On Monday, the U.S. Department of Transportation said it had awarded $9 million to the Michigan Economic Development Corporation to help small businesses in the state grow.
The grant, part of the State Small Business credit Initiative (SSBCI) Investing in America Small Business Opportunity Program (SBOP), will be used to help the state launch the Michigan Auto Supplier Transition Program (MASTP), which will help small auto manufacturing and aftermarket supply businesses secure financing and scale their operations, while helping businesses in the internal combustion engine auto supply chain transition to electric vehicle production, or an adjacent industry, officials said.
“With these new resources, Michigan will be able to support small automotive manufacturers and suppliers by providing them with the business and financial services they need to grow and participate in these supply chains,” U.S. Deputy Secretary of the Treasury Wally Adeyemo said. “Continuing the Biden-Harris Administration’s historic small business boom is one of our top priorities, and this funding will advance that goal in a key, growing sector of our economy.”
The services will be provided to the businesses through educational opportunities and in-depth business health assessments, officials said, as well as through coaching and subject matter expert advice. The program will also help the Michigan Strategic Fund contract with technical assistance providers to offer financial, legal, and accounting services to very small businesses and underserved businesses.
“Small and mid-sized auto suppliers have served as local economic engines for generations – particularly in historic auto communities in Michigan,” National Economic Advisor Lael Brainard said. “Today’s announcement makes further progress on the Administration’s goal of supporting suppliers to ensure that the future of the auto industry is made in America by American workers.”