Propeller addresses the disparities faced within our neighborhood and New Orleans as a whole by supporting local economic development through our work in the community economic development focus area. 

Eligible businesses in the community economic development focus area include: 

Brick and Mortar Storefronts

• For-profit
• Operating a brick-and-mortar storefront
• Majority (50%+) owned by BIPOC entrepreneur(s)
• Priority Areas: Businesses that have been operating for 3+ years, demonstrate a commitment to remaining in their current neighborhood, create livable wage jobs, and foster strong community ties. Preference is also given to businesses with plans to grow through commercial and/or government contracts.

Construction & Professional Services

• For-profit
• Majority (50%+) owned by BIPOC entrepreneur(s)
• Priority Areas: Businesses seeking to scale operations and grow their team through commercial and/or government contracts.

Affordable Housing Developments

• For-profit or non-profit
• Majority (50%+) owned by BIPOC entrepreneur(s)
• Priority Areas: Emerging developers producing high-quality affordable housing targeting 30% to 50% of the area median income (AMI) in the greater New Orleans area

Ecosystem Change Ventures

• For-profit or non-profit
• Majority (50%+) ownership by BIPOC individuals, or majority (50%+) of executive leadership and board led by BIPOC individuals
• Priority Areas: Mission-driven organization focused on making the entrepreneurial ecosystem more equitable for BIPOC entrepreneurs through direct services, policy, or advocacy work

The Challenge 

Disparities in Business Ownership and Receipts

• 68 percent of New Orleanians are BIPOC, 58 percent are Black, and while the share of businesses owned by BIPOC owners has almost doubled since Katrina, their share of the receipts has not topped 2% and over 80 percent of employer businesses in New Orleans are White owned.

Disparities in Capital Access

• According to a report by the Federal Reserve, in 2021, 35 percent of white-owned applicant firms received all of the financing they sought, compared with 16 percent of Black-owned firms, 15 percent of Asian-owned firms, and 19 percent of Hispanic-owned firms. (excludes 20/21 pandemic financing)
• BIPOC Small business owners have struggled to access the capital they need and want. Black-owned firms are twice as likely to be denied loans compared to their white counterparts, face higher bank fees, and are 3-5 times more likely to be labeled a high credit risk.

Our Strategy

• The Impact Accelerator Program: Growth Track supports entrepreneurs with established businesses in growing revenues and staff 
• The Impact Accelerator Program: Startup Track supports early stage entrepreneurs with business planning and development of core business systems 

Community economic development ventures receive 1:1 bid preparation support and connections to government and private sector contract opportunities.

Our Impact

To date, Propeller has accelerated 30+ ventures in the CED focus area by providing access to contacts, contracts, community, capital, mentors, and subject matter experts (financial modeling, graphic design, customer pipeline, marketing, fundraising, etc.). This support has resulted in notable success for these entrepreneurs. Click here to learn more about our impact. 

“The biggest thing I think I learned during the Propeller program was more that it takes a real team to be successful. Growing up, I always played team sports, so I understand the team concept. But, finding the right players to be part of your team is pivotal. You can’t just think you can do it all yourself. You really have to trust other peoples’ judgement and those that have been there before you who can guide you through this process. I forever feel like Propeller is family, and I look forward to continuing to work together.”

Joel Holton, J.B. Holton and Associates