Finanta Appoints New Chief Credit Officer

LANCASTER, Pa. – Jan. 2, 2024 – Finanta, an independent non-profit community loan fund, is pleased to name Edward J. Gallagher as the organization’s new Chief Credit Officer.

With more than 25 years of tenure in community banking, Ed brings a depth of experience in sales, portfolio management, risk-rating assessment, credit underwriting analysis, development of loan policy and procedure, and oversight of lending and operations. His prior positions include Senior Vice President of Corporate Banking and Chief Lending Officer. He holds a B.S. from Wilkes University and an M.B.A. from the Haub School of Business at Saint Joseph’s University.

“We’re very pleased to add Ed Gallagher to our team of community banking experts,” said Daniel Betancourt, President and CEO of Finanta and Finanta Credit Union. “His experience and industry knowledge align well with our mission, and we look forward to everything he will accomplish with Finanta.”

Ed will work out of the Lancaster office and will be responsible for the organization’s credit risk and policy, lending operations, and asset management. He resides in Chester County with his wife and four children.

Finanta works to create financial equity through wealth building opportunities for individuals, families, and business owners, especially persons of color, women, and immigrants. The organization aligns capital, knowledge, and advocacy to advance access to financial services, business ownership, housing, and community development.

For more information, visit Finanta’s website or contact the organization via LinkedIn or Facebook, or via phone at (267) 236-7000 for Greater Philadelphia or (717) 393-2351 for Central Pennsylvania.

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About Finanta

Finanta is a private, independent, non-profit Community Development Financial Institution (CDFI) whose mission is to provide capital in places where it is not usually available. We seek to create positive change in the community by providing entrepreneurs, commercial real estate and affordable housing developers, as well as nonprofits with access to loans for projects that generate jobs, create housing opportunities, essential community facilities, and that help to revitalize communities.

www.finanta.org

Remembering Our Dear Friend and Partner, Adina Abramowitz

We would like to pay homage to our dear friend and partner, Adina Abramowitz.

Her unyielding commitment to economic and racial justice made her a force in the community development finance industry, as she challenged organizations to do their best to create real change in their communities.

And, to us at Finanta, Adina was an essential piece of our family.  For decades, she helped to shepherd our work toward our mission, and challenged us to make critical and consequential decisions as we strove to make our vision a reality. She was always available to offer guidance, with candor, and often, with a touch of humor.

Adina, the world is a better place because you walked in it. With profound gratitude and heartfelt sorrow we say goodbye.

Our hearts and prayers are with Adina’s wife, Naomi, family and friends. May her memory be a blessing. Indeed, for all of us at Finanta, it always will be.

Finanta Announces New Senior Vice President & Chief Retail Officer

Jonathan Encarnación

Lancaster, PA – The Finanta Family of Companies is pleased to announce the appointment of Jonathan Encarnación, Senior Vice President & Chief Retail Officer. In his new role, Jonathan will provide strategic direction, lead our efforts in growing our services, and guide the expansion of our credit union to new markets.   Jonathan is very familiar with the work of Finanta and our credit union from his many years of service as part of our Board of Directors.

Prior to joining Finanta Credit Union, Jonathan worked as a Senior Director with UPMC HealthPlan.  Jonathan’s professional experience also includes serving as the CEO/Executive Director of the Hispanic Center in Reading and early in his career, working as a commercial lender with Wells Fargo (formerly Wachovia/Meridian) Bank.

Jontahan has served on many boards by gubernatorial appointment, including the Governor’s Commission on Latino Affairs, PA Commission on Crime and Delinquency, Managed Care Delivery System Subcommittee and many others.

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Finanta Receives $30 Million New Markets Tax Credit Allocation from US Treasury CDFI Fund

Lancaster, PA – Finanta is pleased to announce the receipt of $30 million New Markets Tax Credit allocation from the U.S. Department of the Treasury’s Community Development Financial Institution Fund.  Finanta was selected as one of 102 awardees from applicants requesting a total of $14.8 billion in tax credit allocation.

The New Markets Tax Credit Program (NMTC Program) helps economically distressed communities attract private investment capital.  This federal tax credit helps to fill project financing gaps by enabling investors to make larger investments than would otherwise be possible.  Communities benefit from jobs created and the development of housing and public facilities such as health, education, and workforce development entities.

“We are extremely proud of this accomplishment and even more excited about the resources it will bring to the communities we serve,” says Daniel Betancourt, President and CEO of Finanta.  “This program allows us to support projects that align with our goal of creating pathways to sustainable and vibrant communities that create jobs, provide affordable housing, grant access to healthy foods, promote access to healthcare and serve as a catalyst for even more community development initiatives.”

The program is directed by the U.S. Department of the Treasury’s CDFI Fund and allocated to local Community Development Entities (CDEs) across the United States.  Finanta is a certified CDE. This allocation will give Finanta the authority to provide tax credits to investors who can then make qualified investments into impactful projects.

Finanta has now been awarded a total of $120 million in New Markets Tax Credits to revitalize low-income communities throughout eastern and central Pennsylvania since 2013.  Previous projects provided financing to: expand workforce development training opportunities, create grocery stores in areas designated as a USDA “food deserts,” develop affordable housing, and redevelop blighted space into commercial and mixed-use facilities.

About Finanta

Finanta is a private, independent non-profit Community Development Financial Institution (CDFI) whose mission is to provide capital in places where it is not usually available. We seek to create positive change in the community by providing entrepreneurs, commercial real estate and affordable housing developers as well as nonprofits with access to loans for projects that generate jobs, create housing opportunities, essential community facilities, and that help to revitalize communities. www.finanta.org.

Finanta to Participate in House Democratic Policy Committee Hearing

LANCASTER, PA – Representatives from Finanta will be joining other community leaders to discuss Community Development and Financial Institutions at a PA House Democratic Policy Committee Hearing on Friday, September 8.

Rep. Ismail Smith-Wade-El from the 49th District in Lancaster is hosting the hearing on Community Development and Financial Institutions at Thaddeus Stevens College at 1pm.  The hearing will feature three panels, with the second featuring Finanta panelists: Jonathan Encarnacion, Finanta Board Member and Alba Fernandez, Senior Vice President, Director of Lending.

Jonathan and Alba will be joined in the hearing by Jose Lopez, CEO of the Spanish American Civic Association (SACA), Marlyn Barbosa, Chief Workforce Development Officer, SACA, and Jamie Arroyo, Executive Director of Assets.

The hearing is open to the public.  Testimony from the hearing will be posted to pahouse.com/policycommittee/hearingmaterials.

About Finanta

Finanta is a private, independent non-profit Community Development Financial Institution (CDFI) whose mission is to provide capital in places where it is not usually available. We seek to create positive change in the community by providing entrepreneurs, commercial real estate and affordable housing developers as well as nonprofits with access to loans for projects that generate jobs, create housing opportunities, essential community facilities, and that help to revitalize communities. www.finanta.org.

Finanta named FHLBank Pittsburgh’s Diversity, Equity and Inclusion Membership Award Recipient

LANCASTER, PA – Finanta has been selected as the recipient of the 2023 Federal Home Loan Bank of Pittsburgh’s (FHLBank) Diversity, Equity and Inclusion Membership Award.  Finanta will be recognized at FHLBank’s member event in Philadelphia on June 26.

The award celebrates FHLBank member financial institutions that have implemented or supported impactful, innovative diversity, equity and inclusion (DEI) initiatives or programs in their communities.  Being selected for this award also serves to inform and inspire other financial institutions to enhance their commitments to DEI work in their communities.

FHLBank selected Finanta for its community impact across eastern Pennsylvania through its Economic Justice Fund Program.  Finanta is committed to creating inclusive and vibrant communities that increases economic prosperity for everyone.  Its Economic Justice Fund Program, created in 2020, reflects Finanta’s mission and commitment to serving People of Color, women, immigrants, and low-income individuals and communities.

The Economic Justice Fund Program coupled with Finanta’s technical assistance programs closes the opportunity gap for small business owners and entrepreneurs to start, grow, and expand their businesses, create jobs, advance economic mobility and increase financial stability in their community.  The program supports minority business owners whose business serve and are located in a disadvantaged community.

Finanta is grateful for the recognition from FHLBank and is committed to advancing its work uplifting diversity while building wealth and financial equity.

About Finanta

Finanta is a private, independent non-profit Community Development Financial Institution (CDFI) whose mission is to provide capital in places where it is not usually available. We seek to create positive change in the community by providing entrepreneurs, commercial real estate and affordable housing developers as well as nonprofits with access to loans for projects that generate jobs, create housing opportunities, essential community facilities, and that help to revitalize communities. www.finanta.org.

About FHLBank Pittsburgh

FHLBank Pittsburgh provides reliable funding and liquidity to its member financial institutions, which include commercial and savings banks, community development financial institutions, credit unions and insurance companies in Delaware, Pennsylvania and West Virginia. FHLBank products and resources help support community lending, housing and economic development. As one of 11 Federal Home Loan Banks established by Congress, FHLBank has been an integral and reliable part of the financial system since 1932. Learn more by visiting www.fhlb-pgh.com.

You can read FHLBank Pittsburgh’s announcement here.

$750,000 Loan Closing for Suit Company Inc.

Philadelphia – Angel Rosario, Director of Community Lending, Lancaster, joins representatives from Suit Corner LLC, to close a $750,000 loan to refinance a loan from a predatory lender.  The refinanced real estate loan and business lines of credit will be critical in helping Suit Corner LLC achieve its revised business plan and continue to serve its community.

Suit Corner is a Philadelphia urban men’s clothing store on Market Street in Center City Philadelphia near Penn’s Landing, Olde City, Society Hill, Independence Mall, and the National Museum of American Jewish History. Suit Corner sells men’s fashion and employs a full-time tailor to help clients get their orders quickly. The business has been open for over 60 years.

The business initially started as a manufacturing business that made Rooster (brand) ties and shipped them to department stores all over the northeast.  The business grew to include three stores
next to each other. In March 2014, three generations of the family business came tumbling down. The famed Shirt Corner at 3rd and Market Street collapsed during a controlled demolition. A month later, tragedy struck again when the family’s sister business, the Suit Corner, was set ablaze. By May 2014, the business had reopened a block down the street and continued to succeed.

In June 2020, more than six years after the fire, the business re-opened at their original
location. Gone is the corner building in favor of a smaller, modern storefront at 302 Market Street, known simply as the Shirt Corner again.

Finanta Hosts Community Leaders to Discuss Importance of CDFIs

Finanta President and CEO, Daniel Betancourt, and Senior Vice President for Development and Impact, Lydia Walker, with fellow PA CDFI Network member organization, Assets, and its CEO, Jamie Arroyo, hosted community leaders and members from the PA CDFI network for a walking tour of Lancaster city.  Community members included: Senator Ryan Aument and his staff, representatives from Representative Mike Sturla’s office, and representatives from Senator Scott Martin’s office.

While touring, the group discussed the importance of CDFIs and our transformational capital to create vibrancy in our downtowns.  The tour stopped at several clients including both Assets and Finanta clients.  Attendees could see firsthand the importance of access to capital for entrepreneurs to start and grow small businesses.

Additionally, the group spoke on the impact of the state’s COVID relief efforts and how it supported businesses throughout the pandemic.  CDFIs like Finanta were at the forefront of advocating for and distributing funding to keep small businesses in operation.  In the aftermath of the pandemic, CDFIs are still fighting for small business support.

Finanta is grateful for the opportunity to work with public figures to continue to find ways to make a difference in our communities.

$2 Million Loan Closing for Mazzoni Center

Philadelphia – Ilya Golubtsov, VP, Community Lender, Philadelphia joined representatives from the Mazzoni Center to close a $1.5 million term loan and $500,000 line of credit to support two facilities totaling $2 million.

The Mazzoni Center provides comprehensive health and wellness services in a LGBTQ+ focused environment, while preserving the dignity and improving the quality of life of the individuals served.

Founded in 1979, the Mazzoni Center was established two years before the HIV/AIDS epidemic was first recognized.  For the better part of two decades, responding to the AIDS epidemic was the organization’s primary concern.  The Mazzoni Center is the oldest HIV service provider in the state.

Though this continues to be a core pieces of its mission, the Mazzoni Center provides services to all members of the LGBTQ+ community.

Finanta Joins CDFI Network to Advocate for Small Business Funding for Pandemic and Inflation Relief

Harrisburg, PA – Finanta joined other leaders from the Pennsylvania Community Development Financial Institutions Network (PA CDFI Network) at the State Capitol to ask legislators to include $120 million in this year’s state budget to create a loan fund and grant program to support small businesses still struggling from the impact of the pandemic and inflation.

PA CDFI Network’s request, would create a $100 million loan fund to be managed by members of the PA CDFI Network.  An additional $20 million would create grants to organizations like Finanta to provide free business counseling and technical assistance for small businesses.

“We’re asking for another $20 million to support mom-and-pop businesses across the state,” said Daniel Betancourt, President and CEO, Finanta.  Dan also serves as the chair of the PA CDFI Network.

Full coverage of the press conference can be found here.