U.S. Treasury program awards $5 billion to promote economic growth and job creation in distressed communities across the country
New York, New York – September 1, 2021 – The Community Development Venture Capital Alliance (CDVCA), a nationally recognized leader in impact investment for business development and job creation, has received a $45 million tax credit allocation from the highly competitive federal New Markets Tax Credit (NMTC) program.
Administered by the U.S. Department of the Treasury’s Community Development Financial Institutions Fund (CDFI Fund), NMTC awards spur economic growth and development in low-income urban and rural communities across the county. CDVCA is one of 100 organizations, selected from a pool of 208 nationwide applicants, to receive an allocation in the 2020 round.
CDVCA has a 26-year history of promoting the availability of critical startup and growth capital to businesses in distressed or underinvested areas, directly supporting nearly 350 businesses and the creation of over 12,225 jobs. Unlike many allocatees that use the tax credit primarily for real estate development, CDVCA focuses its allocation exclusively on operating businesses. It has developed innovative structures to provide smaller and shorter-term financing to businesses, including high-risk equity financing similar to venture capital, CDVCA seeks investment opportunities that create quality jobs that are accessible to low-income people.
The full announcement on the U.S. Treasury program can be found here:
CDVCA contact: Kerwin Tesdell
475 Riverside Drive, Suite 1264; New York, NY 10115