Rende Progress Capital (RPC) and Grand Rapids Community Foundation announced their partnership to reduce the racial wealth gap in the Grand Rapids Area through increasing economic equity by providing loans and business technical/financial advising services to Excluded Entrepreneurs who face barriers to conventional loans due to racial bias.
The Community Foundation Board of Trustees approved a partnership with RPC through a grant of $100,000 and a low interest, program related investment loan for $200,000. This partnership and investment by the foundation will allow RPC to focus start-up operations and lending in the Grand Rapids/Wyoming Metropolitan Statistical Area in order to eliminate the racial wealth gap through supporting businesses owned by Michigan Excluded Entrepreneurs (African-American, Latino, Asian-American, Native American and Immigrants) representing groups who statistically experience higher loan denials and lending barriers from some traditional lenders than their counterparts.
Eric K. Foster, Chairman and Managing Director of RPC is appreciative and pleased that the Community Foundation has placed confidence in “Rende Progress Capital’s mission as the only Loan Fund and emerging racial equity-oriented Community Development Financial Institution, our distinctive features such as Financing Approval through Racial Equity (FARE) and other criteria to be used in our lending and investment decisions to provide capital to local Excluded Entrepreneurs.”
The Community Foundation’s grant and loan support underscores the value that they see in RPC’s innovative services. “Overcoming inequities to support economic inclusion is a win-win for the entire community,” said Laurie Craft, vice president for community investment for the Community Foundation. “The need for additional capital in the excluded communities targeted by Rende Progress Capital align well with the Community Foundation’s future direction. This partnership represents one more step toward creating a thriving community for all.”
Please visit the following link for the full press release announcement by selecting the Press Release titled Press Release: GRCF and RPC at https://www.rendeprogresscapital.com/downloads