Why you should invest
Rise CDFI pools capital from multiple investors to make community impact loans. Investors can rely on our deep local knowledge and strong ties to underserved communities and the leverage achieved when we combine investments from foundations, banks and government.
Our Contractor Loan Fund and a Neighborhood Developer Loan Fund can help further your diversity, equity and inclusion goals. We also offer technical assistance services to help individuals and organizations improve the management of their businesses to achieve long-term stability and growth.
We are seeking partners who can provide:
- Equity Capital to enable Rise CDFI to raise additional funds through debt in order to make loans and enhance our financing flexibility, including:
- Capital Grants to build our equity capital. A capital grant can be specifically targeted for predefined activities; pooled in one or both of our primary Loan Funds; be used as an operating grant to underwrite the costs to administer the loan pools and provide technical assistance to borrowers; or any combination of these.
- Equity Equivalents (EQ2s). A long-term, fully subordinated debt instrument with a rolling term and limited right-to-accelerate payments can be leveraged by Rise CDFI with senior debt to build our lending capacity.
- Debt financing:
- Line of Credit (unsecured)
- Loan (secured or unsecured). A lower interest rate and longer investment term will help Rise CDFI provide less costly and more responsive financing to low-income borrowers, and pay for services such as technical assistance to help borrowers use their financing effectively.
- Guarantees to enhance our creditworthiness with third-party lenders.