Greater Cedar Rapids Community Foundation Announces Revolving Loan Fund for Nonprofits

The Greater Cedar Rapids Community Foundation has launched a Revolving Loan Fund for local nonprofit organizations. The fund will be administered by the East Central Iowa Council of Governments (ECICOG) and will provide low-interest loans of $2,500 – $25,000 to nonprofits headquartered and operating in Linn County.

“At the Community Foundation, we strive to listen to the needs of the organizations serving our community,” said Joe Heitz, Vice President of Community Impact. “Access to credit is a consistent challenge for many organizations, and we’re hopeful that this will help nonprofits bridge funding gaps, allowing them to grow services, maintain operations, and even access grants that are paid on a reimbursement basis.”

As the need for nonprofit-friendly credit became clear, Community Foundation staff looked at existing programs in other states and drew on past experiences to bring the Revolving Loan Fund to life. In 2015, the Community Foundation worked with donors, businesses, and government groups to launch MICRO, an award-winning program that provides low-interest loans and other resources to entrepreneurs in Cedar Rapids. The program has helped dozens of small businesses and is now administered by ECICOG. The existing partnership helped make the Revolving Loan Fund a possibility at a time when many nonprofits are looking for new funding solutions.

“We are excited to be able to partner with the Greater Cedar Rapids Community Foundation on this project,” said Karen Kurt, Executive Director of ECICOG. “Many nonprofit funding sources have been disrupted over the last year, and this loan program will allow our nonprofits to continue to provide critical community services as well look forward to future needs.”

Funding for the program comes from the Community Foundation’s Community Investment Fund, which supports programs or projects that catalyze community involvement on issues of broad importance. Using these funds allows the Community Foundation to launch the program without impacting its existing competitive grant programs.

Nonprofit organizations can access loan applications now by visiting https://www.ecicogrlf.org/loans.