As our region’s economy rebounded from the lockdown of 2020, many people are still working to overcome the devastating economic impacts of COVID-19. In an effort to help individuals and small businesses fully recover, Austin Community Foundation, in partnership with the Michael & Susan Dell Foundation, recently made two impact investments in local and national Community Development Financial Institutions (CDFIs). These institutions play an integral role in expanding access to capital for historically undercapitalized populations.
The investments are among the Foundation’s impact investment program, known as FundATX, which consists of a $3 million portfolio of assets intended to create a positive social outcome along with a financial return. FundATX investments are focused on improving economic security and access to affordable housing in Central Texas.
Through collaboration with the Michael & Susan Dell Foundation, we are able to leverage our resources and make a greater impact. Read below for a brief overview of each new investment.
Capital Good Fund provides equitable loans to low-income families for a variety of key needs, including COVID-19 crisis relief; vehicle purchase, repair, or refinance; security deposits; and emergencies.
The joint investment in Capital Good Fund, totaling $850,000, by ACF and the Michael & Susan Dell Foundation, allows Capital Good Fund to increase its Crisis Relief Loan volume in Texas. The loans are used for financial emergencies such as debt payment, rent/mortgage, groceries, utilities, and other unforeseen expenses. ACF’s $100,000 investment is aimed at supporting Central Texas borrowers with a focus on women and people of color.
Headquartered in San Antonio, LiftFund works to level the playing field for the underinvested entrepreneur by providing small business owners with access to capital through loans and technical support.
ACF’s $250,000 investment in LiftFund, along with $500,000 from the Michael & Susan Dell Foundation, is part of a newly launched $3.5 million program called the Texas COVID-19 Recovery Loan Fund. The fund was created in partnership with the Michael and Susan Dell Foundation to help small businesses recover from challenges caused by the pandemic.
Learn more about these organizations and the impact of their work by watching this informative webinar.