Charter Communications in Stamford, Connecticut, has announced the creation of a $10 million fund that will make loans through community development financial institutions (CDFIs) to small businesses providing goods and services in underserved communities.
With plans to invest $10 million by the end of 2021, the Spectrum Community Investment Loan Fund will make loans of up to $1 million to CDFIs in Charter's operating footprint. In addition to the loans, the company will provide each CDFI with a separate grant to provide small businesses with additional training and technical assistance. Initial recipients of the loans include Pursuit Community Finance (formerly the Excelsior Growth Fund) in New York and PeopleFund in Texas. The company expects to announce additional loans to CDFIs in Ohio, California, Florida, North Carolina, and Wisconsin.
"It is a true honor for PeopleFund being selected by Charter to be part of this initiative, and we applaud their commitment in support of CDFIs to help our most vulnerable communities," said PeopleFund president and CEO Gustavo Lasala. "Each dollar that Charter invests in a CDFI has a multiplier effect. We will leverage each dollar from Charter with four dollars from other sources for a grand total of $5 million to be invested in small businesses throughout Texas. This will have an enormous positive economic impact in the communities where these businesses operate by creating hundreds of jobs and helping hundreds of families achieve financial stability and independence."