Article Archives: South Dakota
Expanding Day Care and Early-Childhood Education
First Children’s Finance (FCF) is a nonprofit community development financial institution working to increase the availability of quality early-childhood education and day care for low-income families in Iowa, Kansas, Michigan, Minnesota, Missouri, North Dakota, South Dakota, Texas, Washington, and Wisconsin.
The nonprofit provides expertise and capital to other service organization and businesses. FCF offers services, including training and support for people interested in starting child-care businesses; strategic planning support for nonprofits; and consulting.
The FCF Loan Fund has made 281 loans totaling $8.1 million to small child-care businesses and nonprofit organizations. To date, nearly 50 banks, foundations, and businesses have invested in the FCF Loan Fund. Bankers can help FCF by investing capital in its loan fund; volunteering to serve as board and loan committee members; serving as advisors to the FCF Growth Fund; and making financial contributions to FCF.
For more information, contact Jerry Cutts, FCF President and CEO, at (612) 338-3023, or e-mail email@example.com, or visit www.firstchildrensfinance.org.
Business Planning and Financing for "Indianpreneurs"
Since 1992, this St. Paul, Minnesota-based nonprofit organization has provided business development services and, in some cases, financing to enrolled members of federally recognized tribes in Michigan, Minnesota, North Dakota, South Dakota, and Wisconsin. The nonprofit organization offers a 33-hour, culturally relevant curriculum to help "Indianpreneurs" the term it uses for American Indian entrepreneurs-develop business plans and improve their management skills and personal financial literacy. The nonprofit organization boasts a 92 percent completion rate for enrolled students and attributes this success rate to a culturally sensitive approach that incorporates Native American traditions and includes Indianpreneurs as members of its faculty.
AIEDF is certified by the U.S. Department of the Treasury as a Native Community Development Financial Institution that provides technical assistance and financing to existing Native American businesses. Since 1992, AIEDF has provided $6 million in gap financing, through loans from $15,000 to $70,000 to Indianpreneurs and leveraged $18 million in additional financing from banks, revolving loan funds, and other sources.
How can banks support AIEDF? Banks are encouraged to:
For more information, contact David Glass at (651) 917-0819 or firstname.lastname@example.org
Small Loans, Big Returns
Headquartered in Milwaukee, WtW makes its loans from 43 offices in 21 states: California, Delaware, Florida, Hawaii, Illinois, Indiana, Louisiana, Maryland, Michigan, Minnesota, Missouri, New York, North Carolina, Ohio, Oregon, Pennsylvania, South Dakota, Texas, Virginia, Washington, and Wisconsin.
WtW offices are located in social service agencies affiliated with the Alliance of Children and Families (ACF). ACF agencies screen and provide financial education to borrowers and service the loans. WtW local offices provide financial education to more than three persons for every individual who receives a loan. Investors in WtW include several national foundations, the Community Development Financial Institution Fund of the U.S. Treasury Department, local United Way offices, and financial institutions. Banks can be involved by investing in the national WtW loan fund, by referring to local WtW offices prospective borrowers who do not meet conventional credit criteria, by participating in local WtW loan committees, and by providing grants and in-kind donations to WtW.
[Community Developments Investments, Fall 2008]
The Midwest Assistance Program Loan Fund
Established in 2003, MAPLF has closed seven loans totaling $105,000, has $250,000 more in process, and has sustained no losses. Loans have been made in four of the nine states in MAPLF's service region. MAPLF is an affiliate of the Midwest Assistance Program, which provides engineering, training, and other consulting services to help small rural communities plan and implement water and wastewater improvement projects. MAPLF typically funds projects that have multiple layers of funding, including grants and loans from a variety of sources. Originally capitalized with $100,000 from the Midwest Assistance Program, MAPLF also funds its loans with the proceeds of a federal grant, and is actively seeking new investors. Banks can participate by investing directly into MAPLF, by referring prospective borrowers that do not meet conventional credit criteria, and by structuring MAPLF into financing packages in which the banks would like to participate.
For more information, visit www.map-inc.org or contact Tom Kopp at (952) 758-4334 or email@example.com.
Cooperative Financing in the Upper Midwest
For more information, contact Margaret Lund at (612) 331-9103 or at firstname.lastname@example.org. NCDF's web site is www.ncdf.org.
South Dakota Rural Enterprise, Inc. (SDREI)
Contact Beth E. Davis, President, 605-978-2804; email@example.com; www.sdrei.org.
Venture Capital in the Midwest
Contact: Tom Parkinson at (312) 357-9600; firstname.lastname@example.org; www.hopewellventures.com.