Two days after Ben Bernanke lamented tightened lending conditions for small businesses, Warren Buffett and Goldman Sachs have come to the rescue.
Goldman announced the launch of a $500 million small business assistance program called 10,000 Small Businesses. Buffett will serve on the advisory panel. The program will give $250 million in charitable contributions ($200 million aimed at investor education and the remaining $50 million for grants to support community development financial institutions). The other $250 million will be invested in those institutions with the goal of providing financing to small businesses.
The first financial institution to receive a loan will be Seedco Financial Services Inc., a nonprofit group in New York that "provides affordable financing to nonprofit and for-profit organizations situated in economically-distressed and traditionally underserved communities," according to its website.
If Goldman is trying to burnish its public image, this endeavor will probably help a lot.
---
For tips, questions and comments, contact us here.
To get the latest news on opportunities, layoffs and major events in the finance career space, follow FINSider on Twitter!