In an effort to invigorate the Black business community, Southern University will launch the Deep South Economic Mobility Collaborative (DSMEC). Partnered with the Hope Enterprise Corporation with up to $130 million from Goldman Sachs’ 10,000 Small Businesses, DSEMC will support Black entrepreneurs in the Deep South. Seven cities and eight additional HBCUs will join.
“Southern University is excited to partner with national leaders to advance small business opportunities for Black entrepreneurs in our community,” said Ray Belton, Southern University president-chancellor. “As an anchor institution, and with the support of Hope and Goldman Sachs, we are poised to assist thousands of Black businesses.”
With both capital and expertise support from Hope Enterprise Corporation, Goldman Sachs 10,000 Small Businesses DSEMC is set to energize a deeply impoverished region which has been negatively impacted by the pandemic.
“For centuries, racism and economic inequality have thwarted human and economic potential in the Deep South, but our story doesn’t end there,” said Bill Bynum, Hope CEO. “Equipped with opportunity and the right tools, people of this region can accomplish anything. The collaborative [DSEMC] will help build a more inclusive economy that will yield benefits now and for future generations.”
The DSEMC will be open to all businesses but will focus on Black endeavors. According to recent research 41% of Black businesses have permanently shuttered due to covid-19 compared to 17% of white operations.
“Given the crucial role Black small businesses play in their communities, it is important that we act urgently to narrow capital gaps they face,” said Margaret Anadu, Goldman Sachs managing director and head of the Urban Investment Group.
Along with Southern, other HBCUs involved in the initiative include Alabama State University, Dillard University, Jackson State University, LeMoyne-Owen College, Miles College, Philander Smith College, Tougaloo College and Xavier University.
To learn more about the Deep South Economic Mobility Collaborative, visit hopecu.org.
