The Washington program will provide access to credit for small businesses and local non-profits

BETHESDA, MD, May 30, 2024 /24-7PressRelease/ — Calvert Impact and its partners today announced the launch of the Washington Small Business Flex Fund 2, the fourth loan participation program under Calvert Impact’s strategy to leverage the State Small Business Credit Initiative (SSBCI) to support small businesses across the country. The program, created in partnership with the Washington State Department of Commerce and Grow America, aims to connect small businesses and non-profits throughout the state with access to funds at competitive interest rates.

“Our goal with the SSBCI program is to give underbanked communities across the country access to capital, and launching this Fund in Washington is an impactful next step,” said Joe Meginnes, director of strategy at Calvert Impact. “Through this partnership with the Washington State Department of Commerce and community lenders, the Fund will help remove barriers to financing for small business owners and non-profits statewide.”

The SSBCI loan participation programs were adapted from the work done through a series of pandemic recovery funds launched over the last four years by Calvert Impact, Community Reinvestment Fund, USA, Grow America (formerly National Development Council) and their community development financial institution (CDFI) partners across the U.S. To date, these funds have made approximately 6,000 small businesses loans through nearly 40 community lenders nationally and provided business support services to over 4,300 small businesses. The launch of the Fund comes after the launch of three other state-wide SSBCI programs, the Nevada Battle Born Growth Microloan program, the New York Forward Loan Fund 2, and the New Jersey Capital Access Fund.

“Small businesses are the heart and soul of community economies and a source of generational wealth-building for many families,” said Washington State Department of Commerce Director Mike Fong. “Partnering with Calvert Impact and CDFIs will expand credit access for small business owners farthest from opportunity, strengthening and enriching their communities and our overall state economy in the process.”

The Fund program is a network of nonprofit, community-based lenders that have decades of experience helping Washington’s small businesses and nonprofits thrive. Participating lenders are a mix of local, state, and national organizations and will include Ascendus, Evergreen Business Capital Community Finance, Grow America Community Impact Loan Fund, MoFi, and Pursuit Community Finance, with others to follow. Calvert Impact is the fund’s lead servicer and manager, Grow America is the fund administrator, and Community Reinvestment Fund, USA is the technology services provider.

“Through innovative partnerships like this, we can bridge the gap between financial institutions and underserved communities, ensuring that every small business has the opportunity to succeed,” said Daniel Marsh, president and CEO of Grow America. “The Washington Small Business Flex Fund 2 stands as a testament to what can be achieved when organizations come together with a shared vision of economic empowerment and growth.”

Added Patrick Davis, SVP of platform and tech services at Community Reinvestment Fund, USA: “CRF is honored to participate in the Washington Small Business Flex Fund 2 and utilize our technology solutions to help effectively deploy critical SSBCI dollars to small businesses across the state. We are excited about the lasting impact this fund aims to create in communities, especially in those with a history of underrepresentation, and we look forward to working with all of the program partners.”

Program design and development were supported with grants from the Citi Foundation’s Community Finance Innovation Fund and Wells Fargo.

“The Fund will help give underserved small business owners across Washington the chance to acquire financing to propel their businesses – and communities – forward,” said Kristen Scheyder, senior program officer at the Citi Foundation. “We are excited to see Calvert Impact extend this innovative model into a new state and continue leveraging the expertise and reach of CDFIs to serve more small businesses and entrepreneurs.”

“Small businesses are the foundation of a thriving community. They propel our economy and contribute to its social fabric by providing essential goods and services, creating jobs, and serving as centers for the community,” said Gustavo Perez, vice president of philanthropy and community impact at Wells Fargo. “We’re proud to support Calvert Impact and see the program expand into Washington state, benefitting thousands of businesses over the coming years.”

More information about the loan program can be found at https://smallbusinessflexfund.org/.

About Calvert Impact
Calvert Impact is a global nonprofit investment firm that helps investors and financial professionals invest in solutions that people and the planet need. During its 29-year history, Calvert Impact has mobilized approximately $5 billion to grow local community and green finance organizations through its flagship Community Investment Note® issued by Calvert Impact Capital, Inc. and other products and services. Calvert Impact uses its unique position to bring the capital markets and communities closer together. More at https://calvertimpact.org.

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