Programs

  • Business Development And Recovery Support

    Fiscal years 2021-2023 were unprecedented for our organization. Over the past four years, our community has weathered several disasters, from earthquakes to floods, but nothing has compared to the challenges of the past three years. With COVID-19, the 2020 fire season, and the 2023 flooding and Pajaro levee break, our businesses have been hit hard but remain resilient. In the aftermath of COVID-19, our team has focused on supporting local small businesses in long-term recovery. Simultaneously, we have worked on emergency response efforts for those affected by recent flooding and weather-related events in the Pajaro and Salinas Valleys. These events have also presented opportunities, as many individuals have been inspired to start new businesses. During the past year, the demand for our EMPRESARI@ core business class continued to increase, and there was also a rise in demand for other business development services and training.Our El Pajaro Regional Womens Business Center, sponsored in part by the U.S. Small Business Administration (SBA), is part of a national network of entrepreneurship centers throughout the United States and its territories. These centers are designed to assist women and other underserved business owners in starting and growing small businesses. Women's Business Centers seek to "level the playing field" for women entrepreneurs, who still face unique obstacles in the business world. This designation has allowed El Pajaro CDC to increase its services to women, entrepreneurs of color, and rural-based businesses. Since receiving this designation, our workload has continued to increase. During fiscal year 2022-2023, we provided business development services to 871 current and prospective entrepreneurs. Among them, 429 participated in training, and 788 received individual business advice. Seventy-two percent of our clients were women, 95% were people of color, 90% were Latino/Hispanic, and 14% were located in rural areas.As previously reported, in January 2021, El Pajaro CDC launched its in-house lending program. This program provides micro-loans to our small business clients with limited access to traditional lending opportunities. These loans come with access to our technical assistance, follow-up counseling, credit training, and other business support services. Our team has continue working on preparing a second application for certification as a Community Development Financial Institution (CDFI). This certification will enhance our ability to attract loan funds and increase the availability of loans to the community. The El Pajaro CDC loan program aims to fill a persistent gap in mainstream capital access for underserved businesses. The new loan program complements existing programs at Pjaro for a more holistic approach to supporting businesses, with a significant focus on loan readiness support to enable capital access. Our focus is on supporting prospective business borrowers who may face challenges such as being perceived as too risky by many lenders, having loan requests that are too small for many lenders, or facing strict underwriting criteria that result in denials for underserved businesses.As of June 30, 2023, 18 loans totaling $537,930.00 have been made using funds from HHS-OCS Community Economic Development, Community Foundation for Monterey County Foundation, NALCAB, and El Pajaros internal loan fund. Loan terms range from 12 months to five years, with interest rates ranging from 5% to 9%. Flexible underwriting criteria and the use of alternative collateral allow economically disadvantaged businesses to qualify for financing. Extended terms and low-interest rates contribute to the affordability of payments. El Pajaro CDC also offers a Rural Business Loan at 0% interest through a collaboration with NALCAB and HUD. Additionally, El Pajaro CDC partnered with the County of Santa Cruz to deploy forgivable loans for Family Childcare Providers. As of June 2023, our team has approved 21 childcare loans for a total of $210,000. As a result, our lending team closed the year with 28 approved loans totaling $747,930. We are proud of this progress and look forward to increasing our lending during 2024.During the past year, the EPCDC team also developed a new Childcare Business Creation and Expansion Program. This program includes the new Childcare Industry Training and Grants Program. Once participants complete the program, they will be eligible to receive a grant that supports the creation or expansion of their business. The grants will be awarded during the fiscal year ending June 2024. This program has been made possible thanks to a $1 million grant from the State of California Employment Training Panel (ETP).El Pajaro CDC's commercial kitchen incubator (CKI) has been serving tri-county entrepreneurs for more than nine years and currently has 35 small food businesses operating in the facility, with five new entrepreneurs in the licensing process. Over the past years, this program has supported not only food entrepreneurs operating at the facility but also other food-based businesses. This included the expansion of a How to Start a Food Business training program.
    Geographies
    Not indicated
    Dates
    Jul 1, 2022 – Jun 30, 2023
    Source
    990
    No causes provided
    No populations provided
    –
    $1.5M

  • Program 1 [2024]

    FISCAL YEAR 2023-2024: WE HAVE CONTINUED TO SUPPORT LOCAL SMALL BUSINESSES WITH LONG-TERM RECOVERY IN THE AFTERMATH OF COVID19. WE HAVE WORKED ON BUSINESS RECOVERY EFFORTS FOR THOSE AFFECTED BY RECENT FLOODING AND WEATHER-RELATED EVENTS IN THE PAJARO AND SALINAS VALLEYS. DURING THE PAST YEAR, THERE WAS CONTINUED DEMAND FOR OUR EMPRESARI@ CORE BUSINESS CLASS AND FOR OTHER BUSINESS DEVELOPMENT SERVICES AND TRAINING. OUR EL PAJARO REGIONAL WOMEN'S BUSINESS CENTER (WBC) CONTINUES TO OFFER SERVICES IN THE SANTA CRUZ, MONTEREY AND SAN BENITO COUNTIES OFFERING SERVICES IN 3 OFFICES THAT INCLUDE, WATSONVILLE, THE CITY OF SALINAS, AND THE CITY OF SOLEDAD LOCATED IN THE SOUTHERNMOST RURAL PART OF MONTEREY COUNTY. THE WBC IS A PROGRAM SPONSORED IN PART BY THE U.S. SMALL BUSINESS ADMINISTRATION (SBA). THESE CENTERS ARE DESIGNED TO ASSIST WOMEN AND OTHER UNDERSERVED BUSINESS OWNERS IN STARTING AND GROWING SMALL BUSINESSES. IT IS PART OF A NATIONAL NETWORK OF ENTREPRENEURSHIP CENTERS THROUGHOUT THE UNITED STATES AND ITS TERRITORIES. WOMEN'S BUSINESS CENTERS SEEK TO "LEVEL THE PLAYING FIELD" FOR WOMEN ENTREPRENEURS, WHO STILL FACE UNIQUE OBSTACLES IN THE BUSINESS WORLD. EL PAJARO CDC CONTINUES TO FOCUS ON UNDERSERVED ENTREPRENEURS AND RURAL BASED BUSINESSES. DURING FISCAL YEAR 2023-2024, WE PROVIDED BUSINESS DEVELOPMENT SERVICES TO 803 CURRENT AND PROSPECTIVE ENTREPRENEURS. AMONG THEM, 365 PARTICIPATED IN TRAINING, AND 754 RECEIVED INDIVIDUAL BUSINESS ADVICE. EL PAJARO CDC HAS CONTINUED ITS LENDING PROGRAM PROVIDING MICROLOANS TO OUR SMALL BUSINESS CLIENTS WITH LIMITED ACCESS TO TRADITIONAL LENDING OPPORTUNITIES. THESE LOANS COME WITH ACCESS TO OUR TECHNICAL ASSISTANCE, FOLLOW-UP COUNSELING, CREDIT TRAINING, AND OTHER BUSINESS SUPPORT SERVICES. WE CONTINUE WORKING ON PREPARING A SECOND APPLICATION FOR CERTIFICATION AS A COMMUNITY DEVELOPMENT FINANCIAL INSTITUTION (CDFI). THIS CERTIFICATION WILL ENHANCE OUR ABILITY TO INCREASE LOAN FUNDS AND THEIR AVAILABILITY OF LOANS TO THE COMMUNITY. THE EL PAJARO CDC LOAN PROGRAM AIMS TO FILL A PERSISTENT GAP IN MAINSTREAM CAPITAL ACCESS FOR UNDERSERVED BUSINESSES. THE LOAN PROGRAM COMPLEMENTS EXISTING PROGRAMS AND FOCUSES ON LOAN READINESS TO ENABLE CAPITAL ACCESS. WE SUPPORT PROSPECTIVE BUSINESS BORROWERS WHO MAY FACE BARRIERS TO MAINSTREAM CAPITAL ACCESS BECAUSE OF PERCEPTIONS OF RISK, SMALL LOAN REQUESTS, AND STRICT UNDERWRITING CRITERIA. IN FISCAL YEAR 2024, 21 LOANS TOTALING $715,000 WERE MADE USING FUNDS FROM HHSOCS COMMUNITY ECONOMIC DEVELOPMENT, COMMUNITY FOUNDATION FOR MONTEREY COUNTY FOUNDATION, NALCAB, EMPLOYMENT DEVELOPMENT DEPARTMENT OF THE STATE OF CALIFORNIA, AND EL PAJARO CDC'S INTERNAL LOAN FUND. LOAN TERMS RANGE FROM 12 MONTHS TO FIVE YEARS, WITH INTEREST RATES RANGING FROM 0% TO 5.75%. FLEXIBLE UNDERWRITING CRITERIA AND THE USE OF ALTERNATIVE COLLATERAL ALLOW ECONOMICALLY DISADVANTAGED BUSINESSES TO QUALIFY FOR FINANCING. EXTENDED TERMS AND LOW INTEREST RATES CONTRIBUTE TO THE AFFORDABILITY OF PAYMENTS. EL PAJARO CDC CONTINUES TO OFFER A RURAL BUSINESS LOAN AT 0% INTEREST THROUGH A COLLABORATION WITH NALCAB AND HUD. WE LOOK FORWARD TO CONTINUING TO INCREASE OUR LENDING DURING 2025. EL PAJARO CDC'S TEAM CONTINUES THE CHILDCARE BUSINESS CREATION AND EXPANSION PROGRAM WHICH INCLUDES THE CHILDCARE INDUSTRY TRAINING AND GRANTS PROGRAM. WHEN PARTICIPANTS COMPLETE THE PROGRAM, THEY ARE ELIGIBLE TO RECEIVE A GRANT THAT SUPPORTS THE CREATION OR EXPANSION OF THEIR BUSINESS. EL PAJARO CDC'S COMMERCIAL KITCHEN INCUBATOR (CKI) HAS BEEN SERVING TRICOUNTY ENTREPRENEURS FOR MORE THAN TEN YEARS AND CURRENTLY HAS 35 SMALL FOOD BUSINESSES OPERATING IN THE FACILITY, WITH 3 NEW ENTREPRENEURS IN THE LICENSING PROCESS. THIS PROGRAM SUPPORTS FOOD ENTREPRENEURS OPERATING AT THE FACILITY AND OTHER FOOD BASED BUSINESSES. THIS INCLUDED THE CONTINUATION OF A HOW TO START A FOOD BUSINESS TRAINING PROGRAM.
    Geographies
    Not indicated
    Dates
    Jul 1, 2023 – Jun 30, 2024
    Source
    990
    No causes provided
    No populations provided
    –
    $3M