Detroit Mayor Mary Sheffield Announces Microgrants Intended To Equip Small Business Owners In Tech – AfroTech
Detroit wants to equip its small business owners with technology.
Detroit Small Business Technology Fund
According to a news release, the City of Detroit has partnered with the Detroit Economic Growth Corp. (DEGC) to launch the Detroit Small Business Technology Fund. The initiative, supported through the Rocket Community Fund, will provide $1,000 microgrants to 140 small business owners to help them bridge the digital divide and sustain long-term growth, per the release. The effort comes as 2024 data from the Bureau of Labor Statistics shows that 20.4% of all businesses fail in their first year, with that number rising to 49.4% by year five, according to the Commerce Institute.
The grants can be used for hardware, software, and emerging tech tools that improve daily operations, including laptops, point-of-sale systems, accounting and e-commerce software, and AI platforms, the City of Detroit release stated.
“Small businesses are the heart of Detroit’s economy and they deserve access to the tools that help them grow and succeed,” Mayor Mary Sheffield, Detroit’s first woman mayor, said in the news release. “This funding will make it easier for neighborhood small businesses to modernize, reach more customers, and operate more efficiently.”
Justin Onwenu, director of the Office of Small Business Services and Economic Opportunity for the City of Detroit, added, per the release, “Strong neighborhoods are anchored by thriving small businesses. When we invest in our small businesses, we invest in the families they support, the jobs they provide, the communities they serve, and the future we are building together.”
The DEGC will select grantees with support from business service and neighborhood organizations, including East Warren Development Corp., Grandmont Rosedale Development Corp., Live6 Alliance, and the Southwest Detroit Business Association, among others, the news release noted. Partner organizations will each distribute between 10 and 20 grants.
To qualify, business owners must have 10 or fewer employees, generate less than $500,000 in annual revenue, and be affiliated with one of the participating organizations, according to the release.
Sean Gray, vice president of small business services for DEGC, commented, per the release:
“Technology is no longer optional. It is foundational. By giving Detroit microbusinesses access to modern tools and connecting them with trusted support organizations, we are strengthening Detroit’s local economy from the ground up.”
