Income-based program looks to loan total of $5M to boost Fayetteville small businesses

FAYETTEVILLE, N.C. (WTVD) -- A new loan initiative in Fayetteville could help small business owners of modest means get a boost to build their enterprises.

The Fayetteville Cumberland County Economic Development Corporation's new loan program, "Can Do Performance Finance Program," is focusing on entrepreneurs with mostly low to moderate incomes. The FCEDC is also working with business owners from backgrounds that historically have had less funding. About 10 to 15 entrepreneurs will receive up to $750,000 through the loan; there is a total of $5 million for the program.

"GGS, you know. We're more than just an intelligence consulting firm. We're stylists of information," said Austin Joseph, who launched his business last year. "We believe intelligence work doesn't have to feel rigid or archaic."

Joseph, a veteran, said he takes great pride in his Fayetteville-based drone company, Geranium Geospatial Solutions. But he said the loan he's applying for through the FCEDC could take his business to the next level.

"We'd be able to acquire more critical technology, such as drones and advanced computer systems, and then ultimately enhance our operational capacity," Joseph said.

The FCEDC is a public-private partnership that aims to enhance job growth and prosperity across the community.

"The way the program works is companies are committed to create jobs, and when they do, the funding is forgiven, if you will, a loan converts to a grant and you can receive up to $750,000 for a qualifying project," Robert Van Geons, FCEDC president and CEO said. "We realized if we wanted to be able to provide a vehicle for change, we needed to bring funds to the table to allow entrepreneurially-minded individuals to grow their business."

Dr. Tamara Colvin is the director of the Fayetteville-Cumberland Regional Entrepreneur & Business Hub. Colvin provides support to budding entrepreneurs as they seek funding and resources for the ventures, and works in tandem with FCEDC.

"We do realize that marginalized population of our minority, our women-owned and veteran businesses --they do face hurdles, significant hurdles in trying to get access to capital," Colvin said.

What kind of hurdles? Colvin cited things such as low credit scores, lack of personal credit, and lack of business credit.

Van Geons noted that one of the "toughest gaps" those who were interested had was "access to patient, non-interest-bearing capital."

"We could get them a loan, but with the interest and such, it didn't give them enough breathing room to really ramp up their business," Van Geons said. "And that's what we're trying to correct."

Joseph says he hopes the program will encourage more young professionals to keep investing in Fayetteville.

"Grants like this coming up for small businesses like myself, that allows us to be able to work here in Fayetteville and not leave and go to The Triangle. Go to DC. Or go to Atlanta," he said.