Eagle Butte, South Dakota – October 2, 2017 – Four Bands Community Fund, a non-profit community loan fund, has received a $941,333 grant award from the US Treasury’s Community Development Financial Institutions (CDFI) Fund. In addition to supporting the organization’s micro, small business, and consumer loan programs, the award will be used to launch a new home renovation loan product.
“This major award from the CDFI Fund is going to help us deploy loans that will support business creation and job growth throughout the state. We are especially excited about the home renovation lending because it will help improve the quality of life for our people here on Cheyenne River,” says Lakota Vogel, Executive Director of Four Bands.
Through a partnership with a local bank, Four Bands successfully piloted a home renovation loan program last March and deployed $350,000 to 21 homeowners. The CDFI Fund grant will support the continuation of Four Bands’ homeownership strategy with dedicated lending capital.
The remainder of the grant award will be used to support Native American entrepreneurs in starting or expanding a business. Last year, Four Bands deployed $1.6 million in loans that supported 31 businesses and created or retained 62 jobs. By 2019, they expect to be lending approximately $2.4 million annually.
“We have a strong demand for our loan products, and the CDFI Fund award will be a key component in helping us meet the needs of Native American entrepreneurs,” says Vogel.
Four Bands was one of 38 organizations from 21 states that received a total of $15.6 million through the CDFI Fund’s Native American program. Eleven of the awardees, including Four Bands, are committed to providing services in persistent poverty counties.