Local Stakeholders

Groups and organizations important to the decision-making process who need to be incorporated into transactions.

ANCHOR INSTITUTION Nonprofit institution such as a university or hospital that once established tends not to move location. It can have significant impact in its local community via its investment, procurement, hiring and philanthropic practices.

ANGEL INVESTOR Individuals who provide financial support and strategic advice to entrepreneurs launching early stage enterprises, usually in exchange for convertible debt or equity. They often form organized collectives to identify investment opportunities.

BANK Regulated financial institutions with access to the Federal Reserve It is able to offer low-interest rates, but primarily to organizations with profitable financial histories.

BUSINESS ASSOCIATION Network of professionals from various industries who exchange expertise and relationships to advance their field.

CDC Community Development Corporation focused on revitalizing its local geography, typically low-income, underserved neighborhoods that have experienced significant disinvestment.

CDFI Community Development Financial Institution provides affordable capital (primarily lending) to disinvested people and communities. Capital comes primarily from grants and low-interest loans from foundations, the government and banks.

CHAMBER OF COMMERCE Voluntary association of businesses in different trades and industries whose purpose is to advance shared business interests in their community.

CHARITABLE LOAN FUND Lightly regulated nonprofit that raises debt and grants from accredited and non-accredited investors to finance organizations that advance a charitable mission. Exempt from federal securities offering registration and in most states.

COMMUNITY ORGANIZATIONS Civic, grassroots and community-based organizations are formal and informal networks of community members that can be mobilized to advance educational, charitable, cultural, political or economic development goals.

CORPORATIONS Large companies that may be inclined to direct philanthropic or in-kind support to social issues aligned with their corporate interests.

CREDIT UNION Financial cooperative owned and controlled by its depositors and providing its members with traditional banking services, including credit.

DIVERSIFIED BUSINESS FUND Individuals who provide financial support and strategic advice to entrepreneurs launching early stage enterprises, usually in exchange for convertible debt or equity. They often form organized collectives to identify investment opportunities.

FAITH-BASED INSTITUTION Religious organization that may incorporate its values into decision-making criteria for its investing, grantmaking and procurement practices.

FOUNDATION Public, private and community foundations are tax-exempt charitable organization that distribute grants with a mission focus.

GOVERNMENT Direct, small business support from government may take the form of grants, low-interest loans, guarantees, technical assistance and policy programs effecting procurement and diversity practices.

INCUBATORS & ACCELERATORS Organizations that support early-stage businesses by offering strategic advice, technical assistance, co-work space and/or financial support.

MENTOR NETWORK Network designed to match experienced business and nonprofit leaders with emerging leaders. Mentoring may include leadership coaching, strategic guidance and technical advisory support.

MUTUAL AID NETWORK Network or platform designed to enable voluntary reciprocal exchange of resources and services for mutual benefit in a community.

NGO Non-governmental organizations are mission-based and tax-exempt nonprofits that rely on grants, and sometimes earned income, to advance a social good.

PRIVATE EQUITY Funds and individual investors that directly invest in private companies. They may seek to take managerial control and grow the business to sell for profit.

TA PROVIDER Technical Assistance Providers are individuals and organizations offering practical, strategic business advice to enterprises. These services may be paid for by a third-party.

VENTURE CAPITAL Investors using pooled private capital to invest in early stage businesses. They typically take on higher risk, seek high returns and a 3-7 year exit. They may seek a controlling interest and assume an active role in governance.

WORKER SERVICES AND LABOR Organizations representing the interests of a workforce, whose endorsement and bargaining power depend on the labor climate in the community.