Credit unions could be part of a new $500 million initiative to bolster small businesses through a program created by Goldman Sachs Group Inc. and co-chaired by billionaire Warren Buffet.
In a Nov. 17 statement, the company said its "10,000 Small Businesses" program will provide greater greater access to business education, mentors, networks, and financial capital. Credit unions could be a part of the effort as Goldman Sachs said it will invest $300 million through lending and philanthropic support to community development financial institutions. The investment will increase the amount of growth capital available to small businesses in underserved communities and expand the capacity of the CDFIs to deliver enhanced technical assistance to small businesses, according to the company.
Goldman Sachs said it will also contribute $200 million for scholarships to partnerships between small businesses and local community colleges, universities and other institutions to study business education. Advice, technical assistance, and networking will be offered to participating small business owners through partnerships with national and local business organizations and Goldman Sachs.
The 10,000 Small Business program will have a 13-member advisory council co-chaired by Buffet, Goldman Sachs CEO Lloyd Blankfein and Michael Porter, a professor at Harvard Business School. The five-year program is modeled after Goldman Sachs' 10,000 Women initiative, which is currently operating in 18 countries.
