Cook County is stepping up its game to support local small businesses by launching a new grant program aimed at bolstering community financial institutions (CFIs). Announced by Cook County Board President Toni Preckwinkle, the Cook County Community Financial Institution Capacity Building Grant will dish out a total of $1.4 million to a select group of nonprofit lenders that cater to small businesses in need of capital. As reported by the Cook County website, this initiative addresses the critical gaps small businesses face when they're turned down by conventional bank loans, providing a lifeline to those operating within the county's economic ecosystem.
Nonprofit lenders eager to apply for a slice of this funding pie have until July 25, 2025, to submit their applications, with the County eyeing grants for up to four organizations that meet the criteria, they must have a history of at least two years in the lending game, be squared away with regulatory bodies and be poised to offer or boost their small business lending in Cook County, according to the official announcement from Cook County. The grant is designed not just for increasing direct lending capacity, but can also enhance operational aspects such as staffing, technology, and marketing.
In line with the Cook County Small Business Source program, which already provides a wealth of resources to entrepreneurs at no cost, this new grant scheme from the Bureau of Economic Development serves as a complementary avenue of support, focusing on the vein of access to capital—the most sought-after service at The Source. A landscape assessment conducted in 2023 in collaboration with Next Street—a firm specializing in small business support solutions—highlighted the limited funding options offered by CFIs, thus underscoring the necessity of a program such as this. "We commend Cook County," shared Charisse Conanan Johnson, CEO of Next Street, "for their bold and pioneering role in expanding access to responsible capital for small businesses by investing directly in the institutions that serve them."
The program has garnered the backing of advocacy groups such as the Woodstock Institute, where president and CEO Horacio Mendez hailed the initiative, "Strong local economies start with strong small businesses, but persistent gaps in access to safe and affordable financing make it too difficult for owners to sustain and grow their businesses," he told the Cook County website "We applaud the County’s initiative to help local financial institutions fill those gaps." This initiative promises to multiply the positive impact of lenders and build a more robust Cook County by directly empowering organizations dedicated to nurturing and financing small businesses within the community.
