Wells Fargo Bank plans $1 Billion Loan to African American Business Owners
Wells Fargo Bank has announced that it is establishing a $1 billion loan program to fund the growth and expansion of African-American small businesses across the United States. The first of its kind, this loan commitment extends for the next 12 years to established African-American small business owners. “Wells Fargo has created this program to ensure that African-American small business owners have access to credit for their businesses,” said Effie Booker, senior vice president and community development officer for Wells Fargo. “As a leader in small business banking, we are always seeking to expand our business and reach potential small business customers.”
To obtain information about how to get credit under the African-American Loan Program, small business owners can sign on to “NetNoir Online” a leading African-American Internet.website The site provides a “self-test” consisting of eight questions to help small businesses determine if they qualify for a business loan.
According to BusinessWire, business owners whose answers match the bank’s criteria are routed to a secured site where they provide contact information so a Wells Fargo representative can call them to enable them to apply for credit. Those whose answers do not match the bank’s criteria are provided with information designed to help them take steps to qualify for business credit.
Small business owners interested in obtaining information about applying for the loan program may also call 1-888-293-5254.
“Forty percent of all small businesses are currently on the Internet, and the numbers are growing rapidly,” said David Ellington, CEO of NetNoir. “Specifically, African Americans are one of the fastest-growing groups online; and we are proud that Wells Fargo has decided to use the Internet as an additional way to reach African American small business owners, thereby encouraging use of this important new medium.”
To qualify for an unsecured loan of from $5,000 to $100,000 under the African American Loan Program, business owners must have been in business for at least three years; have not declared bankruptcy within the past 10 years; have a satisfactory personal and business credit record; have a profitable business; and have an established bank account for business.
Among the largest lenders to small business in the country, according to Sheshunoff Information Services (American Banker, 01-13-97), Wells Fargo established a $1-billion Women’s Loan Program in 1995, subsequently expanding it to $10 billion in 1996, and a adding a $1-billion Latino Loan Program in 1997.
Based in San Francisco, Wells Fargo & Company has been serving the financial needs of small businesses since 1852, when Wells Fargo agents operated banking and express offices during the California Gold Rush. Today, Wells Fargo is the tenth-largest bank holding company in the country, with $94.2 billion in assets as of March 31, 1998. NetNoir is a new-media company promoting, developing, digitizing, archiving, and distributing Black/Urban programming and commercial applications for interactive media needs.
For further information, you may contact Wells Fargo Bank’s Lisa Rossi, 415-396-5877; or Joseph Mouzon at 415-536-6709.
