New program gives Bronx small business ambition
Posted on 15. Sep, 2010 by Vishal Persaud in Uncategorized
Rey Santana, owner of Professional Line Painting, stands at his van used for his Bronx small business.
Despite recent news that the recession may be over, small businesses continue to struggle – especially in the Bronx where business owners were among the hardest hit in New York City.
Rey Santana has owned his small business on the Grand Concourse for almost 25 years – but when the recession hit and banks were cautious to give out loans – he couldn’t expand his pavement painting company to contend with larger mainstream businesses.
“My biggest problem is financing; I’m not having the proper tools to go to work,” said Santana, 54, a native of the Dominican Republic.
But now, with the help of a new training program, Strategic Steps for Growth through the Department of Small Business Services, Santana is learning the skills he needs to run a successful and viable business.
“This program is definitely a springboard for an entrepreneur like myself,” he said.
In his third session of classes, Santana said he learned about salesmanship, and how to understand finances and market analysis on his industry. He’s learned how to market his company as well, but he has a few more months left of classes to learn.
The training program targets women and minority business owners who make up a large portion of small business owners in the Bronx and have been amongst the hardest hit during the recession.
The program has made financing available for small business owners like Santana through NYC Business Solutions, but the $75,000 loan isn’t enough.
Santana has tacked on a door in his office four pictures of pavement painting trucks. He said he will need over a million dollars in financing in order to buy those trucks to help expand his business – money that banks are not willing to give to his small business without signs of business viability.
That’s part of the reason why he enrolled in the program. He hopes to get those trucks, hire more workers and take on bigger contracts. But he can’t do that without a good business model.
New programs like this one come in light of city legislation signed by Mayor Michael Bloomberg in 2005 to make sure more business opportunities are available for minority and women-owned businesses.
A recent report from the City Council noted that these types of businesses only account for only 1.6 percent of ones that get contracts from city agencies. One of the goals of Mayor Bloomberg’s legislation was to give these kinds of businesses opportunities to grow and expand.
Twenty-five percent of businesses in the Bronx are owned by African-Americans, 41 percent by Hispanics, and around 42 percent by women – all higher than any other borough in New York City, according to 2002 statistics from the U.S. Census Bureau.
“This is great opportunity to take advantage of something that’s being offered, which can only enhance what Bronx business have to offer,” said Marlene Cintron, president of the Bronx Overall Economic Development Corporation.
“Bronx economic activity continues to improve,” said Michelle Dolgow, chief of staff at the Bronx Chamber of Commerce.
But Santana’s biggest problem is to gain financing for his business. It’s been tough for him to juggle taking what he learns in the classroom and having time to implement those skills while he continues to operate his company.
“I realize that I have to be patient,” he said. “I have to manage my business in a special way in order for me to take steps.”
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