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Community
Equity Fund
Partners for Equity in Economic
Mobility and Community Development
EAGLE MARKET STREET DEVELOPMENT
C...
EMSDC
INTRODUCTION
Our Mission & Focus:
Mission
• …Develop people, property, and business
and envision equitable, inclusiv...
Programs:
EMPL, LLC
⸙Residential and Commercial Leasing
Incubate to Innovate
⸙Commercial Leasing @ Discounted Rates
Indivi...
THE CHALLENGE:
A NON-TRADITIONAL FINANCING
MODEL FOR
BLACK AND BROWN BUSINESSES
Global Pandemic • 50% of Black and Brown B...
THE CHALLENGE – CONT’D
…the Wealth Gap
In a 2019 survey--European American families were found
to have the highest level o...
Community Equity Fund Community Champions The Business
WHERE TO
START
THE FUND, equity capital injections for Black
and Br...
A Case Study:
Bread & Butter - Coffee and Co-Working Space
Bread & Butter, led by two African American males with strong
b...
Life Span
Flow of
Injection
After a 24 mos. grace period, Bread &
Butter’s (B & B) revenues grows to a
minimum of $200,000...
$45,000 = 150%
Allocation of Dividends
EAGLE MARKET STREET DEVELOPMENT CORPORATION
$30, 000 – Community Equity Fund – 100%...
REPLICATION ACROSS THE
FUND
The fund continues to receive
100% of the return from the
revenue dividends shares from
each e...
Relevant business advisory support from professional
providers with financial management, asset building
and wealth creati...
Contact Us
We'd love to talk about
the details of
EMSDC Community Equity Fund
Stephanie Swepson-Twitty
Phone Number
(828) ...
EMSDC COMMUNITY EQUITY
FUND ADVISORS
Meet the Team
Eagle Market Streets Fund Manager
Edward Jones Fund Repository
Kevin Do...
BUSINESS ADVISORY
PARTNERS
Edward Jones
Carolina Small Business Development Fund
Mountain BizWorks
EAGLE MARKET STREET DEV...
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Investing to solve the racial wealth gap. Venture philanthropy to solve the friends and family gap for entrepreneurs who don't have a rich uncle. Equity to give them runway to be able to access loan funds.

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Community equity fund3.1

  1. 1. Community Equity Fund Partners for Equity in Economic Mobility and Community Development EAGLE MARKET STREET DEVELOPMENT CORPORATION EAGLE MARKET STREET DEVELOPMENT CORPORATION
  2. 2. EMSDC INTRODUCTION Our Mission & Focus: Mission • …Develop people, property, and business and envision equitable, inclusive economy for all Focus • Improving the lives of Black and Brown communities by means of: ⚬ Opportunity ⚬ Empowerment ⚬ Awareness ⚬ Education Founded in 1994 under the leadership of Dr. John H. Grant and the auspice of Mt. Zion Missionary Baptist Church.
  3. 3. Programs: EMPL, LLC ⸙Residential and Commercial Leasing Incubate to Innovate ⸙Commercial Leasing @ Discounted Rates Individual Development Account (IDA) Community Equity Fund ⸙ Nontraditional Capitalization for Small Business Community Benefit Partner ⸙Fiscal Sponsorship
  4. 4. THE CHALLENGE: A NON-TRADITIONAL FINANCING MODEL FOR BLACK AND BROWN BUSINESSES Global Pandemic • 50% of Black and Brown Business are at risk nationally during COVID-19 • If you don’t know when your customers are coming back, taking on debt is irresponsible • Many Black and Brown businesses still do not have access to loans Not A Time for Debt
  5. 5. THE CHALLENGE – CONT’D …the Wealth Gap In a 2019 survey--European American families were found to have the highest level of both median and mean family wealth: $188,200 and $983,400, respectively Black and Hispanic families have considerably less wealth than European American families. Black families' median and mean wealth is less than 15 percent that of European American families, at $24,100 and $142,500, respectively. Hispanic families' median and mean wealth is $36,100 and $165,500, respectively. Other families—the median, reflecting the concentration of wealth at the top of the wealth distribution for each group. (https://www.federalreserve.gov/)
  6. 6. Community Equity Fund Community Champions The Business WHERE TO START THE FUND, equity capital injections for Black and Brown Businesses. Funded through philanthropic contributions from Foundations, individuals and from repayment* from the businesses. *Business’ repayment is through a % of revenue sharing (7% maximum) Local Black and Brown Businesses, Businesses who have been in operations for 3-5 years and have annual revenues of $50,000 or greater. • They may or not have the capacity to attract or take on debt. WE INVITE YOU TO INVEST INTO YOUR COMMUNITY, You become a Community Champion, a partner in CEF your donation is tax deductible. You will have the opportunity to share in creating legacy Black and Brown businesses and helping them on the path to building intergenerational wealth.
  7. 7. A Case Study: Bread & Butter - Coffee and Co-Working Space Bread & Butter, led by two African American males with strong business experience and producing gross in annual revenues of $100k The Business Location of the business and nearby market assessments assess the comparable value for the business @ $150,000 Comparable Value Community Equity Fund, provides an injection of $30,000- $50,000 in equity capital into the business for 20% revenue ownership stake in the business for the life of the transaction, approximately 24-60 mos. Capital Injection
  8. 8. Life Span Flow of Injection After a 24 mos. grace period, Bread & Butter’s (B & B) revenues grows to a minimum of $200,000. Beginning in month 25, B & B begins repayment to the fund, 7% of annual gross revenues, payable or quarterly or annually, typically repayment period = 3/5 years. At full repayment the Fund receives 150% return on capital invested. EAGLE MARKET STREET DEVELOPMENT CORPORATION
  9. 9. $45,000 = 150% Allocation of Dividends EAGLE MARKET STREET DEVELOPMENT CORPORATION $30, 000 – Community Equity Fund – 100% $9,000 - Management Fee – 30% $6,000 – Reserve Account – 20%
  10. 10. REPLICATION ACROSS THE FUND The fund continues to receive 100% of the return from the revenue dividends shares from each equity injection. 100% of that return is invested again 30% is applied as a management fee 20% is held in reserves Success: Black & Brown businesses create intergenerational wealth and build legacy businesses. The fund secures a $150,000 loan guarantee, to cover potential failures rates of 15%. EAGLE MARKET STREET DEVELOPMENT CORPORATION 01 02 03 "Your donation continues to cycle through your community."
  11. 11. Relevant business advisory support from professional providers with financial management, asset building and wealth creation expertise will help ensure: B & B and other Black and Brown owned businesses become, remain solvent, having used the 24 months of runway offered by an equity injection, repayment of seven percent of annual revenue to the fund, helps them build credit worthiness. AFTER FRIENDS AND FAMILY FUNDING "The Community Equity Fund acts like a virtual rich relative, providing friends and family support to entrepreneurs who lack access to traditional sources of capital. This is a “key”, missing link in the path to creating intergenerational wealth for Black and Brown families. We plan to make this model replicable to other cities and towns to solve the friends and family gap for entrepreneur EAGLE MARKET STREET DEVELOPMENT CORPORATION
  12. 12. Contact Us We'd love to talk about the details of EMSDC Community Equity Fund Stephanie Swepson-Twitty Phone Number (828) 281-1227 Email Address info@eaglemarketsts.org Website https://www.eaglemarketsts.org EAGLE MARKET STREET DEVELOPMENT CORPORATION
  13. 13. EMSDC COMMUNITY EQUITY FUND ADVISORS Meet the Team Eagle Market Streets Fund Manager Edward Jones Fund Repository Kevin Doyle Jones Fundraiser and Strategist Michael Smith Fundraiser and Strategist Franzi Charen Marketing and Promotion Mt. BizWorks Underwriter Team Leader Just Economics Community Engagement EAGLE MARKET STREET DEVELOPMENT CORPORATION
  14. 14. BUSINESS ADVISORY PARTNERS Edward Jones Carolina Small Business Development Fund Mountain BizWorks EAGLE MARKET STREET DEVELOPMENT CORPORATION

Investing to solve the racial wealth gap. Venture philanthropy to solve the friends and family gap for entrepreneurs who don't have a rich uncle. Equity to give them runway to be able to access loan funds.

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