Finanta Awarded $3 Million Grant from Wells Fargo Foundation to Spark Small Business Growth and Job Creation

Philadelphia, PA, February 26, 2020 – To accelerate the growth of diverse small businesses and job creation in Philadelphia, the Wells Fargo Foundation is investing $3 million with Finanta. As part of its Diverse Community Capital program, Wells Fargo will fund the expansion of Finanta’s investment in North Philadelphia’s diverse owned small businesses community to help sustain more than 350 local jobs and bolster local neighborhoods.

“Empowering small businesses is a direct and impactful way to stimulate job growth,” said Diverse Community Capital Program Manager Connie Smith. “Finanta is an expert at identifying and coaching diverse small business owners who are ready to learn how to take their business to the next level. Collaborating locally helps us strengthen the small business ecosystem, which in turn, builds job opportunities and a deeper sense of community.”

“With this partnership, we will be able to reach diverse entrepreneurs in the city of Philadelphia, “ said Daniel Betancourt, President & CEO of Finanta. “We expect to provide financing and technical assistance to nearly 100 small business owners, who often struggle to obtain traditional financing. These loans will improve the lives of their families and the neighborhoods they call home and will also create thriving jobs that are critical to building healthy and vibrant communities.”

Finanta, which has been lending throughout the Greater Pennsylvania market since 1992 recently expanded its work to the Kensington neighborhood of north Philadelphia. Through a now $13.4 million loan fund the organization will not only provide small business loans to African American and Latino run businesses but also provide technical assistance and business counseling services.

Wells Fargo is bringing additional small business resources to Philadelphia through a collaboration with the National Association for Latino Community Asset Builders. Through a historic $10 million grant to NALCAB, The Wells Fargo Foundation is supporting growth-oriented lending to minority-owned businesses nationwide through a network of Latino-led nonprofit business lenders. The new Acceso Loan Fund is designed to help diverse entrepreneurs scale to a greater size expanding their revenue, impact on the economy and ability to provide jobs. A local Philadelphia CDFI has been selected to be an equal share partner in the fund and can refer qualified small businesses for financing and technical assistance starting this month.

Started in 2015, the Wells Fargo Diverse Community Capital program is a five-year, $175 million commitment to empower diverse small businesses in collaboration with Opportunity Finance Network. To date, the program has delivered more than 322,000 hours of technical assistance and $781 million in financing to minority-owned small businesses, enabling more than 103,000 jobs across the U.S.

About Wells Fargo
Wells Fargo & Company (NYSE: WFC) is a diversified, community-based financial services company with $1.9 trillion in assets. Wells Fargo’s vision is to satisfy our customers’ financial needs and help them succeed financially. Founded in 1852 and headquartered in San Francisco, Wells Fargo provides banking, investment and mortgage products and services, as well as consumer and commercial finance, through 7,400 locations, more than 13,000 ATMs, the internet (wellsfargo.com) and mobile banking, and has offices in 32 countries and territories to support customers who conduct business in the global economy. With approximately 260,000 team members, Wells Fargo serves one in three households in the United States. Wells Fargo & Company was ranked No. 29 on Fortune’s2019 rankings of America’s largest corporations. News, insights and perspectives from Wells Fargo are also available at Wells Fargo Stories.

Additional information may be found at www.wellsfargo.com | Twitter: @WellsFargo.

Contact Information
Crystal Dundas, 215-437-2006
crystal.dundas@wellsfargo.com

Ellen Svrcek, 717-869-5433
esvrcek@finanta.org

Finanta, Greater Berks Development Fund, and Others Announce First Phase for $8.2M Property Redevelopment Project

Reading, PA (August 28, 2019) – This morning Daniel Betancourt, President and CEO of Finanta, Edward Swoyer, President of GRCA’s Greater Berks Development Fund, Christian Leinbach, Chairman of the Berks County Commissioners, Johanny Cepeda-Freytiz, Reading City Councilwoman, District 6,  Sonya Smith, Associate State Director of Programs & Policy for the Kutztown University Small Business Development Center, and local business owner Leopoldo Sanchez, formally announced the launch of the first phase of an $8.2 million redevelopment project located at North 4th and Elm Streets in downtown Reading.

Sanchez, with financing from a small consortium of lenders led by Finanta, will convert a vacant 40,000 sq. ft. property into a two-story commercial space with three different businesses. Located in a low-income neighborhood in downtown Reading, this project will create 120 full-time jobs and 30 part-time jobs for residents. The property includes nine affordable-rate apartments, which will remain as part of the project.

The street level of the property will feature a 17,000 sq. ft. Super Natural & Fresh Produce grocery store and café. The second floor will house two different businesses: a 19,000 sq. ft. warehouse to supply local bodegas and grocery stores with fresh food and a 4,000 sq. ft. manufacturing space to produce corn flour tortillas for local stores and restaurants. An existing 10,000 sq. ft. space will be demolished to create a parking garage and loading dock. The project is estimated to be completed in 2022.

“Providing access to a grocery store and healthy foods is a critical issue in underserved communities,” says Dan Betancourt, President and CEO of Finanta. “This project will help make this neighborhood a better and healthier place for low income individuals to live and prosper. And the creation of 150 quality jobs will have a major impact on many families in Reading. We are proud to be assisting Leo Sanchez with this project.”

Finanta and the Greater Berks Development Fund, an affiliate of the Greater Reading Chamber Alliance, have been working with Sanchez on the development of the project since March 2018.  Finanta made the initial loan of $1.2 million to start Phase 1, which encompasses pre-development work such as demolition, parking renovations, and roof repairs. The Greater Berks Development Fund has 50% participation in the loan at $600,000. Additionally, the City of Reading has pledged $1.5 million to help finance equipment through the Community Development Section 108 loan program. Additional financing still needs to be secured for Phase 2, which is when the large-scale construction and renovations will take place.

“We are extremely happy to be able to partner with Finanta to assist Leopoldo Sanchez’s continued growth and significant investment in Reading,” says Edward Swoyer, President of the Greater Berks Development Fund. “He’s a perfect example of the entrepreneur we are looking to support.”

Sanchez is experienced in the grocery industry, as he currently owns and operates two Super Natural & Fresh Produce stores; one on N. 12^thStreet in Reading, and another in Scranton. These full service grocery stores offer a large variety of ethnic and cultural produce and fresh food for the predominately-Hispanic communities where they are located.

“This project will not only provide good jobs and healthy food for the community and its residents, but will also support local businesses,” says Sanchez. “Most bodegas and restaurants here in Reading have to get produce and tortillas from Philadelphia or New York. Having a local wholesaler will make it much easier for these businesses to get products faster and better serve their community.”

Sanchez worked closely with the Kutztown University Small Business Development Center on this project, which helped him with business planning and projections. Local realtor and paid consultant Michael Rivera will be serving as project manager. Monarch Enterprise, headed by Principal Aaron Camara, will be managing construction of the project.
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Finanta Launches $5 Million Neighborhood Initiative with Kensington Lending Partnership

Philadelphia, PA (March 25, 2019) – Finanta, in conjunction with the newly formed Kensington Lending Partnership, formally launched a significant funding source focused on small business and mixed-use real estate development, housing improvements, and affordable homeownership for the Philadelphia neighborhood of Kensington. The Partnership, comprised of four Community Development Financial Institutions (CDFI), includes Finanta, FINANTA, Impact Services Corp’s Impact Loan Fund, and Philadelphia LISC.

In 2018, the Partners worked together to participate in the JPMorgan Chase Foundation’s annual Partnerships for Raising Opportunity in Neighborhoods (PRO Neighborhoods) CDFI Collaborative competition, aimed at promoting inclusive growth through collaboration. As a result, JPMorgan Chase awarded a $5 million grant to the Partnership to revitalize the Kensington Avenue community and commercial corridor in Philadelphia.

“This Partnership brings a combined 135 years of expertise in community economic development and an incredible amount of resources to where they are needed the most,” said Luis Mora, President of FINANTA, “and it is also a unique targeted approach to community revitalization rarely encountered in the Philadelphia area.”

Over the next three years, the Partnership will use these funds to provide support to existing and attract new small businesses through capital and coaching, finance the redevelopment of mixed-use properties and support pathways to homeownership and affordable rental housing options. Jointly, they will deploy the $5 million to finance the lending activities, assessment, evaluation, program administration and staff.

“We’re thrilled to have formed this partnership to expand our area of impact into Philadelphia’s Kensington neighborhood,” said Daniel Betancourt, President & CEO, and Finanta. “Working together, this collaborative effort will advance small business ownership, economic development, and community revitalization.”

The Partners will work together in the following roles:

• Finanta, led by President and CEO Daniel Betancourt, will finance businesses and mixed-use development, and leverage its own resources for larger economic development projects in participation with the Partners and others.
• FINANTA, led by President Luis Mora, will increase first-time homebuyer opportunities, and leverage its existing small business and consumer loan pools and expertise in credit and homeownership counseling, and entrepreneurial training.
• Impact Loan Fund, led by President and CEO Casey O’Donnell, will lead community development efforts by training and financing local residents to become small real estate developers and acquire/renovate vacant buildings, empower residents and create leadership opportunities to address local trauma.
• Philadelphia LISC, led by Executive Director Andrew Frishkoff, will manage the implementation of the community development strategy by providing technical assistance to the Partnership, sharing best practices, leveraging local and national resources, and ensuring delivery on outcomes.

The Partners look forward to making a measurable impact in the Kensington community over the coming years, contributing to the vision of the Heart of Kensington Neighborhood Plan. The vision is for Kensington to be a safe, healthy and clean community where neighbors feel connected to one another, take shared responsibility for the neighborhood, and feel empowered to make change in their environment and envision a positive future for themselves and their children. We welcome other organizations to join in this effort as well.
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Finanta Enters Philadelphia Market With Joint Award From JPMorgan Chase

Lancaster, PA (September 24, 2018) – Today, the JPMorgan Chase Foundation unveiled over $14.5 million to the winners of its fifth annual Partnerships for Raising Opportunity in Neighborhoods (PRO Neighborhoods) CDFI Collaborative competition, aimed at promoting inclusive growth through collaboration. Finanta, a community development financial institution (CDFI) headquartered in Lancaster, is a joint member of a winning umbrella group selected by JPMorgan Chase.

Finanta joined forces with other CDFIs headquartered in Philadelphia; LISC (Local Initiative Support Coalition), FINANTA (Financing and Technical Advice) and Impact Loan Fund; to form the Kensington del Corazón Collaborative to participate in this annual competition. The organizations in this Collaborative all provide affordable financing to promote economic opportunities in underserved communities.
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Finanta Receives Award from US Treasury to Support Regional Economic Growth

Lancaster, PA (September 20, 2018) – Finanta, a Community Development Financial Institution (CDFI) headquartered in Lancaster, has been awarded $700,000 through the United States Department of Treasury Community Development Financial Institutions – Financial Assistance program to spur economic and community development in distressed and low-income communities. The award will be used to support Finanta’s lending efforts throughout central and eastern Pennsylvania.

On September 19^th, the U.S. Department of the Treasury’s Community Development Financial Institutions Fund (CDFI Fund) awarded $202.2 million to Community Development Financial Institutions (CDFIs) across the nation and Puerto Rico. The awards will enable CDFIs to increase lending and investment activity in low-income and economically distressed communities. Finanta was one of 302 organizations selected nationwide from a highly competitive grant application process, and one of only 11 recipient organizations in Pennsylvania.
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Finanta, PeoplesBank and Hotel Lancaster Announce Financing Deal for Property Redevelopment Project

Lancaster, PA (June 1, 2018) – This morning Daniel Betancourt, President and CEO of Finanta, The Honorable Danene Sorace, Mayor of Lancaster, Eric Warfel, Senior Vice President and Director of Commercial Lending for PeoplesBank, Lyle Holser, Vice President of Economic Development Company of Lancaster County (EDC), and local real estate developer John Meeder, formally announced the completion of a multi-faceted financing deal for a project in the heart of Lancaster.

Lancaster developers John Meeder and Sam Wilsker, along with a group of investors, recently closed on a $23 million financing package to convert The Hotel Lancaster, formerly the Brunswick Hotel, into a Holiday Inn Resort. The remodeled hotel will accommodate 86 new guest rooms, along with a full-service restaurant and banquet facilities. Once completed, the facility will create 66 new jobs and retain 36 jobs for a total of 102 employment opportunities in downtown Lancaster.
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Finanta Announces New Business Development Associate for York Regional Office

York, PA (April 20, 2018) – Finanta, a non-profit community development financial institution headquartered in Lancaster, Pennsylvania, announces the appointment of Natividad Rivera as Business Development Associate for York and Adams counties. In this position, Rivera will be working to build connections in the York market, educate the community on the organization’s product and service offerings and meet with potential loan applicants. He will be working out of Finanta’s York office located at 7 East Market Street.
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Finanta Announces $5 Million New Markets Tax Credit Allocation for Salvation Army Build Project

Harrisburg, PA (April 13, 2018) – Finanta is pleased to formally announce a substantial New Markets Tax Credit (NMTC) allocation to support a build project for one of the Harrisburg area’s major nonprofit organizations.

The Salvation Army Harrisburg Capital City Region will receive a $5 million New Markets Tax Credit (NMTC) allocation from Finanta for the construction of a new, multi-use service and worship center which will be located at 506 South 29th Street in Harrisburg. The new expanded location will allow the Army to provide vital human services to individuals and families living in each organization’s target area, which includes Dauphin, Cumberland, and Perry Counties. The services it provides includes food and basic needs assistance, self-sufficiency mentoring, and programs for children and youth.
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Finanta and Impact Harrisburg Launch New Loan Fund for Harrisburg Businesses

Harrisburg, PA (March 20, 2018) – This morning Finanta and Impact Harrisburg announced the launch of the Harrisburg Business Opportunity Fund, a new loan fund dedicated to supporting business and commercial development in the City of Harrisburg.

The program was unveiled at a press event held at the headquarters of the Pennsylvania Housing Financing Agency (PHFA) in Harrisburg. Daniel Betancourt, President and CEO of Finanta, Sheila Dow Ford, Executive Director of Impact Harrisburg, and Brian Hudson, Executive Director and CEO of the PHFA, spoke at the event.

Finanta, a regional nonprofit community development financial institution, approached Impact Harrisburg with the idea for this dedicated loan program last year. Both organizations collaborated to create a program that would support business and commercial development in the city’s disadvantaged neighborhoods.  Ultimately, Finanta received a $350,000 grant from Impact Harrisburg and a $650,000 grant from the PHFA, through its wholly-owned subsidiary the Commonwealth Cornerstone Group, to establish the Harrisburg Business Opportunity Fund. It is hoped that every dollar granted will leverage additional private and government investment, and provide more financing opportunities for Harrisburg business owners.
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Finanta Announces New Board Chair

David Schankweiler

Lancaster, PA (January 18, 2018) – Finanta, a non-profit community development financial institution headquartered in Lancaster, announces the appointment of David A. Schankweiler as the new Chairman of their Board of Directors. Their most recent board chair, R. Eric Menzer, president of York Professional Baseball (York Revolution), will continue to serve as a member of the board.

Schankweiler is the founder and past CEO of Journal Multimedia, a multi-media publishing and events company most known in the region as the publisher of the Central Penn Business Journal and Lehigh Valley Business. After leading and growing his company for over thirty years, Schankweiler sold Journal Multimedia in 2016. He has been a strong supporter of Finanta and has served as a board member since 2010.

“We are very pleased that David is taking on this new leadership role”, states Dan Betancourt, CEO of Finanta. “We have already benefited from his years of service on our board and look forward to working with him more closely as we continue to grow our organization.”
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