A new microloan program in Wyandotte County wants to help local startups flourish and make entrepreneurship more accessible.
NetWork Kansas launched the $150,000 Empower WYCO Fund, along with collaborators that include the Wyandotte Economic Development Council and The Toolbox Small Business Resource Center in Kansas City, Kansas.
Four microloans are going through the approval process, said Gabe Muñoz, executive director of The Toolbox. The pilot fund will award up to $15,000 for each microloan, which can be used for equipment, inventory, repairs, a building purchase and working capital.
Although the fund launched less than two weeks ago, organizations already have voiced interest in providing additional funding to extend the program, he said.
"(We have) the ability to help people achieve their dreams — not just dream about opening a business, but to be able to have the financial means to get their business launched," Muñoz said of the program. "They can start taking on larger projects and contracts or bring on a new staff member to help build capacity for that business. It opens the doors to a lot of small businesses who have the dream and the idea but haven't had the financial means to take those next steps."
It also creates a financial pathway for individuals who don't need or qualify for a traditional bank loan.
Empower WYCO fills a gap in early-stage funding, targeting startups less than two years old in Wyandotte County. The program requires microloan recipients to work with at least one of the technical assistance and education program partners, which are:
- Small Business Development Center at Johnson County Community College
- Black Mastermind Group/KCK Entrepreneurial Resource Center
- The Toolbox
- Entrepreneurial Business Basics
- The Porter House KC
The resource partners can help startups with financial projections, marketing and growth plans, and other key areas to help the businesses thrive.
"It's about the long-term relationship, because we know the more connected an entrepreneur is to resources, the higher the likelihood of success," Muñoz said.
The group also wants to help entrepreneurs stay motivated and navigate challenges when things don't go as planned.
"At the end of the day, we want to build stronger businesses as well as help increase the capacity of these small businesses by creating more jobs in the local economy, increasing their sales and just making entrepreneurship more accessible," Muñoz said.
