{"id":6834,"date":"2023-04-01T03:22:02","date_gmt":"2023-04-01T03:22:02","guid":{"rendered":"https:\/\/imsfund.com\/?p=6834"},"modified":"2023-04-01T03:22:02","modified_gmt":"2023-04-01T03:22:02","slug":"kauffman-foundation-fund-awards-cdfi-grant-its-third-to-dreamspring","status":"publish","type":"post","link":"https:\/\/imsfund.com\/index.php\/2023\/04\/01\/kauffman-foundation-fund-awards-cdfi-grant-its-third-to-dreamspring\/","title":{"rendered":"Kauffman Foundation Fund Awards CDFI Grant, Its Third, To DreamSpring"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div>\n<p>Most entrepreneurs have a hard time getting loans from banks. It\u2019s a big problem for all founders, but especially those from marginalized communities.<\/p>\n<figure class=\"embed-base image-embed embed-0\" role=\"presentation\"><figcaption><fbs-accordion><\/p>\n<p class=\"color-body light-text\">Shakia Webb<\/p>\n<p><\/fbs-accordion><small>Matt Long, Kauffman Foundation<\/small><\/figcaption><\/figure>\n<p>That\u2019s why, several years ago, the <a href=\"https:\/\/www.kauffman.org\/\" target=\"_blank\" class=\"color-link\" title=\"https:\/\/www.kauffman.org\/\" rel=\"nofollow noopener noreferrer\" data-ga-track=\"ExternalLink:https:\/\/www.kauffman.org\/\" aria-label=\"Ewing Marion Kauffman Foundation\">Ewing Marion Kauffman Foundation<\/a> formed its Direct Capitalization Loan Fund, which aims to expand the loan pools available to small businesses in Kansas City, Kauffman\u2019s hometown, as well as nationally, and boost access to capital in disinvested communities.<\/p>\n<p>The fund just announced its third award\u2014a $5.3 million grant to <a href=\"https:\/\/www.dreamspring.org\/\" target=\"_blank\" class=\"color-link\" title=\"https:\/\/www.dreamspring.org\/\" rel=\"nofollow noopener noreferrer\" data-ga-track=\"ExternalLink:https:\/\/www.dreamspring.org\/\" aria-label=\"DreamSpring\">DreamSpring<\/a>, an Albuquerque-based Community Development Financial Institution (CDFI). DreamSpring also received $300,000 in funding to help it deploy the funds in Kansas City. \u201cThis partnership is aimed at helping to bridge funding gaps and nurture an environment where small businesses, particularly those owned by people from historically underserved populations, can grow their businesses and flourish,\u201d says Anne Haines, president and CEO of DreamSpring.<\/p>\n<p>Kauffman is focusing on CDFIs in large part because of their track record funding enterprises that can\u2019t find bank funding. \u201cThey have alternative ways to assess the trustworthiness of a business,\u201d says Shakia Webb, program manager, entrepreneurship. For example, CDFIs might review an entrepreneur\u2019s track record of paying a variety of bills in a timely fashion that banks won\u2019t include in their underwriting.<\/p>\n<p><fbs-ad position=\"inread\" progressive=\"\" ad-id=\"article-0-inread\" aria-hidden=\"true\" role=\"presentation\"\/><\/p>\n<p>DreamSpring\u2019s average loan size is $13,500, with a focus on BIPOC, women, startup, and low-to-moderate income small business owners. But it makes loans as low as $200 on up to about $2 million. Smaller loans might require repayment in a few months, while bigger ones have three to five year repayment terms.<\/p>\n<p>According to Haines, over the next five years, the initial capital from Kauffman will be continuously recycled as loans to other small businesses. Ultimately, that will result in DreamSpring deploying about $140 million in capital.<\/p>\n<figure class=\"embed-base image-embed embed-1\" role=\"presentation\"><figcaption><fbs-accordion><\/p>\n<p class=\"color-body light-text\">Akil Cooper<\/p>\n<p><\/fbs-accordion><small>Gabrielle Meeks <\/small><\/figcaption><\/figure>\n<p>With the additional $300,000 in funding, DreamSpring has hired its first loan officer in Kansas City. It\u2019s also building out other capabilities to provide on-the-ground service and support in the area.<\/p>\n<p>Akil Cooper, who heads a one-year-old signage and printing company in the Kansas City region just received $7,500 in funding that he\u2019s using to buy a CNC milling machine, target bigger customers and expand his business. Eventually, he wants to purchase more industrial-size equipment.<\/p>\n<p>Kauffman has already made previous funding awards to two CDFIs\u2014$5.3 million to AltCap in December 2021 and $3.3 million to Holy Rosary Credit Union in June 2022. For now, according to Webb, Kauffman is pausing on making any more awards. \u201cWe want to observe the performance of the three CDFIs we\u2019ve funded, so as we move forward, we have some historic numbers to go on,\u201d she says.<\/p>\n<\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/www.forbes.com\/sites\/annefield\/2023\/03\/31\/kauffman-foundation-awards-cdfi-grant-its-third-to-dreamspring\/\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Most entrepreneurs have a hard time getting loans from banks. It\u2019s a big problem for all founders, but especially those from marginalized communities. Shakia Webb Matt Long, Kauffman Foundation That\u2019s why, several years ago, the Ewing Marion Kauffman Foundation formed its Direct Capitalization Loan Fund, which aims to expand the loan pools available to small [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":6835,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"fifu_image_url":"https:\/\/imageio.forbes.com\/specials-images\/imageserve\/64270747eca5858f89217d99\/0x0.jpg?format=jpg&width=1200","fifu_image_alt":"","footnotes":""},"categories":[9],"tags":[],"class_list":["post-6834","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog"],"_links":{"self":[{"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/posts\/6834","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/comments?post=6834"}],"version-history":[{"count":1,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/posts\/6834\/revisions"}],"predecessor-version":[{"id":6836,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/posts\/6834\/revisions\/6836"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/media\/6835"}],"wp:attachment":[{"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/media?parent=6834"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/categories?post=6834"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/imsfund.com\/index.php\/wp-json\/wp\/v2\/tags?post=6834"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}