South Bend Opportunity Fund bridges the gap for small businesses seeking growth

SOUTH BEND, Ind. -- The City of South Bend Opportunity Fund is sparking hope for small businesses community.

The $1 million initiative is funded by the American Rescue Plan to uplift and support those businesses in need of resources.

During the pandemic, Restaurante El Sol Express faced tough challenges after being unable to secure state loans and grants which forced them to close.

The co-owner, Karina Cordova Raynaso, says they are working tirelessly to bring back their original business model and well-known dishes.

"We're trying to bring them back, because it used to be a Tortilleria El Sol. That means we used to make our tortillas here. So right now, we're trying to get the machine again so we can have all the tortillas,” said Raynaso. “There’s people driving coming from Michigan, and they just see the sign that says Tortilleria El Sol. So, they stop, you know, trying to get tortillas. But at this time, obviously, unfortunately, we don't have it.”

Restaurant El Sol Express told me they were the only small business in the area that still serves homemade tortillas, which is why they are chasing every grant to be able to afford a $40,000 tortilla maker to bring back that authentic taste.

After four years the restaurant had their ribbon-cutting Wednesday. Now they are open every day from 10 a.m. to 8 p.m. at 2224 W. Western Ave.

This program was developed in partnership with IU South Bend and 1st Source Bank after they won a request for proposals.

The money was dispersed into the fund and has been leveraged by the bank to extend financial help at a fixed 5 percent rate.

The South Bend Opportunity Fund offers tailored coaching and affordable loans for small businesses with less than $300,000 of revenue.

This is a lifeline for businesses like Restaurants El Sol Express.

Mayor James Mueller encourages anyone with a strong business plan to apply for the loan.

“We have many entrepreneurs in our community, and they have great ideas and great business plans, but they're not always able to access the financing they need to make those ideas a reality. We're not looking to replace financial institutions or banks. What we're doing is looking to fill in the gaps where they aren't able to come in and finance these ideas and these businesses,” said Mueller.

The city will offer additional resources to businesses based on the performance of the program. You can visit their website to review the eligibility requirements.