AUSTIN, Texas--(BUSINESS WIRE)--The nonprofit Economic Growth Business Incubator (EGBI) is in the business of building small businesses. Today EGBI was awarded $10,000 in Partnership Grant Program (PGP) funds from the Federal Home Loan Bank of Dallas (FHLB Dallas) and Texas Capital Bank, an FHLB Dallas member institution. The grant will help offset some of EGBI’s business-building operational expenses.
“The PGP has helped us complete our budget for the year,” said Barbra Boeta, executive director at EGBI. “Our staff of three full-time people provides more than 200 free training hours to the community each year. We serve all of Austin, focusing on low-income and minority individuals who want to start or grow their businesses.”
Awarded annually via a lottery system, PGP awards provide grants up to $12,000 to community-based organizations (CBOs), like EGBI. FHLB Dallas matches a member’s contribution to a CBO of $500 up to $4,000 at a 3:1 ratio. The funds may be used for research, organizational capacity-building, grant-and funding-application assistance, or contractual services.
“Recognizing that small business development is critical to helping the city of Austin grow and compete in today's economic environment, Texas Capital Bank is proud to partner with EGBI to promote entrepreneurship and small business growth,” said Effie Dennison, director of Community Development at Texas Capital Bank. “More specifically, we are delighted that this contribution will advance EGBI’s reach of empowering those individuals and businesses from historically underserved communities with substantive business training and incubation.”
By the end of 2016, EGBI’s client base had grown to more than 150 businesses from just 16 companies in 2010. Those firms created more than 250 jobs and generated more than $17 million in revenues in 2016.
Alicia Figueroa and her husband, Victor Duran, are one of those success stories.
In 2014, the couple opened a house-framing business called Victory Framing in Austin. Ms. Figueroa took EGBI’s business course in 2014, followed by Mr. Duran in 2015.
“We both loved it,” she said. “The course covers everything, like taxes, how to do payroll, networking and creating a website. They even had attorneys talk about legal stuff.”
She said one thing she appreciates about EGBI staff is their willingness to help.
“They also meet you where you are and go from there. One of the issues I had was with accounting software. It was very hard for me to learn. EGBI recommended an alternative that was easier for me to use until I could learn the software. They are very patient with people and always tell you that you can do it.”
In 2016, Ms. Figueroa began volunteering at EGBI.
“Our business went from making $100,000 to $200,000 in revenue over two years, and we have been able to give back to them.”
In 2017, FHLB Dallas awarded $300,000 in PGP funds through 31 member institutions to assist 30 community-based organizations. Combined with the $104,550 contributed by FHLB Dallas members, a total of $404,550 was awarded to the organizations.
“PGP grants bring together people who have a passion for serving communities,” said Greg Hettrick, first vice president and director of Community Investment at FHLB Dallas. “We thank Texas Capital Bank for its demonstrated commitment to Austin entrepreneurs through EGBI.”
To learn more about the Partnership Grant Program or other Community Investment programs from FHLB Dallas, visit www.fhlb.com/community
About Texas Capital Bank
Texas Capital Bank, N.A. is a commercial bank that delivers highly personalized financial services to businesses and entrepreneurs. We are headquartered in Texas working with clients throughout the state and across the country. Texas Capital Bank is a wholly owned subsidiary of Texas Capital Bancshares, Inc. (NASDAQ:TCBI) and is recognized as a Forbes Best Banks in America and the Dallas Morning News’ Top 100 Places To Work company. To find out why we’re the Best Business Bank in Texas®, please visit www.texascapitalbank.com. Member FDIC.
About the Federal Home Loan Bank of Dallas
The Federal Home Loan Bank of Dallas is one of 11 district banks in the FHLBank System created by Congress in 1932. FHLB Dallas, with total assets of $62.9 billion as of June 30, 2017, is a member-owned cooperative that supports housing and community investment by providing competitively priced loans and other credit products to approximately 850 members and associated institutions in Arkansas, Louisiana, Mississippi, New Mexico and Texas. For more information, visit fhlb.com.