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Michelin Development to Provide Loans to Disadvantaged Upstate Businesses

Posted on: Wednesday, 8 July 2009, 10:30 CDT

GREENVILLE, S.C., July 8 /PRNewswire/ -- Michelin North America today announced a new development program to provide loans to new and existing disadvantaged small- and medium-sized businesses located in the Upstate of South Carolina. Michelin will provide the initial funding amount of $1 million for the program.

(Logo: http://www.newscom.com/cgi-bin/prnh/20040818/MICHELIN )

Upstate counties included in the program are Abbeville, Anderson, Cherokee, Greenville, Greenwood, Laurens, Oconee, Pickens, Spartanburg and Union.

Michelin Development Upstate will focus on new job creation by facilitating low-interest loans, with rates as low as prime, to start-up, small- and medium-sized businesses throughout the region that are defined as disadvantaged by the Small Business Administration. In addition to lending financial support, Michelin Development Upstate will provide participating firms with free of charge access to Michelin's considerable in-house business expertise.

"Michelin is proud to announce this program, which will help create jobs, promote economic development and support businesses across the Upstate, an area Michelin has called home for nearly four decades," said Dick Wilkerson, chairman and president of Michelin North America. "This investment demonstrates Michelin's ongoing commitment to supporting the communities where we maintain a presence."

Michelin Development Director John Tully will work with key business, government and community leaders to identify candidates to participate in the program. Tully will also lead the establishment of a Michelin Development Upstate Steering Committee to govern the program.

"We are looking forward to immersing ourselves in the small business community and learning which companies can benefit the most from this unique program," said John Tully, director of Michelin Development. "We will also work with leaders at the local and state level to support these disadvantaged businesses, while creating economic growth and job creation in the region."

Over the next few months, Michelin Development Upstate will solidify a relationship with a local bank to provide the low-interest loans that are a cornerstone of the program. Additionally, a specific Michelin Development Upstate website is under construction and will launch before the program officially kicks off in September.

Michelin Development Upstate will focus on creating quality, sustainable jobs for the community as a whole by:

• Providing loans for start-up, small- and medium-sized companies at prime interest rates
• Loans are available for businesses defined as disadvantaged by the SBA
• Loans will have up to 5-year payment terms
• Loans will be for $10,000 and up
• Providing free access to Michelin's extensive business expertise for qualifying businesses

The Small Business Administration defines disadvantaged companies as those owned by individuals from a socially disadvantaged background including African Americans, Hispanic Americans, Native Americans, Asian Pacific Americans and others. In South Carolina there are 37,524 disadvantaged businesses, which is 12.8 percent of all South Carolina firms. These businesses generate $4,511,256 each year, which is only 1.8 percent of the total revenue of all businesses in South Carolina, according to a recent U.S. Census Bureau survey of business owners.

"For companies like Michelin to step forward and support diversity in business and economic development in our communities is exceptional. Michelin's ongoing and growing investment in the Upstate demonstrates a respect for all of people in our communities," said Upstate business leader Merl Code. "Disadvantaged businesses still have a long way to go and many obstacles to tackle, but programs like Michelin Development Upstate are going to help us get there faster."

Dedicated to the improvement of sustainable mobility, Michelin designs, manufactures and sells tires for every type of vehicle, including airplanes, automobiles, bicycles, earthmovers, farm equipment, heavy-duty trucks, motorcycles and the space shuttle. The company also publishes travel guides, hotel and restaurant guides, maps and road atlases. Headquartered in Greenville, S.C., Michelin North America (www.michelin-us.com) employs 22,600 and operates 19 major manufacturing plants in 17 locations.

SOURCE Michelin North America

Source: PR Newswire

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