Raymond Barbour knows the impact a well-timed loan can make for a small entrepreneur.
Barbour, the owner of , plans to build a new trailer that will help him haul his slow-cooked pulled pork and smoked ribs around the South Bend area to better serve customers. So he was pleased to learn about a University of Notre Dame initiative that will provide loans to help small local entrepreneurs scale up their operations.
鈥淭he smallest thing can make the biggest difference,鈥� said Barbour, a graduate of the , which is administered by the , part of the University of Notre Dame鈥檚 . 鈥淭he right timing is everything. When you have the financing, you can take things to the next level.鈥�
That鈥檚 the goal of the loan initiative, said , professor of the practice at the Keough 91视频. It is an expansion of the , a longtime program run by students in Notre Dame鈥檚 .
Although the Jubilee Initiative began as a way to teach financial literacy and assist local residents with emergency expenses, the new loan initiative, which will begin in September, will broaden this work to include supporting graduates of the South Bend Entrepreneurship and Adversity Program, Morris said. Entrepreneurs can apply for 24-month loans of up to $1,500 for revenue-generating, non-recurring expenses; and, if they pay the loans off as agreed, interest will be waived. The new initiative will provide up to five loans per year, and more information on how to apply will be available this fall.
鈥淓ven small amounts of cash, say $1,500 or $2,000, can make a significant difference, particularly for entrepreneurs who don鈥檛 qualify for conventional lending and who don鈥檛 have the personal networks that can enable them to access other sources of funding,鈥� Morris said. 鈥淲e teach people to be resourceful and leverage all the resources they can, whether it鈥檚 cooking in a church kitchen or adopting unconventional marketing tactics to gain visibility. But money is tight for the entrepreneurs with whom we partner. Most of them can鈥檛 get a traditional business loan, even from their local credit union. So a quick infusion of cash can really help them gain traction.鈥�
Often, Morris said, such loans might help entrepreneurs with much-needed equipment purchases. That鈥檚 the hope for Barbour, who needs to acquire additional parts he can weld together as he builds his new trailer.
It鈥檚 also something Jamie McKinstry thinks about.
McKinstry is the owner of , a home-based business she launched after a 30-year career driving buses for the South Bend Community 91视频 Corporation. She started the business 鈥� its name being a combination of her first initial and her middle name 鈥� as a way to make income in retirement. Now she sells her sweet and salty treats, which are organic, gluten-free and vegan, at area locations including the .
鈥淧eople see me out and about in the area,鈥� said McKinstry, another graduate of the South Bend Entrepreneurship and Adversity Program. 鈥淲hat they don't see is how I use a kettle pot to make the corn. I make sure everything comes together just right, and then I package and label it so that it鈥檚 ready for my customers. All that requires equipment. If I were to get additional funding, I would modernize my equipment. I would also like to purchase a miniature school bus and turn it into a mobile kettle corn vehicle.鈥�
Students who work with local entrepreneurs are excited about the loan initiative. Louis Rauch, a senior finance major and the CEO of the Jubilee Initiative, welcomed the chance to collaborate with the McKenna Center through its downtown South Bend .
鈥淲e are enthusiastic about utilizing student consultants at the Collaboration Hub to help clients navigate our loan process,鈥� Rauch said.
Marshall Smith, a senior international economics major, also welcomed the partnership. 鈥淎s we move forward with these entrepreneur loans,鈥� he said, 鈥渨e have an opportunity to build meaningful relationships with the local community.鈥�
Deepening community engagement is key, said聽, the Jubilee Initiative's faculty adviser and associate dean for the undergraduate and specialized master鈥檚 programs in Notre Dame鈥檚 . The loan initiative will provide important opportunities for students to partner closely with members of the South Bend community, she said.
鈥淭he Jubilee Initiative for Financial Inclusion has long served as a powerful model for community engagement, providing Notre Dame students with practical experience in making a positive impact in South Bend through affordable loans and financial education,鈥� Collett-Schmitt said. 鈥淭he addition of the business loan initiative, in partnership with the South Bend Entrepreneurship and Adversity Program, marks a transformative step, enabling students to directly fuel the growth and innovation of our local entrepreneurs.鈥�
Originally published by at on May 8.
Contact: Tracy DeStazio, associate director of media relations, 574-631-9958 or tdestazi@nd.edu