Capital for Change reports growth in assets, projects ongoing stability
WALLINGFORD – Capital for Change Inc. is coming off a successful year that saw its business grow and its outreach expand, the organization's leadership is reporting to investors.
During the fiscal year that ended March 31, 2020, the organization – Connecticut's largest full-service community development financial institution – grew its assets by $25 million to approximately $106 million and saw a net income of $65,000.
“We're pleased to report these results, because growing our assets and income is an indication of our strength, reliability and commitment to our mission,” said Calvin B. Vinal, the organization's president and CEO. “Despite the current economic challenges imposed by the ongoing pandemic, this demonstrates the strength of our organization.”
Charles Bodie, director of financial planning and reporting for Capital for Change, expressed similar optimism for the organization's capacity for expansion while maintaining efficiency.
“We experienced growth in all of our business areas during the fiscal year, but, most importantly, we were able to diversify our funding sources and secure new funding to drive future growth in both Commercial and Consumer lending,” Bodie said.
“Particularly in anticipation of future growth, we've completed upgrades of our systems for accounting, commercial-loan portfolio management and impact metrics. These changes will contribute to the efficiency of our overall operations.”
Bodie also pointed to several other positive developments at the organization during the past fiscal year:
– The organization's relocation in 2019 to a new physical site at Wallingford has allowed its former staff structure involving multiple units in separate communities to be unified in a shared space, thereby promoting greater unity and productivity.
– The organization's consumer-lending group added more than $16 million in new energy-efficiency loans to consumers statewide with funding from local utilities, permitting Capital for Change to further its mission of reducing emissions and improving air quality.
– Commercial loans grew more than $5 million, with new loans promoting affordable housing and commercial energy efficiency.
– Revenues and expenses have been balanced relative to the organization's budget and new funding sources have been introduced through relationships with Amalgamated Bank and the Connecticut Green Bank as well as the organization's financial supporters identified as “Social Impact Investors.”
While the ongoing international COVID-19 pandemic has impacted nearly all aspects of the organization's business, Capital for Change's leadership is noting continued growth in consumer lending and new opportunities to provide support services, particularly to state and city governments seeking to distribute emergency small-business relief.
“We anticipate new financial support and grant opportunities that will permit us to expand commercial and small-business lending in the coming year,” Vinal said, including new opportunities to boost access to affordable housing in communities the organization serves.
“That's why we regard Capital for Change to be well-positioned for the eventual economic recovery and a long-awaited return to normal after the pandemic,” Vinal said. “That will be good news to our investors as well as our highly valued employees, who've worked diligently to achieve these results.”
Even in the pandemic's wake, the organization retained its entire staff and continued to provide an unchanged level of employee benefits while maintaining its fiscal responsibility to investors. A new medical provider also maintained employee benefits at the same level for the same cost.
Serving Connecticut for more than 50 years, Capital for Change Inc. has invested more than $425 million in mission-driven capital statewide. It draws investments from individuals, federal and state sources, banks, investment firms and faith-based and civic groups because it offers an effective way to help neighbors and communities in need.
The organization's mission is to provide flexible, creative and responsive financial products and services to benefit low- and moderate-income persons, and minority and otherwise underserved individuals, businesses and communities. Its programs and products broaden access to affordable housing, energy efficiency and job opportunities.
Capital for Change Inc. was created in 2016 through the mergers of the Community Capital Fund, Connecticut Housing Investment Fund and the Greater New Haven Community Loan Fund, shaping an organization with a statewide history of service stretching back to 1968.
Additional information is available online at CapitalForChange.org and the organization's Facebook page, “Capital for Change, Inc.”