WORCESTER – The South Middlesex Chance Council, a social services firm that specializes in offering services to the homeless and drug-addicted, presented a new monetary services division Wednesday.The division, SMOC Financial Solutions, is moneyed by$ 1 million from 6 regional banks. It was produced to provide microloans to groups of individuals who might not normally certifyget standard bank loans, such as minorities, females, veterans and immigrants. The new division will be housed in the MLK Opportunity Center on Chandler Street, which SMOC purchased in 2012. Were hoping that this brand-new fund will produce brand-new economic chances, so folks can create brand-new tasks, create new economic vigor to Chandler Street and other parts of the city, said Charles Gagnon, SMOCs chief operating officer. This will be a key motorist in neighborhood revitalization in Worcester and beyond.The new fund, while it will operate in Worcester, is indicated to provide microloans in southern Worcester County and in

Middlesex County, both locations which SMOC serves and from where banks supported the new fund. Worcester-based Commerce Bank, Southbridge Cost savings Bank and Nation Bank in Ware all contributed to the fund, as did MetroWest-based banks Middlesex Cost savings Bank, Mutual One Bank and Needham Bank.Brian W. Thompson, president and primary executive officer of Commerce Bank, said the fund will fulfill a big unmet need in the community.We see that theres a huge demand for people who require that microloan, and there isn’t really a comfortable place for them to go, he stated. The fact that this program involves therapy

, too, is key, because so many companies fail due to the fact that they don’t have a good plan.Mr. Thompson stated Commerce, which placed$ 250,000 in the fund, will have an agent on the loan committee that authorizes the loans.The approval procedure will be various. A great deal of it will be based on(the candidates )character, and desire … It will be a different standard than if(the bankers)were back sitting behind their own desks, he said.SMOC executive director James T. Cuddy stated that SMOC encounters dozens of possible businesses every day that might improve microloans, pointing out daycare and weatherization businesses specifically.The loans can be as little as$1,000, and as large as $25,000 for a more established company. All loans will be accompanied with comprehensive and long-lasting technical support, he said, and SMOC will track the development of each loan with specialized software application. Overseeing the fund will be loan fund manager Deidra MacLeod-Richardson, who most recently worked for a comparable microloan fund in Bostons Dorchester neighborhood.Its uplifting, in a spiritual sense, that you have six banks paying in$1 million to a fund whose ultimate goal is the growth of little companiessmall companies, said Richard A. Shiels Jr., a partner in the Worcester law companylaw office Bowditch amp; Dewey. Its excellent on the company end, and its excellent on the social welfare end.