About Us
FAQ’s
Questions
Who are CGF’s customers?
What does the Capital Good Fund do?
How does the Capital Good Fund help its customers improve their standards of living?
How does CGF fund its operations?
How is CGF different from commercial banks?
Does CGF make profits?
Does CGF receive money from donors?
How can I get in touch with CGF?
Where is the Capital Good Fund located?
Why does CGF have community partners?
Who are CGF’s community partners?
Who are CGF’s customers?
The Capital Good Fund’s customers are low to moderate-income individuals that do not have access to mainstream credit. While many customers are women and immigrants to the United States, CGF extends its services to individuals regardless of gender, race, religion, creed, and sexual orientation.
What does the Capital Good Fund do?
The Capital Good Fund provides innovative financial services to low and moderate-income individuals. It extends loans to local entrepreneurs seeking capital for small businesses and to immigrants applying for US citizenship. It is also developing a green lending program that provides small loans to finance the cost of installing programmable thermostats; these loans reduce the borrower’s energy bills while also helping to build her credit. CGF’s mission is create a poverty-free, inclusive green economy through innovative microfinance.
How does the Capital Good Fund help its customers improve their standards of living?
CGF provides small loans to low- and moderate- income entrepreneurs so that they can begin or expand small businesses. For example, a customer might obtain a loan to fund the purchase of a food cart, the operation of a home based day care business, the establishment of an environmentally friendly cleaning service, or a sewing machine for a tailoring business. As the business grows so does their income, self-confidence, and able to care for themselves and their families.
CGF aims to increase its customers’ banking services through:
- providing affordable loans
- building credit history
- offering financial, entrepreneurial, and environmental literacy training
- encouraging bank accounts
CGF also provides loans to immigrants seeking US citizenship. This loan product allows borrowers to become more integrated, active participants of their societies. Citizenship is at the heart of our vision for an inclusive economy, and our citizenship loans help borrowers access opportunities that build their chances of financial success and ability to be engaged members of society.
How does CGF fund its operations?
The Capital Good Fund is a non-profit that relies on individual donations, grants, and interest repayments on loan products to run its operations.
How is CGF different from commercial banks?
The Capital Good Fund is based on trust. It does not ask its borrowers for collateral, since they have very little to offer. Commercial banks often refuse loans to people with no collateral or low credit scores. CGF takes a different approach, one in which human relations, or social collateral, are used to ensure that borrowers make repayments and that they succeed with the loan.. Everything CGF offers – from affordable loans to technical assistance - is tailored toward meeting the needs of borrowers so that both they and their communities benefit from its products and services.
Does CGF make profits?
Since it has only begun issuing micro-loans, CGF has not yet turned a profit. As it grows, it will bring in more and more money through interest and loan repayments. As a not-for-profit organization, CGF does not have equity stakeholders and therefore will not distribute money as dividends to investors. Becoming self-sufficient and profitable is a long-term goal of CGF, and all profits would go towards funding new loans.
Does CGF receive money from donors?
Yes, the Capital Good Fund currently relies on donations from foundations, university organizations, and private sponsors. However, it has strong potential to be sustainable, supported entirely by interest and repayments. It just needs to build its capacity to give more loans (and thus gain more interest) on the loans. CGF is also looking into accepting zero to low-interest loans from interested investors. If you would like to make a tax-deductible donation or are interested in supporting us in some way, please click here or mail a check made out to Capital Good Fund to the following address:
The Capital Good Fund
c/o Andy Posner
26 7th St.
Providence, RI 02912
How can I get in touch with CGF?
You can use the email service provided on this website, or send an email to (JavaScript must be enabled to view this email address). Our toll-free phone number is 866.584.3651, and our mailing address is
Capital Good Fund
26 7th St.
Providence, RI 02906
Where is the Capital Good Fund located?
CGF’s pilot phase is focused in the Greater Providence area, with borrowers from Olneyville, Johnston, and South Providence. As the fund grows, it will continue to expand its reach in the Providence community while also looking to nearby cities, such as Boston or New York, as potential markets.
Why does CGF have community partners?
One of the challenges of attracting borrowers is building trust. America’s working poor are accustomed to predatory practices, be it from the neighborhood loan shark or the local bank offering sub-prime mortgages and loans with hidden fees. By partnering with some of the most innovative and well-respected community organizations in Providence, CGF is able to overcome the trust barrier. What’s more, because many clients come to CGF via community partners, CGF has a good sense of the borrower’s character before a loan application is even filled out. Finally, the partners offer services that our clients require to succeed such as immigration services and financial education.
Who are CGF’s community partners?
The Capital Good Fund partners with trusted and established organizations in Providence including the International Institute of Rhode Island, English For Action, Center for Women and Enterprise, The John Hope Settlement House and the Small Business Development Center. For more information, please see CGF’s Community Partners page
