Monday, July 2, 2012

Alternative Financing


In this segment we take a look at two alternative funding websites, in an effort to assist other entities looking for investors.  Logically (due to the current condition of our economy), traditional financing outlets have been extremely harsh with their approval of business loans.  This has been especially true in regards to urban, rural and native communities.  Thankfully, sites such as www.opportunityfinance.net & www.microenterpriseworks.org offer entrepreneurs targeting these disenfranchised areas, financial support.

Opportunity Finance Network

“Opportunity Finance Network (OFN) is a national network of community development financial institutions (CDFIs) investing in opportunities that benefit low-income, low-wealth, and other disadvantaged communities across America” (Opportunity Finance, 2012).
The members of the company (OFN) are performance-oriented and responsible investors that aim to spark job growth in the areas that need it most.  The goal of their initiative is to stimulate sound financial returns and real changes for people and communities.  To date the company has provided well over $23.2 billion dollars in financing in urban, rural, and Native communities. 
By providing guidance in 5 key areas (Financing, Public Policy, Knowledge Sharing, Strategic Consulting & Strategic Communications), the network plans to continuously expand.  Which is best exemplified within their mission statement. 
“OFN’s mission through 2025 is to lead CDFIs and their partners to ensure that low-income, low-wealth, and other disadvantaged people and communities have access to affordable, responsible financial products and services” (Opportunity Finance, 2012).
                        For a list of qualifications & requirements click the link below


Association For Enterprise Opportunity

“AEO supports the development of strong and effective U.S. microbusiness initiatives to assist underserved entrepreneurs in starting, stabilizing, and expanding businesses” (Association For Enterprise Opportunity, 2012).

This company focuses on 4 pertinent causes including:
·      Voice (promoting awareness)
·      Catalyst Initiative (identifying opportunities)
·      Capacity Building in the Southeast (increasing efficiency & effectiveness)
·      Green Economy: (identifying new "green" opportunities with and for members)

The networks success is apparent.  To date it has helped more than two million entrepreneurs create jobs.  It has also secured more than $300 million federal dollars for microbusiness industry participants. 

“Through AEO managed programs, member organizations have received around $20 million dollars of private funding to improve and expand vital programs and services to disadvantaged entrepreneurs and communities” (Association For Enterprise Opportunity, 2012).

For a list of qualifications & requirements click the link below

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