperville, IL., June 28, 2012 – Across the City of Chicago, one area credit union has been providing critical loans to help the small business community grow and succeed.
For the past year, the North Side Community Federal Credit Union (NSCFCU) has been participating with the City Treasurer to provide these loans via the city’s Small Business Development Fund. Loans ranging from $5,000 to $35,000 have been granted to businesses registered and located in Chicago. Authorized loan purposes include working capital, establishment of a new business; expansion of existing business; job creation and/or retention; purchase of equipment/machinery/supplies or inventory and other crucial operational needs. Start-up businesses may be eligible to receive up to $15,000.
Since program launch, NSCFCU has assisted nine businesses with a total of $218,500 in loans. Businesses include a day care center, a hand car wash, a children’s retail clothing store, a cosmetics manufacturing company, a trucking company, a medical supply business, a medical concierge business, a printing and design company, and an eye wear manufacturer.
One such business that has benefitted from this partnership program is H.D. Printing. In September 2011, this small business received a loan of $12,500 to purchase a new die cutter, a Macintosh computer, and additional working capital to help with operating expenses.
“This loan helped us with our cash flow and equipment purchases that we wouldn’t have been able to do otherwise,” said Andy Holck, co-owner. “It has allowed us to do work in house at 25 percent of the cost that we would have paid to contract out which has led to us bringing on a new employee.”
Loan funds are guaranteed by the City of Chicago. However NSCFCU administers the loan approval process via a dedicated part-time staff person specifically for this program and its small business loan committee.
“North Side Community Federal Credit Union’s small business loan program furthers our mission to provide resources and affordable services to our diverse community, which includes small businesses,” said Jennifer Sierecki, CEO, NSCFCU. “We are grateful to have the opportunity to assist local small businesses with the vital capital resources they need to start, expand, and grow.”
“Helping small businesses is another important way in which credit unions exhibit their “People Helping People” philosophy throughout the communities in which they serve,” said Dan Plauda, president/chief executive officer of the Illinois Credit Union League (ICUL), the primary trade association in Illinois serving more than 370 credit unions and their 2.84 million members across the state. “During these continued challenging economic times, small business owners are very appreciative of resources to help them prosper and credit unions are very willing to partner with them.”