For over three decades, the Philadelphia Commercial Development Corp. has provided financial support to local minority businesses and start up companies. To date, much of the PCDC’s funds are received from state and federal grants provided by the city of Philadelphia.
In early July, the city plans to cease its funding of PCDC, and to redirect those funds, in whole or in part, to other established goverment agencies.
According to city officials, the two primary functions of PCDC, lending to small businesses and development of commercial properties, will continue without any interruption, but will be handled through the city’s Commerce Department.
“Lending will likely be moved to the Philadelphia Industrial Development Corp.,” said Kevin Dow, deputy commerce director.
PCDC is an independent non-profit organization. Thus, its board can choose to continue its efforts without the financial support of the city. However, this will not be an easy decision to make because the bulk of its funds, for years, have come from state and federal grants.
Dow also assures the residents of Philadelphia that the focus on minority and small businesses will remain the goal of the city, stating specifically…
“These resources are still driven towards minorities and minority-owned companies. We will not lose that emphasis. That overall mission of the organization will remain.”
If you’re a minority small business owner that believes you may be affected by the cuts to PCDC, we’d like to hear from you. Drop us a comment and let us know how these changes may affect your business.
Sources:
Philadelphia Daily News
Philadelphia Commercial Development Corp.