Global Citizenship Report 2017

Thriving Small Businesses Small businesses are the backbone of the global economy, accounting for two out of every three jobs in the U.S. alone . 10 Yet many face difficulties accessing the financing and capital that they need to thrive and grow. Citi takes a multi-pronged approach to supporting small businesses, including tailored products to meet their needs and partnerships that work to provide training and development for microentrepreneurs and small business owners and create a more enabling atmosphere for the growth of small businesses in countries around the world. Financing Small Businesses Access to capital is a fundamental need for any business. To help small businesses grow and create jobs, Citi provides them with capital — through loans, lines of credit and other prod- ucts and services. In 2017, Citi invested more than $11 billion in small business lending in the U.S. Removing Barriers to Growth Citi works with public and private partners to help remove barriers for small business owners. For example, education, access to capital and affordable space are common chal- lenges for would-be small business owners. Citi Community Development supported the Childcare Business Pathways program, which connects New York City Housing Authority (NYCHA) residences with resources to build home-based childcare businesses. Childcare costs are a significant burden for parents, accounting for an average of 10 percent of median income for married couples and 36 percent of median income for single parents nationwide. 11 The Childcare Business Pathways program not only creates employment opportunities, but also helps meet a critical need for low- and moderate-income families. This initiative replicates the successful model of Food Business Pathways, a free business accelerator program that was developed through a partner- ship between Citi Community Development, NYCHA and the NYC Department of Small Business Services. To date, Food Business Pathways has helped 202 graduates — 90 percent of them female — create 132 businesses. Supporting Training and Development Across the U.S., the Citi Foundation provides funding to community partners to empower entrepreneurs and small business owners with business development support and training that is invaluable in launching or growing their businesses. For example, through partnerships with eight community organizations across the New York Tri-State area, the Foundation invested more than $500,000 in business development programs that aim to reach more than 3,000 people in the region, with the majority focused on supporting women and/or minority business owners and entrepreneurs. These kinds of programs are equally important to the success of small businesses outside the U.S. For example, in Poland, the Citi Foundation funded the Foundation for Women’s Entrepreneurship to support the growth of women-led enterprises in Warsaw, by providing high-potential female entrepreneurs with access to intensive training, office space, mentorship, networking and technical assistance to design, manage and scale their companies. Through one-on-one counseling, workshops, training, mentor- ship and access to networking and financing opportunities, these kinds of programs aim to empower current and potential business owners to strengthen their business models, improve their financial standing, create job opportunities and contribute to economic growth in their communities. 10 U.S. Small Business Administration Office of Advocacy, Small Business Quarterly Bulletin (August 2017), page 1, https://www.sba.gov/sites/default/files/advocacy/Quarterly_Bulletin_FINAL_508_compliant.pdf . 11 Childcare Aware of America, Parents and the High Cost of Childcare (January 2017), page 10, https://usa.childcareaware.org/wp-content/uploads/2017/12/2017_CCA_High_Cost_Report_FINAL.pdf . 102