Truist Foundation has helped bridge the wealth divide with a $1.5 million commitment to Accion Opportunity Fund, an approved nonprofit dedicated to giving capital, coaching, and networks to small businesses owned by people of color, women, and low-to-moderate income entrepreneurs. Through these funds, Accion will be launching its Down Payment Assistance Program which aims to help more minorities and women become first-time truck owners and entrepreneurs in Maryland & Georgia.
In an effort to create equity and reduce the gender and racial wealth gap, a strategy has been launched promoting investments in overlooked and underestimated entrepreneurs. This initiative provides much-needed resources for individuals striving towards economic success.
Maryland Lieutenant Governor Aruna Miller, Baltimore Mayor Brandon M. Scott, and business leaders Bill Rogers of Truist Financial and Luz Urrutia from Accion Opportunity Fund united at Coppin State University, a historically Black college in the city of Baltimore, to announce the grant and their commitment to explore the impact of this work in Baltimore and beyond.
“Truist Foundation recognizes the need for more tangible resources for women and people of color entrepreneurs,” said Lynette Bell, president of Truist Foundation. “Truck drivers quite literally drive our economy, and we are honored to partner with Accion Opportunity Fund to ensure that more first-time truck owners have a path towards affordable capital. This new Down Payment Assistance Program will help create quality job opportunities in our communities and propel our local economies forward.”
Studies have shown that women and entrepreneurs of color have historically experienced greater barriers in securing finances to start or expand their businesses. The Down Payment Assistance Fund has been created to help these groups level the playing field, allowing more people to participate in the trucking industry, through the grant’s support.
“We are grateful for this new relationship with Truist Foundation, which will provide critical support for women and people of color in the trucking industry,” Urrutia said. “Access to capital and resources should not be a barrier for first-time truck owners looking to drive wealth creation for themselves and our broader economy. The Down Payment Assistance Program will provide new opportunities for economic mobility for these entrepreneurs who are too often shut out of the traditional financial system.”
In the past year, Accion Opportunity Fund provided an unprecedented amount of capital to small businesses across America. Not only did they disburse a total of $113 million in loans to entrepreneurs from all backgrounds, but since 2010 their trucking lending program has surpassed over $360 million with more than 6,300 individual loans, including over 5,700 which went directly to helping first-time truck buyers get on the road.
“As a transportation engineer, I know the strong opportunities for entrepreneurship and greater financial capital that exist in the transportation industry. We must ensure historically disadvantaged communities are included in these opportunities for growth,” Miller said. “Today, Accion Opportunity Fund and Truist Foundation are taking meaningful steps to level the playing field and the Moore-Miller administration is grateful for their partnership as we work to create pathways to work, wages and wealth for all Marylanders across all sectors.”
Baltimore is seeing a surge in small business ownership among Black, Indigenous and people of color individuals. Though this sector has been booming nationwide since the onset of COVID-19, many minority owners are faced with greater scrutiny when it comes to securing loans. Fortunately for these entrepreneurs, Accion Opportunity Fund is helping create equal opportunities by providing access to credit – setting them up for financial success that leads to household wealth and security well beyond what wage earners typically experience.
“The collaboration between Accion Opportunity Fund and Truist Foundation aligns with our commitment to financially empowering our minority and women entrepreneurs in the trucking industry,” Scott said. “A few months ago, we announced a $10,000 hiring and retention bonus to eligible existing and new city employees who require a Commercial Driver’s License (CDL) to work. Now, through the Accion Opportunity Fund, we are equitably providing access to affordable capital that allows truck drivers to establish wealth for themselves and scale their business. It is the gift that keeps on giving.”
Source: The Trucker
