Start Up Business Loans

August 22, 2008

Citigroup buying up to $30M in small loans

Tuesday August 19, 5:29 pm ET

Citigroup buying up to $30 million in small enterprise loans in deal with Accion Texas

SAN ANTONIO (AP) — Citigroup Inc. will buy as much $30 million in small enterprise loans under a five-year contract with Accion Texas, a development organization that makes loans to startup and existing businesses in Texas.

Citigroup said Tuesday it was the first transaction of this type in the so-called microfinance industry, which provides small loans to people struggling to start their own businesses and has grown in developing countries around the world.

 

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August 20, 2008

Citigroup buying up to $30M in small loans

SAN ANTONIO — Citigroup Inc. will buy as much as $30 million in small enterprise loans under a five-year contract with Accion Texas, a development organization that makes loans to startup and existing businesses in Texas.

Citigroup said today it was the first transaction of this type in the so-called microfinance industry, which provides small loans to people struggling to start their own businesses and has grown in developing countries around the world.

The deal between Accion Texas and the nation’s largest financial institution by assets will change the perception of microfinance in the United States while giving Accion Texas the capital it needs to expand, New York-based Citigroup said in a news release.

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