Longtime businesses that persevered through Detroit’s economic hardship and set the stage for ongoing revitalization are important cultural institutions deserving of a helping hand.
City officials, gathered Thursday inside the iconic Bert’s Marketplace, said that’s why a new grant program and registry for legacy businesses was launched this week. Businesses that have been operating for at least 30 years and made significant contributions to the city’s history and culture can apply for a $15,000 or $50,000 grant to cover a wide range of expenses.
Council President Mary Sheffield fought for a $500,000 allocation to start the program during budget negotiations last spring. It’s only enough for an initial round of grants for 16 businesses, but Sheffield said the council is working with Mayor Mike Duggan’s administration and the Detroit Economic Growth Corporation to find long-term funds.
Right now, the program will provide two businesses from each of Detroit’s seven City Council districts with $15,000 grants, plus two citywide grants of $50,000.
“For generations, small businesses and legacy businesses have been the backbone of our economy, weathering the toughest storms, never leaving our city, investing in our neighborhoods and continuing to provide jobs, services and character to our city,” Sheffield said Thursday. “These businesses are woven into the very essence of Detroit. As we build our great city, and are attracting businesses to Detroit and investment, we must never forget about those that have been here.”
Sheffield said the program came from conversations with Lauren Stovall, founder of the Institute of Legacy Preservation and daughter of Hot Sam’s founder Tony Stovall. Hot Sam’s is the oldest men’s clothing store in Detroit, at 103 years and counting.
Stovall said legacy businesses are remnants of an authentic and “indigenous Detroit.” Longtime businesses must be preserved as the city changes, she said.
“They are yet left after the pandemic, after a recession, after a Great Depression, after economic turmoil,” Stovall said. “We ought to make it our business to see them right. They have preserved the integrity and dignity of this city. When we think about revitalization and resurgence of Detroit, think of these legacy businesses as the remnant that has been preserved for such a time as this.
“We have a duty and an obligation to preserve what they have already started, so that they can continue to be here, and we can continue to build with them in mind,” Stovall said.
Grant funds can be used for a wide variety of uses, including product inventory, equipment and technology, furniture and interior decor, building repairs and renovations, design work, marketing, legal fees and consulting.
The city funding can’t be used to pay employees, taxes, rent, mortgage fees, cover debt, invest in stocks or purchase property.
Businesses can sign up for the $15,000 district-level grant here or sign up for the $50,000 city-wide grant here.
There’s a short window to take a shot at the money – the application period ends at 8 a.m. on Dec. 23.
The DEGC is offering assistance to fill out applications. Email questions and concerns to detroitlegacybusiness@degc.org.
Grant recipients will be announced on Feb. 21, 2025.
Sean Gray, vice president of small business services at the DEGC, said a town hall was held in October to hear what businesses need. There were roughly 71 people who tuned in. Some expressed frustrations with navigating bureaucratic hurdles like securing permits and blight enforcement, others asked for financial support, help to create succession plans and participate in major city events.
Saul Green, owner of the Michigan Barber School, felt the city’s inspection process is “harassing” and called for city employees to receive better training on interacting with business owners. Green said he spent more than half a million dollars to improve his building but struggled to understand what inspectors wanted.
“It’s a mean process y’all,” Green said.
The city also launched a database of long-time businesses to increase awareness and connect them to future opportunities. Legacy businesses can sign up for inclusion on the city registry and an interactive map.
It’s the first time Detroit has attempted to catalog its oldest establishments. The list contained seven businesses as of Thursday:
- Alexis Company Inc. (6638 Floyd St)
- Eastern Michigan Distributors Co. (5140 Mount Elliott St)
- Hot Sam’s (127 Monroe St)
- Louisiana Creole Gumbo (2830 Gratiot)
- People’s Restaurant Equipment Company (2209 Gratiot Ave)
- Shantinique Music and Sportswear (8933 Harper Ave)
- Sweet Potato Sensations (17337 Lahser Rd)
Stovall said there’s hundreds, maybe even thousands of legacy businesses in Detroit. The need for a registry came while DEGC was working to connect city businesses with opportunities during the NFL Draft last summer.
“When the Super Bowl comes to Detroit, we’ll be able to say: ‘here’s a list of legacy business owners so if you need a taste of Detroit, if you need a showing that reflects who we are, here’s where to start,’” Gray said.
Detroit has diverted more than $19 million dollars to emerging businesses, which has sometimes left established legacy businesses feeling left out.
“We’ve been on a lot of corridors across the city with Motor City Match opening new businesses, and we absolutely look out from those ribbon cuttings and see you,” Gray said. “We want to be there to support you, and we know your needs are different. It’s really crucial to acknowledge the folks who kept that corridor relevant, who kept that corridor thriving, or even held it down when it wasn’t.”
Bert Dearing Jr., who founded the namesake Eastern Market music lounge and restaurant in 1987, said the grants are scratching the surface of help the city could be offering longtime businesses.
He said the city’s drainage fee charge, which is based on the amount of concrete surfaces on your property that send rainfall and snow melt into the sewer system, is killing a lot of small businesses. Dearing said the city should consider discounting property taxes or diverting federal pandemic relief money.
Dearing said he probably won’t seek the grant either way.
“This is a start,” Dearing said. “I never got nothing from the city. I’ve been independent and been blessed, because I’m a hustler.”
Darleen Hereford, owner of Doll’s Go-Kart, said she’s opening to secure funding through the program. But a bigger obstacle to her family businesses is construction along the Joe Louis Greenway.
She said construction equipment has been staged on her property and blocked access. She was open to reopen this year after the death of her husband, who launched the business with her in 1982 with the goal of creating a drug-free environment for children.
“I just want people to know I’m back there,” Hereford said.
Kayleigh Lickliter contributed to this report
Lafayette And American Coney have to be in that list somewhere