Communities on the margins of opportunity deserve a trusted partner on their journey towards financial growth and stability.
From working capital to building loans, NCCLF provides nonprofits and social enterprises the financing they need to make a difference in their communities.
We are committed to offering vital support that places our clients on a path toward equitable financial opportunity. We provide fair access to multiple forms of capital and together, we identify and create a strong strategy for securing the necessary resources for your organization’s goals.
We fill the gap for communities with low financial wealth who have been systemically limited in their access to the vital resources they need to obtain financial freedom. As partners, we work alongside our clients to foster revitalized, equitable, and vibrant communities.
We offer investment in the form of loans which range up to $3 million. We finance working capital and real estate projects, offering more flexible terms than conventional lenders. Our flexible terms include bridge loans (short-term), lines of credit (an amount of credit extended to a borrower), and general working capital loans (supporting everyday operations) with interest rates between 5-7%.
Our loans support 6 types of projects:
- Affordable Housing – loans supporting all phases of the development of all types of housing–from multi-family rental to homeownership
- Community Facility – loans financing the construction or rehabilitation of essential human service facilities
- Economic Development – loans for ventures producing jobs and financial stability, including worker-owned cooperative businesses
- California Freshworks: Healthy Foods Initiatives – loans supporting the development of grocery stores, markets and other innovative forms of healthy food retail and distribution to communities that do not have them
- California Fisheries: loans supporting fishermen and fisheries-related businesses and nonprofits
- Operating Lines of Credit and Working Capital – loans uniquely designed to aid nonprofits in meeting cash flow requirements
All applicants must:
- Be located within California.
- Demonstrate evidence of fiscal soundness, managerial competence, ability to meet the terms of the proposed loan, and general creditworthiness.
- Be nondiscriminatory in labor and business practices, not be engaged in military, defense, or nuclear-related business, and be in compliance with federal, state, and local regulations regarding air, water, and land use, toxic materials, hazardous waste, and occupational safety.
Up to 10 years
Lines of Credit
12 months (renewable)
Up to 90%
Real Estate: 5.75%-6.25%
1.5%-2% including application, commitment, and closing.
Real estate preferred but will consider other types of collateral. Subordination to conventional lenders considered.
NCCLF aims to advance economic and racial equity and to support security of place for families and nonprofits. NCCLF’s strategies for achieving these goals include:
- NCCLF advances economic equity by providing products and services to enterprises that 1) lack access to capital, and/or 2) fulfill a community need, such as opportunities for ownership, leadership, economic resilience, and quality employment for those who are systemically disadvantaged.
- NCCLF advances racial equity by supporting enterprises owned and led by people of color, and/or organizations that address issues of significance to communities of color.
- In order to meet the needs of low- and moderate-income people, NCCLF preserves and supports community through lending that fills a gap in the regional housing market. In addition, NCCLF supports the growth, impact, and sustainability of nonprofit organizations aligned with our mission by providing products and services that build capacity, sustain facilities, and enhance community.
Step 1: Initial Inquiry. NCCLF aims to respond to initial inquiries within one week.
- Applicant completes online inquiry form
- NCCLF contacts applicant for a brief conversation to learn more
- NCCLF either requests more information or lets applicant know that request is not a good fit at this time
Step 2: Additional Information Requested.
- NCCLF requests additional information from applicant:
- Management and board information
- Additional project details
- Additional social impact details
NCCLF either invites applicant to complete full application or lets applicant know that request is not a good fit at this time.
Step 3: Full Application. Time to complete full application varies depending on the complexity of the project.
- If it appears that NCCLF may be able to meet your needs, NCCLF invites applicant to complete full application:
- NCCLF provides applicant with term sheet
- NCCLF provides applicant with full loan application and checklist
- Applicant begins full application:
- Signed term sheet with application deposit should be returned ASAP
- Applicant works through application, submitting items as they are ready
- NCCLF reviews application items as they are submitted to expedite process
Step 4: Underwriting, Credit Approval, and Closing. This step can take 4-8 weeks, depending on the complexity of the project.
- When NCCLF has received the full loan application including all checklist items, your assigned loan officer will begin analyzing the loan for credit approval
- Your loan officer will have questions for you during this process
- You will be kept updated regarding timing and status as the underwriter works through the process
- If the loan is approved, you will receive an official commitment letter, and NCCLF will work with you to obtain the additional information needed to close the loan