DHCR Announces Funding to Help Small Businesses and Entrepreneurs

ALBANY, NY (05/17/2010)(readMedia)-- The NYS Division of Housing and Community Renewal (DHCR) today announced four grant awards through the NYS Community Development Block Grant (NYS CDBG) Small Business Program. The awards will help new and existing small businesses and micro-enterprises gain access to capital and provide economic opportunities.

DHCR Commissioner Brian Lawlor said, "Small businesses are the backbone of economic development and community revitalization. These grants will help establish new small businesses and also help existing businesses to grow and create new jobs opportunities."

The grants will help two local governments -- St. Lawrence County and the City of North Tonawanda in Niagara County – create their own microenterprise programs to assist local entrepreneurs. Additionally, the City of Salamanca was awarded funds to support the expansion of an existing business and the City of Port Jervis in Orange County will be able to assist the start-up of a new business.

Details of the awards include:

• St. Lawrence County was awarded $200,000 and will provide $21,000 of its own funds to establish a Microenterprise Grant Program, which will provide grants of between $5,000 and $35,000 to support start-ups as well as existing micro-businesses in varied industry sectors that have limited access to capital. Beneficiaries will be required to provide a minimum of 10 percent equity to the project, and will also be required to complete entrepreneurial training through Clarkson University.

• The City of North Tonawanda was awarded $200,000 for the city's Downtown Microenterprise Program, which will assist a minimum of 15 micro-enterprises that will create 65 full time jobs, 50 of which will be provided to low and moderate income New Yorkers. The program will provide grants of between $5,000 and $35,000 to microenterprises that provide essential goods and services in the downtown redevelopment area. The Lumber City Development Corp has committed to providing $36,000 for administration of the program. Participants in the program will be required to provide 10 percent in owner equity, and to complete Niagara County's 12-week Microenterprise Training Program.

• The City of Salamanca will use a $100,000 grant to help Snyder Manufacturing, Inc (SMI) expand its operations. SMI will also provide $125,000 in private investment and the City IDA will provide an additional $25,000. This investment will allow SMI to transition from selling its products directly from the factory to creating a network of exclusive dealers throughout the US and Canada. Funds will be used for working capital and inventory, dealer samples, training and software. The expansion is expected to create five new full time jobs which will be made available to low and moderate income New Yorkers.

• The City of Port Jervis was awarded $51,000 in NYS CDBG funds to assist the start-up of a unique restaurant and bakery specializing in Italian frozen gelato, desserts, pastries, soups and artisan breads. The owners of the new restaurant, Gio's Gelato café, will provide $30,000 of their own equity, the City will provide a loan of $25,000 and the Orange County MWBE program will provide $20,000. The funds will be used for machinery and equipment, working capital, inventory, furnishing and fixtures, and the business will create six new full time jobs for low and moderate income New Yorkers.

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