Commission on Economic Inclusion receives two grants totalling $1.15M to continue progress in MBE development

Wednesday, June 30, 2010

Cleveland, Ohio—The Commission on Economic Inclusion has been awarded two grants totalling $1.15 million to support the Minority Business Accelerator 2.5+ initiative and to help launch an access-to-capital fund for minority business enterprises (MBEs).

The Commission received a $750,000 grant from the Fund for Our Economic Future and a $250,000 grant from the Cleveland Foundation to support the Accelerator’s third year of operations. The Accelerator provides African American and Hispanic MBEs with technical, financial and business assistance to build capability and capacity. The Cleveland Foundation also awarded a $150,000 grant to establish a fund that will allow the Commission to provide growth capital to African American- and Hispanic-owned companies.

“We look forward to another year of building win-win relationships for our private- and public-sector clients and our MBEs,” said Andrew Jackson, executive director of the Commission. “We’re also continuing to expand and formalize collaborative efforts with organizations, such as the Northeast Ohio Hispanic Chamber of Commerce, to enhance our outreach in identifying minority-owned companies throughout Northeast Ohio that have a solid track record and are positioned for growth.”

In its first two years, the MBAccelerator 2.5+ has facilitated 26 deals for minority business enterprises (MBEs) valued at $70 million. The Accelerator also created or supported 400 FTE jobs.

Companies and organizations that have signed deals with MBEs registered with the MBAccelerator 2.5+ include Akron Metropolitan Housing Authority, Case Western Reserve University, City of Cleveland, Cleveland Clinic, Cleveland Metropolitan School District, Cleveland Museum of Art, Cleveland State University, Cuyahoga County Board of Commissioners, GE Healthcare, KeyBank, The MetroHealth System, Northeast Ohio Regional Sewer District, The Sherwin-Williams Company, Stark Metropolitan Housing Authority, and University Hospitals.

Jackson also noted that the Accelerator continues to enhance its regional focus. To date, 80 MBEs have been recruited from Cuyahoga, Lorain, Portage, Stark and Summit counties, and 10 regional partnerships have been established including with the Canton Regional Chamber of Commerce, Hispanic Chamber of Commerce, Main Street Orrville, Minority Contractors and Business Assistance Program (MCBAP) Cleveland office, North Canton Chamber of Commerce, Orrville Chamber of Commerce, Team NEO, Walsh University, Wayne Economic Development Council, and City of Youngstown. “Our goal is to ensure that minority-owned companies across Northeast Ohio are successful,” says Jackson. “Their ability to expand and create jobs will benefit the entire region.”

The MBAccelerator 2.5+ works with African American and Hispanic MBEs with annual revenues of at least $2.5 million in a 16-county area* of Northeast Ohio. Key deals that MBEs have closed include:

  • APA Associates (structured data cabling)
  • Clark Mechanical, Inc. (construction/subcontract)
  • Coleman Spohn Co. (construction/heating and cooling)
  • The Coniglio Co. (construction/renovation)
  • Global Point Technologies, Inc. (data cabling)
  • FX Digital Media (printing)
  • Key General Contractors (construction/renovation)
  • John W. Todd & Associates (construction/carpentry)
  • MAC Installations & Consulting LLC (telecommunications)
  • Price Builders & Developers (construction/reinforcing bars)
  • Ralph S. Tyler Companies (architectural design)
  • Raymond Jackson Enterprises (construction/renovation)
  • Roma Designs LLC (general contracting)
  • Start to Finish Construction (carpentry and finishing)
  • Strong Tool Company (maintenance and repair operating supplies)
  • Triple A Builders (construction/ architectural fiberglass, gypsum board systems and fixed sound absorbing panel installation)

Access to Capital Fund

The Cleveland Foundation award of $150,000 will be used to help establish a fund to secure lines of credit for African American and Hispanic MBEs in Northeast Ohio who need working capital. Research presented by the Kirwan Institute for the Study of Race & Ethnicity at The Ohio State University has found that a lack of access to capital is one of the main impediments to an MBE’s opportunity to grow. “We must respond to this reality,” said Jackson. “Companies that have sufficient working capital will be more successful, since they can expand and improve their operations.”

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The Commission on Economic Inclusion, a program of the Greater Cleveland Partnership (GCP), works to significantly improve the meaningful involvement of minority businesses and individuals in the economic engines that drive Northeast Ohio. The GCP mobilizes private-sector leadership, expertise and resources to create jobs and wealth and improve the economic vitality of the region.

*The 16-county service area of the Minority Business Accelerator 2.5+

1. Ashland
2. Ashtabula
3. Carroll
4. Columbiana
5. Cuyahoga
6. Geauga
7. Lake
8. Lorain
9. Mahoning
10. Medina
11. Portage
12. Richland
13. Stark
14. Summit
15. Trumbull
16. Wayne


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