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Detroit Economic Growth Corporation
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24 Detroit Companies Selected For Program To Connect Them To Growth Capital10/26/2011
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The Initiative for a Competitive Inner City (ICIC) and Bank of America have announced that they selected 24 Detroit-based companies to participate in their annual Inner City Capital Connections program (ICCC). This year the program received a record-setting 3,200 company nominations from across the country and selected 125 companies for participation.
 
Detroit Mayor Dave Bing, Detroit Economic Growth Corporation, Detroit Regional Chamber, Quicken Loans and the DTE Energy Foundation were partners for this year's ICCC training, which began in Detroit October 20.

The Detroit-area companies selected include:

Each of these companies was selected for the program because of its strong growth potential and commitment to the inner city. "It is clear from the number of companies selected and the breadth of industries they represent that Detroit offers competitive advantages to entrepreneurial companies," said Malinda Jensen, director of business development at Detroit Economic Growth Corporation. "These companies show the importance of small and mid-sized businesses in the transformation of the city."

Karla Hall, Vice President of DTE Energy Foundation said, "The DTE Energy Foundation?s support of the training event is just one of the many ways that DTE Energy is investing in the future of Michigan."

Selected companies participated in a capital training workshop in Detroit that included educational sessions about different forms of capital, including angel investments, venture capital, bank lines of credit, and factoring and how to effectively communicate with bankers and investors.  On November 10th, ICCC entrepreneurs will pitch their businesses to potential investors at the Fortune Magazine headquarters in New York. 
 
To qualify for the free program, a business must be located in the inner city (defined as an area of concentrated economic distress) or have a disproportionate percent of its employees residing in such an area.  In addition, a company must have $2 million in revenue. The companies selected for the program represent numerous industries including technology, consumer goods, business and professional services, healthcare and manufacturing.  

Since its inception in 2005, 275 inner city companies and 150 capital providers have participated in ICCC. Participating companies have raised more than $406 million in capital and created more than 2,790 jobs in their communities.

"ICCC demonstrates that growing inner city companies, if given the access to capital, can generate the jobs and wealth that are crucial to the transformation of our urban communities," explained Edward Powers, Managing Director of Bank of America BAML Capital Access Fund. "We are proud to help these growing businesses connect with a vast network of capital providers."

Facts about ICCC
  • 275 inner city businesses have participated in the program
  • 150 investors, representing private equity, venture capital, angel networks, mezzanine financing and debt, have participated
  • $406 million in capital raised ? $154 million in equity and $252 in debt
  • 49 ICCC businesses have raised multiple rounds of capital, on average 3 times per company
  • 2,790 jobs generated by ICCC businesses since 2005
  • 76 percent  of ICCC CEOs are minorities and 38 percent are female

 


About ICIC
The Initiative for a Competitive Inner City is a nonprofit research and strategy organization and the leading authority on U.S. inner city economies and the businesses that thrive there. Founded in 1994 by Harvard Business School Professor Michael Porter, ICIC expands inner city economies by providing businesses, governments and investors with the most comprehensive and actionable information in the field about urban market opportunities. ICIC's unique knowledge and expertise about inner city success factors and thriving companies is developed from specialized urban networks and path-breaking research. www.icic.org

About Bank of America
Bank of America is one of the world's largest financial institutions, serving individual consumers, small- and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving approximately 58 million consumer and small business relationships with approximately 5,700 retail banking offices and approximately 17,750 ATMs and award-winning online banking with 30 million active users. Bank of America is among the world's leading wealth management companies and is a global leader in corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 4 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients through operations in more than 40 countries. Bank of America Corporation stock (NYSE: BAC) is a component of the Dow Jones Industrial Average and is listed on the New York Stock Exchange.

About Detroit Economic Growth Corp. (DEGC)
Detroit Economic Growth Corporation is the primary economic development organization for Detroit. DEGC is a nonprofit organization that works with businesses, government and other organizations throughout Detroit to bring investments and jobs to the city. DEGC offers a broad range of assistance to help companies identify potential development sites, negotiate development agreements, manage construction projects, and eliminate other obstacles to economic growth.

Media Contact
Bob Rossbach
313-402-9831
bob@rossbach.tv

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