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Updated: 8 min 18 sec ago

Legal structure of a special purpose vehicle

2 hours 7 min ago
From : Communities>>Open Forum
Looking for input in regards to special purpose vehicle (SPV) operating agreements, master loan documents, etc.  If not specific document examples, then any resources one found useful during the process of creating the SPV.  This could include any law firms, articles, or a conversation about your experience creating the legal documents needed to stand up the SPV. Thanks in advance for any feedback! Very respectfully, Grant Bennett ------------------------------ Grant Bennett Director of Veteran Programs [More]

RE: Revenue recognition of FA awards from CDFI

Wed, 2020-12-02 13:08
From : Communities>>Open Forum
Great question. Thanks, Tiffany. Have you seen OFN's March 2020 statement on the matter, which I attached? That said, I'm also interested in what others are doing and how people have come to their conclusions because I'm not confident OFN addresses the 90% issue I mention below. For the 2020 award, my take is that the first disbursement is not conditional but subsequent disbursements are. Input welcome! For the subsequent disbursements, there seems a clear barrier: "The CDFI Fund shall not make a [More]

Files Attached Document
Revenue recognition of FA awards from CDFI Attachments

RE: State support for CDFI's

Wed, 2020-12-02 09:32
From : Communities>>Open Forum
Both Pennsylvania and New York City are using CDFIs to distribute grants to businesses and paying them an admin fee. ------------------------------ Adina Abramowitz Managing Partner CDFI Friendly America Philadelphia PA 215-247-1544 ------------------------------

RE: Revenue recognition of FA awards from CDFI

Tue, 2020-12-01 16:13
From : Communities>>Open Forum
Beth (or anyone else), are you aware of any updates regarding this discussion and the revenue recognition of CDFI awards under ASU 2018-08?  I'm an auditor of several CDFI funds.  Most of my clients have been concluding that their financial assistance award is conditional as there is limited discretion as to the spending (a barrier).  In other words, they are treating the grant as they treat most federal cost reimbursement grants and recognizing the revenue as the grant is spent (and cash advances [More]

State support for CDFI's

Tue, 2020-12-01 14:58
From : Communities>>Open Forum
All:  Please let me know if your state provides support of any kind for CDFI's.  I'm super interested if any states replicate Financial Assistance, Technical Assistance from the CDFI Fund.  Loan Guarantees?  I'm meeting with State officials in KY tomorrow to discuss.  Many thanks.   Amy Shir President and CEO LHOME ------------------------------ Amy Shir President and CEO LHOME CDFI Louisville KY (502) 235-8710 ------------------------------

RE: Tip Tuesday

Tue, 2020-12-01 14:28
From : Communities>>Open Forum
In this week's Tip Tuesday, we will show you how to fix if you are having trouble viewing the html email messages. If images are not appearing, it is likely that your email client is set to suppress images. This should be something you can change in your security or viewing options. If you would rather receive text-based email, go to your profile page and click on the " My Account " tab. Choose " Community Notifications " from the drop-down menu. Select the "Plain Text" format option for each of [More]

RE: Pay for performance salary structures

Tue, 2020-12-01 10:40
From : Communities>>Open Forum
Opportunity Fund has had great success using incentive compensation with our loan consultants--who are very much salespeople.  We believe it has been key to our ability to reach small business clients at something approaching scale (over 3,000 loans and over $100 million in loans in our best year pre-pandemic.)  I certainly agree that you need to approach this change with great caution, but the risks can be mitigated with the appropriate structure. Others have raised questions about making the "right" [More]

RE: Member Monday

Tue, 2020-12-01 09:59
From : Communities>>Open Forum
I like the idea of adorable rates! -- Michelle Corson Founder+CEO 214.906.7067 (direct) ontheroadcompanies.com ** WE'VE MOVED ** Note our new address in Irving! 1500 North Loop 12 Irving, TX 75061

RE: Member Monday

Mon, 2020-11-30 12:33
From : Communities>>Open Forum
In this week's Member Monday , we would like to highlight the work of Pursuit. Pursuit Community Finance, the CDFI affiliate of Pursuit, provides small businesses loans from $10,000 to $500,000 with adorable rates and terms, along with a comprehensive suite of business advisory services. Pursuit assisted SRW Engineering & Architecture facilitated additional working capital to take on new contracts in the company's pipeline. Now the future is bright for SRW. "The loan enabled us to pay off a high-rate [More]

RE: Pay for performance salary structures

Mon, 2020-11-30 12:16
From : Communities>>Open Forum
I would also echo what the others said around being very careful at the least, if not dropping the idea altogether.  These are the types of incentives that partially brought about the 2008/2009 crash with regulated and unregulated mortgage lenders, brought on foreclosures, and effectively dropped homeownership rates for the African American community - we're already dangerous development tools using debt - these incentives can make us even more dangerous. I was in microfinance overseas for a time [More]

Building Staff Capacity: The Economic Mobility Corps Initiative Open Webinar

Wed, 2020-11-25 13:16
From : Communities>>Open Forum
Join LISC on   Wednesday, December 2nd at 3:00 PM ET   to learn more about the Economic Mobility Corps – an innovative partnership between AmeriCorps and the CDFI Fund to place about 61 AmeriCorps Members at certified CDFIs throughout the country in each of the next two years. The initiative will help to develop a diverse talent pool for CDFIs, while also expanding the capacity of CDFIs to provide financial education and counseling services to their clients. LISC is planning to apply to AmeriCorps [More]

Files Attached Document
Building Staff Capacity: The Economic Mobility Corps Initiative Open Webinar

RE: Workday Adaptive Planning (Adaptive Insights) Enterprise software

Wed, 2020-11-25 11:21
From : Communities>>Open Forum
Hi all, Accion Opportunity Fund has been using Adaptive for a little over a year now.  Happy to connect and discuss. ------------------------------ Mike Torres Executive Vice President and Chief Financial Officer Opportunity Fund San Jose CA (408) 297-0204 ------------------------------

RE: Pay for performance salary structures

Wed, 2020-11-25 09:24
From : Communities>>Open Forum
I would like to echo the sentiment of the other person to respond to this post.  By incentivizing the issuance of more or larger loans, your organization is, by extension, forcing employees to put their own interest over their clients/members and the mission of the CDFI.  I have family that works for a B-corp, but you wouldn't be able to tell by looking at their coworkers who only try to get particular contracts to get the best bonuses, rather than work for the company's stated goal of engineering [More]

RE: Workday Adaptive Planning (Adaptive Insights) Enterprise software

Tue, 2020-11-24 18:50
From : Communities>>Open Forum
Thank you Karen. Mercy Community Capital is not currently using Adaptive. We are exploring the possibility of using Adaptive to augment our Access data base that has all of our historical impact information. We are looking for a system that will be easier to report out of as well as provide a good asset management platform to replace everything we currently do in excel. Mercy Housing is using Workday for their immense budgeting process.... I would be interesting in connecting when you have time. [More]

RE: Workday Adaptive Planning (Adaptive Insights) Enterprise software

Tue, 2020-11-24 18:20
From : Communities>>Open Forum
Hi Brian.  I work for Enterprise Community Loan Fund.  We're currently in the process of implementing Workday HR and  Financials - our go live date is January 1, 2021.  We will be using Adaptive, once we get past implementation.   Are you currently using the software?   Thanks. ------------------------------ Karen Mitchell Senior Director, Creative Capital Enterprise Community Columbia, Maryland 410-772-2590 ------------------------------

RE: Tip Tuesday

Tue, 2020-11-24 17:06
From : Communities>>Open Forum
In this week's Tip Tuesday , we would like to direct to our 2020 OFN Conference post-event site. This year's 36th annual OFN Conference was the most well-attended ever, with 2,500 people from across the nation joining together virtually to talk about   the election, racial inequality, and new capital for the field. Check out the  2020 OFN Virtual Conference recap site  to see what you missed or may want to revisit! And remember to  save the date, October 17–21, for the 2021 OFN Conference in [More]

RE: Pay for performance salary structures

Tue, 2020-11-24 10:04
From : Communities>>Open Forum
I would use caution in awarding compensation based on loan production. Although it is important to deploy capital, it is more important to make the "right" loans - those that are consistent with your mission and achieve community impact. Our compensation structure is to pay loan officers a good base salary (close to private sector compensation) and then evaluate overall performance annually to determine a bonus. Production is only one of the factors considered - we look at loan quality, impact of [More]

RE: Member Monday

Mon, 2020-11-23 17:47
From : Communities>>Open Forum
In this week's Member Monday , we would like to highlight the work of Shared Capital Cooperative. Their mission is to build a just, equitable and democratic economy by investing in cooperative enterprises. Shared Capital Cooperative's financing has gone to providing affordable housing cooperatives and cooperatively owned small businesses, such as employed-owned businesses, community-owned grocery stores, and small farmer cooperative. More than 85% of their investments are made to cooperatives owned [More]

Workday Adaptive Planning (Adaptive Insights) Enterprise software

Mon, 2020-11-23 13:24
From : Communities>>Open Forum
Hello all. I am interested in connecting with CDFI's that are using Workday Adaptive Planning, FKA, Adaptive Insights. Please let me know if you or any one you know is using this enterprise planning software. Thanks BJS ------------------------------ Brian Sample Asset Management Vice President Mercy Community Capital Denver CO (303) 830-3339 ------------------------------

Pay for performance salary structures

Mon, 2020-11-23 10:31
From : Communities>>Open Forum
Hello Colleagues,  We are considering transitioning loan officers from fixed salaries to salaries tied to loan production. I am interested to hear from others who do this. What does your salary/bonus structure look like in general or in detail? Do you pay a fixed amount per loan closed? Or a percentage of the loan amount? A combination? Do you have any words of caution or things you wished you had done differently when establishing this type of salary structure?  Thanks all, and stay safe out there.  [More]

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