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GROUPS THAT CHANGE COMMUNITIES


ASSETS (A Service for Self-Employment, Training and Support)

ASSETS (A Service for Self-Employment, Training and Support)
Howard Good, Executive Director
Johncey Mathew, Technical Assistance Manager
Yanimer Serrano, Recruitment & Training Manager
447 S. Prince St.
Lancaster, Pa. 17603
(717) 393-6089
(717) 290-7936 fax

Think of Lancaster, the capital of Pennsylvania “Dutch” country, and if you’re like me, you’ll likely picture luxuriant farms and oversize barns and Amish driving buggies down country lanes. The reality, however, is quite different: Lancaster, a town of 50,000 with a surprisingly urban aspect, adds to the local German heritage a yeasty, growing and rather low-income minority of African-Americans, along with enough recent Hispanic immigrants to support FOUR Spanish-language newspapers.

Into this picture in 1993 came the Mennonite Economic Development Associates (MEDA), a 40-year-old nonprofit that, to that point, had been working primarily in economic development in the Third World as a way to mobilize the enthusiasm of Christian business people who wanted to get involved in programs to build self-sufficiency among poor people around the world. In a decision that interestingly echoes World Hunger Year’s decision to start Reinvesting In America as a way to bring its established international efforts home, MEDA decided to establish an initiative in the U.S. similar to what it was doing in other countries. It chose Lancaster as its pilot program for the U.S. and Canada because of the local need and because, with a heavy concentration of Mennonites in the area, there was a strong MEDA chapter there; and specifically targeted the southeast quadrant of the city, with its heavily minority population and unemployment rates approaching 20 to 30 percent.

The philosophy, said Johncey Mathews, was simple: “A lot of people have skills they’ve learned from work, from school, that could possibly turn into a full-time business. Many of them have full-time jobs but at minimum wage, not earning enough to cover a family’s needs. Some of them could use a small business as a part-time supplement; others could start a full-time business. But while they have skills, they lack business knowledge, how to make a business plan, bookkeeping, marketing. We can’t teach them skills, but we CAN teach them how to become a better business person.”

So ASSETS, using volunteer instructors from the local business community, fashioned an organized, competent how-to-start-a-business curriculum covering four complementary areas:

  • Training. The group offers three 13-week courses per year, two hours each on Tuesday and Thursday evenings, which proves to work best in this community where many of the trainees have daytime jobs. Residents of Lancaster City and County have first preference for class slots, and must pay a nominal fee (from $30 to $300 for the course, depending on income and family size) as a way to encourage “ownership.” Courses, as stated, are taught by local business volunteers -- an attorney handles legal issues; accountants cover book keeping, accounting, taxes and such. The course workbook, filled out each week as the group goes through the various aspects of starting a business, becomes an individual business plan when it is complete.

  • Mentoring. Every participant is assigned a mentor, normally a business person in the community who works in a non-competitive trade, who will be available for monthly meetings and weekly phone calls to support the new entrepreneur through the startup.

  • Lending. Small loans in the range of $300 to $5,000 are available to participants through an agreement with a local bank and credit union, which have extended ASSETS a line of credit.

  • Technical Support. The organization’s staff is available to participants to help answer questions if they have problems or difficulties with the complexities of a new business.

    From the program’s beginning in 1993 through the end of 1996, 202 participants entered the program and 165 completed it (many of the dropouts representing not failure but a conscious decision that entrepreneurship was not for them). Twenty-five of the participants have started businesses and are listed in the organization’s neat Business Directory, with enterprises ranging from clothing to automobile repair, art, telecommunications, party planning and much more. Some have been remarkably creative; for instance, Henry Tucker, a well-spoken immigrant from Sierra Leone, now occupies a colorful downtown storefront with his business, Boutique Africana, which sells African clothing, cellular telephones and beepers, and also has special long-distance telephone booths set up for folks from Africa to call their friends and families back home.

    In addition to the new businesses, 68 more participants have reinforced or expanded existing businesses, for a total of 93 businesses impacted by ASSETS.

    Finally, a brand-new development, FAMILY CHILD CARE, adds another component to the entrepreneurial mix by partnering with a local child-care firm to provide training leading participants toward businesses as licensed family day-care operators, a need that’s certain to increase as Pennsylvania’s welfare-to-work programs under welfare “reform” increase the need for safe and affordable day care.

    The ASSETS group, operating out of a large single room in a small building housing several non-profits, gets a lot done with a little: A staff of only 2 1/2 (director Howard Good devotes only half-time to ASSETS, the rest to MEDA), and a budget of just $100,000.

    This program received the Harry Chapin Self-Reliance Award in 1996, and deservedly so; it’s a model, and it’s working. What’s more it is replicating. Under the oversight of the international MEDA organization, Howard Good is in Fresno, Calif., this week, helping an organization there set up a similar operation for Laotian refugees. Similar MEDA groups are also forming in Norristown, Pa., and in Ohio and Tennessee.


    All the feature stories on @GRASS-ROOTS.ORG's pages are reported and written by Robin Garr, a prize-winning journalist who has visited more than 500 innovative grassroots programs in all 50 states since 1990.
  • Browse his book, Reinvesting In America, at Amazon.com.
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