In October, the Vermont/ Slauson Economic Development Corporation was designated a Community Development Financial Institution, giving it the power as an organization to receive and distribute funding for small businesses in the South Los Angeles area. The designation was granted after a nine month effort by VSEDC members to procure it. Said the organization’s leader Joseph Rouzan, their new distinction will provide a three-fold benefit to the Council District 8 and 9 communities, by growing new business, making it easier for established businesses to get loans and creating jobs.
“We are thrilled to provide financial resources that allow Angelinos, particularly those in South Los Angeles, achieve self-sufficiency and excel in business and beyond,” said Rouzan, who is the executive director.
“Our team looks forward to providing loans, business assistance, financial planning, and more with the ultimate goal of improving communities that need economic resources the most.”
In the past, VSEDC was only able to broker funding by packaging loans and sending referrals to financial institutions.
They will now be able to receive loan funds from major banking institutions that they can disseminate to businesses in the area, who sometimes see procuring funding from those institutions as a hurdle. Now, said Rouzan, they can have more direct access to funds from VSEDC. With products similar to those provided by mainstream banking institutions, VSEDC will offer mortgage financing for low to moderate-income,small businesses, and lending for community facilities. Considering urban communities often endure more stringent requirements when attempting to qualify for financial products, VSEDC bridges the access gap allowing residents to economically engage and thrive.
All they have to do is come to VSEDC for an assessment Rouzan told the Sentinel during a recent interview. If needed, they go through a credit building workshop. When finished with that part, they go through a business plan training as well. When those things are done, Rouzan said they can then start the process of procuring funds from VSEDC for their business.
”We can now become a better resource for those who in the past have not had access. Giving our own loans to our own community,” Rouzan said.
Established in 1979 as a citizen advisory committee by Mayor Tom Bradley, VSEDC resulted from the community’s concern after the closing of Sear’s department store, which served as an economic cornerstone.
Since its inception, VSEDC has brought economic resources to the community including access to capital, business planning, training, development, and more. It proudly stands as a symbol of financial advocacy for marginalized communities.
Mobilizing dollars from the private sector and government to lead the revitalization of the Vermont Slauson community, VSEDC collaborates with the City of Los Angeles Community Redevelopment Agency, Economic + Workforce Development Department, and the Mayor’s Office to name a few. Governed by an active Board of Directors comprised of area residents, community leaders, local merchants and real estate development professionals, VSEDC responds quickly to socioeconomic changes to addresses the needs of residents.
”We want people who want their business dreams to become a reality, to come to us,” Rouzan said. VSEDC success stories include Harold and Belle’s, Southern Girl Desserts, Bill Bike Shop and Hotville Chicken.
