Benzinga | Feb 10, 2021 12:17PM EST

Eagle Financial Services Launches Three-State Initiative To Increase Minority-Owned Business Funding

Eagle Financial Services Inc. (OTC:EFSI) announced this week that its subsidiary Bank of Clarke County is leading a partnership of community banks in Banking on Diversity, a new initiative designed to increase financing opportunities for minority-owned businesses in Virginia, West Virginia and Maryland.

What Happened: The banks have collectively committed up to $1 million in interest-free loans aimed at minority-owned small businesses in their respective markets. The initiative will consist of two programs, one for startups and one for existing businesses.

Qualified businesses must have Minority Business Enterprise certification and annual revenues that do not exceed either $1 million for a business or $500,000 for a farm.

The annual individual loan amounts available are up to $50,000 for existing business and up to $10,000 for new business.

Existing businesses must be operational for more than two years to qualify and new businesses must have been in existence for at least three months. The program is also expected to include educational seminars for the business owners.

Who's Eligible: The initiative defines minority-owned businesses as one that is either 51% owned and operated by one or more minority individuals who are United States citizens or legal resident aliens or that has 51% equity ownership in a corporation, partnership or LLC or other entity that is primarily minority-owned.

Bank of Clarke County is joined in the initiative by BCT-Bank of Charles Town, a subsidiary of Potomac Bancshares Inc. (OTC:PTBS); The Fauquier Bank, a subsidiary of Fauquier Bankshares Inc. (NASDAQ:FBSS); and First Bank, a subsidiary of First National Corp. of Virginia (NASDAQ:FXNC).

The combined banks cover suburban Northern Virginia, the Northern Shenandoah Valley of Virginia, the Eastern Panhandle of West Virginia and Maryland's Washington County.