The Business Consortium Fund, Inc. (BCF)
The NMSDC Business Consortium Fund, Inc., is a not-for-profit minority business development program that provides working capital funds to certified businesses. Loans through the fund are made at prime rate as described under "money rates" in The Wall Street Journal. The BCF is funded through several sources including corporations, state governments and foundations. It is limited to certified minority suppliers of the cnFMSDC and other Regional Minority Purchasing Councils. Under this program, the borrower may borrow a minimum of $50,000 to a maximum of $500,000 for up to four years. The purpose is to finance specific transactions when a cnFMSDC Certified Minority supplier has a contract or purchase order, and working capital is needed to supply the goods or services.
The corporation issuing the contract or purchase order must be a member of NMSDC or cnFMSDC or a subcontractor of a NMSDC or cnFMSDC member. At the discretion of the Certified Bank Lender (CBL), for each loan under this program, the BCF will have a 75% participation and the CBL will have 25%. The credit decision will be made by the CBL. Each bank will use its own forms and procedures. The borrower must provide, in addition to bank required financial information:
Evidence of certified status as a minority supplier by the cnFMSDC and
Evidence of a contract with a corporate member of NMSDC or the cnFMSDC.
Loan payments are made directly to the CBL by the borrower. Only for expenses related to a specific transaction.
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If you are interested in applying for a BCF loan, contact Malik Ali at 407-404-6700.