Long term, unsecured loans from a consortium of investors that are pooled to create a revolving loan fund (Catalytic Investor Fund)
Grants and equity investments providing supplemental capital to provide credit enhancement for riskier transactions (Catalytic Flexible Capital Pool)
Grants to support our operations and activities (Catalytic Supporter funds)
Sponsorships for specific community advocacy events and initiatives
The Catalytic Fund is a 501(c)(3) company, so grants and contributions are tax-deductible. Because our company is a CDFI, funds provided for investments or operating support qualify for CRA credit. Because our work is mission driven, foundations and individuals can make Impact Investments or Program Related Investments in the Catalytic Fund.
Eighteen private entities consisting of banks, corporations, and foundations provide investment capital for our $19,400,000 Investor Fund in the form of long-term, low interest rate loans. Investors participate in each Catalytic Fund transaction on a pro rata basis. As Catalytic Fund investments are repaid, the principal is returned to the Investor Fund and recycled for future transactions. There is no limit on the size of our Investor Fund and we welcome new participants.
Our $5,300,000 Flexible Capital Pool provides selective funding for projects having high community impact but higher risk factors than those funded solely through our Catalytic Investor Fund. We use Flexible Capital Pool funds to provide a first loss match for transactions involving property acquisition, pre-development activities, or projects needing a low cost equity source that can be flexibly repaid. This capital source is critical to our work and we are actively seeking new Flexible Capital Pool investors.
The Catalytic Fund’s operations and activities are partially supported by tax deductible contributions from our Catalytic Investors and other foundations, companies, and individuals. Here is a list of our past and present Catalytic Supporters.
Greater Cincinnati Foundation
US Bank Foundation
The Ralph V. and Carol Ann Haile US Bank Foundation
Bank of Kentucky
Fifth Third Foundation
Western & Southern
Stock Yards Bank & Trust
St. Elizabeth Healthcare
Corporex Companies Inc.
Scripps Howard Foundation
Procter & Gamble Foundation
Northern Kentucky Regional Alliance
Covington Business Council
RC Durr Foundation
Charles & Julie Geisen Scheper
Park National Bank
Horizon Community Funds of NKY