New Roots Fund

The New Roots Fund is a 501(c)(3) nonprofit organization dedicated to empowering entrepreneurs, particularly from low-income backgrounds, by providing them with essential capital, business education, and community support. Established to serve refugee, immigrant, and low-income individuals, it aims to foster viable businesses in economically disadvantaged neighborhoods.

Mission and Objectives

New Roots Fund's mission is centered around creating successful businesses in low-income areas by offering microloans and technical assistance. The organization is committed to inclusivity, serving all people regardless of ethnicity, religion, or national origin. It focuses on helping entrepreneurs overcome barriers to economic self-sufficiency by offering tailored financial solutions and educational resources.

Services

• Microloans: New Roots Fund offers various microloan programs, including Peddler's Pack, Packaged Loans, Credit Builder, General Micro-E, Staged Loans, and Riba Free loans, many of which are designed to support small retail businesses, often run by women. The loans are structured to be flexible and adaptable to the needs of the businesses, with most averaging under $6,000. They can range up to $25,000 for startup businesses transitioning to larger operations.
• Business Education: The organization provides business readiness classes, known as "Eyes Wide Open Business Development," which cover topics such as financing, credit management, licensing, insurance, taxes, and marketing. These classes are available on an invitation basis, and one-on-one mentorship is offered to qualified businesses. Interpreters are provided to support entrepreneurs who speak English as a second language.
• Community Support: New Roots Fund emphasizes community engagement by fostering strong relationships with clients, other lenders, and business professionals. This network helps mentor new business owners through challenges and ensures that services align with community needs.

Impact

Since its inception, New Roots Fund has made significant contributions to the community by:

• Disbursing over $1 million in loans.
• Creating 316 jobs within businesses that received funding.
• Training hundreds in best business practices.
• Achieving a high percentage of businesses owned by women, with 54% of supported businesses being female-owned.

Financial Structure

The organization primarily relies on contributions for its revenue, with minimal income from investments. It maintains a significant financial asset base, indicating a stable foundation for its operations. New Roots Fund does not report executive compensation or salaries for professional fundraising or other wages, reflecting its community-focused approach.

Tax Deductibility

Donations to New Roots Fund are tax deductible, supporting its mission to empower disadvantaged entrepreneurs and stimulate local economies.