Microloan program recognizes that entrepreneurs are MVPs of Detroit's next economy

[Irvine Laird]

One of our biggest mistakes around here has been our fixation on the "big project" that will change everything for the better. Detroit is a museum of "big projects." For example, the freeways, Lafayette Park, and the Renaissance Center back in the 1970s. Our governments have for years used tax incentives to lure the biggest corporations and interests they can to the city and state.

However, it is small business that accounts for most jobs and money in our economy and it is entrepreneurs who generate the most new wealth to grow and sustain our cities.

Detroit will prosper when it becomes a haven for "small projects"--for entrepreneurs putting their creativity and ingenuity to work to meet real demands in the marketplace. Only a proliferation of entrepreneurial pursuits has the potential to generate the wealth we need to rebuild.

I like stories like this one from Model D Media. We're not all fans of the city government or the DEGC, but microloans are a fantastic way to equip and empower "little guys" to build on their best ideas. This is far better than any government handout.

[Fnemecek]

I looked into this program last year when my company was looking to expand. I suppose it has its place, but for most businesses it just doesn't seem like a viable option.

1. At least as of last year, they require business owners to have collateral equal to 100% of loan;
2. Once you have that, the approval process takes several months to complete.

I went elsewhere.