dol.gov, Jul 11, 2006

WASHINGTON, D.C. – U.S. Secretary of Labor Elaine L. Chao has initiated an innovative project to create, support and expand small businesses. The Growing America Through Entrepreneurship, or Project GATE, was unveiled today at the Hmong American Mutual Assistance Association in Minneapolis. The department will partner with the Small Business Administration on the project.

Nine million dollars ($9,000,000) over the next five (5) years will be deployed to energize local small business formation through combining the workforce development programs at the Department of Labor with economic development programs. The U.S. Department of Labor’s One-Stop Career Centers will assist entrepreneurs in accessing both Department of Labor training and assistance programs and micro-loans provided by the Small Business Administration (SBA).

“Small business owners are the bedrock of America’s economy as small businesses create the bulk of new jobs in our economy.” Chao said. “The goal of Project GATE is to help entrepreneurs access the wide array of available government assistance, training, and funding resources to help their businesses to succeed and grow.”

Innovative community outreach initiatives will ensure the funding, training and assistance are accessible to diverse populations. The demonstration project will streamline the U. S. Department of Labor’s microenterprise training initiatives into one program that will be made available to aspiring entrepreneurs through the department’s local One-Stop Centers.

In addition, the Small Business Administration’s Microloan Program will be integrated into Project GATE. Authorized in 1991, the Microloan Program provides very small loans and technical assistance aimed toward “pre-bankable” small business owners. Small loans of up to $35,000 are delivered through a network of private, non-profit organizations (intermediaries) located in approximately 170 areas nationwide.