Glossary
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Intermediaries: fiscal sponsors https://www.panoramaglobal.org/collaboratives
https://www.tidesadvocacy.org/focus-areas/shared-prosperity
https://www.socialimpactcommons.org/
https://www.arabellaadvisors.com/expertise/fiscal-sponsorship/ There are other intermediaries; intermediaries fill gaps and provide services but are not funders or practitioners. They are more than consultants.
- Commercial Bank
- TBD
- Commercial Real Estate and Housing Funds
- Then there are the four commercial real estate and housing funds here that are Black-led:
- Chicago Trend, neighbors investing in neighbors to preserve and revive Black Wall Streets to keep predatory hedge funds from buying them. It is led by Lyneir Richardson
- Partners in Equity, providing equity to serve as the missing collateral to enable Black and brown businesses to buy their buildings. They are working with Mountain BizWorks and Black-led CDFIs. It is led by Wilson Lester, Talib Graves Mann and is one of the creations of Napoleon Wallace.
- Downtown Crenshaw Rising in LA is purchasing and repurposing a 40-acre mall into an urban village for the community.
- Local Code is a minority women-owned real estate business in Kansas City that is building wealth and well-being through ownership. It is led by Ajia Morris and Jeff Mendelsohn.
These four funds are also collaborating on raising catalytic capital that will be pooled and shared between them. They are starting to build a commons to accompany the market.
- Community Development Financial Institution (CDFI)
- Hope Credit Union is a credit union and a CDFI with roots in the Delta but now in five states. Southern Bancorp is a bank that invests with a commitment to racial, economic, and social justice.
- Credit Union
- TBD
- Customized Financing
- The Nonprofit Finance Fund is a non-profit lender and consultant with 40 years of national and hyperlocal experience. They invest in communities through customized financing that strengthens mission-driving projects, with 50% of their lending going to people of color.
- Design Build Fund Factory
- Common Future, itself, designs funds and financial platforms to solve particular problems. It is a design build fund factory, not a loan fund that repeats itself. They are also funding a cohort of CDFIs who are being taught how to price and buy out boomer businesses to enable BIPOC ownership. We have two from that cohort in the room: Mountain BizWorks and Concerned Capital. New Majority Capital is targeting the same group but with the focus of helping BIPOC folks learn to be owners of any business, not just small manufacturers.
- Donor Advised Fund (DAF)
- Donor Advised Funds are a charitable giving vehicle administered by a public charity created to manage charitable donations on behalf of organizations, families, or individuals. In that category and in the room is ImpactAssets, a $3 billion impact investment centered donor advised fund for 2,000+ families and corporations.
- Environmental, Social, Governance (ESG)
- TBD
- Faith-based Real Estate Fund
- There are four faith-based real estate funds in the room: Trinity Church Wall Street, Crossing Capital, the Cornerstone Fund, and the United Church of Christ Building and Loan Fund.
- Foundation
- There are foundations in the room, some of whom are in talks to invest in these projects. Kellogg is in the room for its work in Mississippi. Surdna, and Irvine are also here and we’re engaging with several more to recruit them to our next conference.
- Revenue Share
- There are two funds in the room that let entrepreneurs pay back revenue share. This is for entrepreneurs of color who cannot afford the debt service (to pay the principal and interest on an outstanding debt). WePower is one, with a revenue share pilot funded by Common Future. The second fund using revenue share is the Community Equity Fund that invests philanthropic equity with two years of runway, then starts revenue-share payback to enable sole proprietors to become job creators and eligible for CDFI loans. In addition, New Majority Capital just received a significant recoverable grant which acts like equity.
- Unrestricted Operating Grant
- We are starting with the most valuable money that foundations give, grants that allow an organization to spend the money any way they choose: unrestricted operating grants. 90% of all unrestricted operating grants go to white-led non-profits, according to Bridgespan. There are two funds changing that trend: The Catacap Fund and the Repair Fund.