Making Loans to Improve the Lives and Economic Well-Being of Arizonans

Initiative Program Related Investment

Grantee Partner Growth Partners Arizona

Lesli Pintor (former GPAz Executive Director) with Michael Martinez, Executive Director of the Live Theatre Workshop, a GPAz loan recipient.

Growth Partners Arizona (GPAz) is a U.S. Treasury-certified Community Development Financial Institution (CDFI). Its mission is to provide accessible, fair and responsible loans and support to Arizona nonprofits as well as to small businesses. Since 2014, GPAz has loaned more than $5 million to economically under-served areas throughout Arizona, with no loan losses to date. GPAz’s vision is to achieve economic justice through forward-thinking, collaborative and inclusive approaches to capital access in Arizona.

In addition, GPAz isn’t only about providing individual loans. It’s ultimately about making capital available to those who don’t have it or can’t get it. That’s what being a CDFI means.

Liberty Partnership Kino Neighborhoods Council (LPKNC), a nonprofit organization in Tucson focused on prevention of substance use and misuse, promoting mental health and wellness, and preventing suicide, is the recipient of a GPAz loan. LPKNC has been especially challenged by the COVID-19 pandemic that impacted the ability to be face to face in classrooms, libraries and parks, and recreation centers when the need for its services increased significantly.

Jamal Givens, President and CEO of LPKNC, says, “We’ve had to respond to the changes quickly, and Arizona Growth Partners was there when we needed a loan to cover expenses until we were reimbursed for a significant grant. The grants that we get for prevention work are normally cost reimbursement where we have to spend the money first and then get reimbursed for our services. It’s challenging for a young nonprofit to have that kind of money already in the bank.”

About working with GPAz, Jamal says, “The loan process was simple. I also truly appreciated that this was a local organization that I felt safe working with. The loan from GPAz has allowed us to help people understand the harmful effects of substances, support people with mental health challenges, and prevent suicide in our community.”

Economic justice … means fighting for financial capital to reach all people and communities. Financial capital is the fuel that drives economic opportunity.
Lisa Mensah, CEO, Opportunity Finance Network (national association of CDFIs)

Capital access remains the most important factor limiting the establishment, expansion, and growth of minority-owned businesses (MBEs)
Kimber Lanning, CEO, Local First Arizona

Grant Purpose

A $200,000 investment from The David and Lura Lovell Foundation to GPAz’s loan pool helps finance nonprofit organizations and underserved small businesses. In addition, $20,000 in operational grant funding helped GPAz build capacity and grow its impact.

GPAz’s borrowers are nonprofit organizations and small businesses that typically can’t get financing at a bank. GPAz provides loans for these underserved borrowers as well as financial coaching for borrowers and non-borrowers alike. GPAz’s goal is for at least 75% of borrowers to be able to qualify for traditional financing within three to five years

How You Can Help

You can become an investor. Investors provide low-interest loans funds that are then used to provide loans to qualified borrowers. Investments continuously recycle, as loans are repaid by one borrower and the funds are then available to loan to another. GPAz works closely with borrowers to improve their financial sustainability and expertise so they can become “bankable” and obtain more traditional sources of capital.

We also welcome donations to supplement the loan program income we earn. Our loan portfolio is not yet big enough to fully support our operations.

Our donors and investors are financial institutions, private foundations, nonprofit organizations, individuals, donor advised funds, and quasi-governmental agencies. Join these change agents by investing in GPAz’s loan pool and/or donating to GPAz’s operations to help us support nonprofits and small businesses in marginalized and underserved Arizona communities.

You can make your donation here. To discuss how to invest in our loan pool, contact our Executive Director at 520-382-9218 x1.

Funding

2017-2023 $220,000

Future Need

As a mission-focused nonprofit community loan fund and CDFI (Community Development Financial Institution) certified by the U.S. Treasury, GPAz lends to nonprofit organizations and small businesses primarily located in low to moderate income areas across Arizona. We also focus on lending to small businesses owned by women, people of color, and veterans.

To grow our impact through loans to nonprofits and small businesses, we need long-term, low-rate investment capital for our loan pool. These funds revolve and the multiplier effect of an investment is many-fold as funds are lent out, repaid, and lent out again.

Grant funding and other significant donations also help us offer the Kiva Tucson loan program, an online crowdfunding platform for microloans at 0% interest, as well as advisory services, such as workshops and one-on-one coaching to help nonprofits and businesses become more financially resilient and sustainable. Long-term support will enable us to maintain and expand our financial assistance to communities most in need.

Contact

Executive Director

520-382-9218, extension 1

info@growthpartnersaz.org

growthpartnersaz.org