This economy is wearing people out. Businesses are closing left and right, people are losing their homes and their jobs. Everywhere you turn, it seems, there’s more bad news. I guess that’s why when something good happens, you just feel compel
This economy is wearing people out. Businesses are closing left and right, people are losing their homes and their jobs. Everywhere you turn, it seems, there’s more bad news. I guess that’s why when something good happens, you just feel compelled to share it.
So that’s why I just had to tell you about some of the great things that are happening for the 35 construction contractors who graduated last week from the Chicago Urban League’s Contractor Development Program.
The program, developed in partnership with Fifth Third Bank, is an intense 16-week business development initiative designed to help African-American contractors network and access opportunities that will take their businesses to the next level.
And, wow, did these companies soar. Participating firms were able to secure more than $20 million in new contracts and increased bonding capacity by more than $5 million. That’s major for African-American-owned construction companies that have historically had difficulty obtaining bonding. One firm is in the process of closing a $9 million deal, while another was awarded a $2 million contract with the Chicago Housing Authority.
I was thrilled to learn that 14 of the participating companies have gotten together to form a partnership to create one much stronger company that will be able to go after prime contracts. Each company represents a different trade, so together they have essentially created a company capable of handling every aspect of a construction project. Nice going!
Five of the companies are gaining their minority business enterprise certification with the City of Chicago; and 20 are pursuing certification with the federal government as disadvantaged business enterprise. Certification is a must and has been proven to open doors for minority- and women-owned firms.
Construction projects have been delayed all around the city. Some have come to a screeching halt. This can be frustrating for contractors who are already struggling to obtain the bonding to pursue deals, maintain a viable workforce and pay their suppliers.
Even in good times, African-American-owned firms have struggled to capture lucrative contracts and acquire bonding to compete. Some have been able to grab a piece of the action by subcontracting with larger firms, but the prime contractors on projects are still overwhelmingly white-owned firms.
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