Human Services Loan Fund

Seedco Financial offers loan products tailored specifically to meet the needs of New York City-based human services organizations. These below-market interest rate loans range from $25,000 to $1.5 million and are structured to help organizations meet working capital, program expansion, and facilities development needs. Repayment terms are flexible and tailored to borrower’s needs. Seedco Financial provides customized training and advisory services to address the unique business and operational needs of human services organizations.

Financing
The Fund provides specialized loan products to nonprofit organizations and social purpose businesses. All loan requests are subject to an application fee of up to $250. All approved loans are subject to a 2% closing fee.

Nonprofit Organizations:

Loans For Real Estate-Related Projects
- $200,000 to $5 million
- Interest rates: 6% to 9% (fixed or variable)
- Use of funds: Predevelopment, construction, leasehold improvements, and permanent financing.
Loans For Other Projects

$25,000 to $500,000
Interest rates: 6% to 8% (fixed or variable)
Use of funds: Working capital, seasonal cash flow, equipment financing, receivables financing, program expansion, financial and organizational restructuring. Other qualifying uses considered depending on the project.

Social Purpose Businesses:

$25,000 to $200,000
Interest rates: 6% to 8% (fixed or variable)
Use of funds: Working capital, expansion, equipment financing, receivables financing, and build-out costs. Other qualifying uses considered depending on the project.

Eligibility
Medium to large human services nonprofits such as those that provide foster care, youth development, workforce, senior, childcare or other services—with budgets starting at $1 million are eligible to apply.

Impact
In 2007, we issued over $3.5 million in loans and loan commitments. This financing supported the construction and renovation of group residences for developmentally disabled adults, a transitional residence for at-risk, HIV+ teenagers, the expansion of an educational facility and the expansion and restructuring of several longstanding human services organizations.

For any further questions, please contact Haegi Kwon, Financial Services Officer, at hkwon@seedco.org.