In 2017, in response to a demand for capital from social enterprises, REDF launched our impact lending practice to provide loans to qualified borrowers. REDF will deploy capital and provide technical assistance on business operations and social impact to borrowers through an integrated double-bottom line approach which leverages 20 years of venture philanthropy experience. REDF’s Impact Lending practice complements our existing venture philanthropy model by providing loans to financially sustainable social enterprises that demonstrate an ability to employ and provide training to significant numbers of people and contribute to the growth and health of the social enterprise sector. Aligning with our existing venture philanthropy portfolio, impact lending targets the following industries:
• Alternative Staffing
• Recycling, Cleaning and Maintenance
• Consumer Goods/Retail
• Food Services
Social enterprises that meet the following eligibility criteria are encouraged to contact REDF at firstname.lastname@example.org:
• Three years of operation
• Current or demonstrated path to profitability with growing profit margins
• Positive sales growth
• Strong management track record
Learn more about REDF's impact lending in our frequently asked questions.
Loans Closed To-Date
Wash Cycle Laundry is a triple-bottom line company located in Philadelphia that offers jobs, training and advancement potential to people facing barriers to employment. Loan proceeds will help them expand capacity in Philadelphia, open a new location in Boston, and service more clients, including a new contract with the University of Pennsylvania. Wash Cycle’s expansion will allow them to hire approximately 150 new permanent employees over the next four years at living wages.
Kitchens for Good is a nonprofit social enterprise based in San Diego that provides opportunity youth, previously incarcerated and low income adults culinary and job skills training via a 13-week culinary apprenticeship program. Loan proceeds will support the addition team members to its catering and events staff. Kitchens for Good expects to grow its transitional employment opportunities from 75 to 100 per year, and increase permanent employment opportunities to 64, up from 48 currently.
CRCD Enterprises, is the for-profit social enterprise subsidiary of Coalition for Responsible Community Development (CRCD), a member of REDF’s national portfolio since 2011. Located in South Los Angeles’ Vernon-Central neighborhood, CRCD employs youth between the ages of 18-24 and adults in the reentry population and pays living or prevailing wages ($15-$42/hour) to all transitional workers. Loans proceeds will support business growth and equipment purchases, and position CRCD Enterprises to employ 20 incremental workers within 12 months and total of 120 annually.