Investments
FRANCIS DEVELOPMENT
Business Description: Construction/Development –redeveloping single family homes in Silver Spring, MD
Timeline for investment: January 2017 – December 2017
Amount: $100,000
Investment Type: Working Capital Debt – 12% interest over 12 months
Collateral: Secured by properties under development – behind bank debt
Financial Results: Repaid in full $112,000 in December 2017
Investment Identified: Personal Network; Previous engagement in the solar space
Other benefits offered: (1) Expanded technical capacity (e.g. built model; thought through the legal structure of the entity owning the properties; and constructed the note with him for the loan)
Long-term results: Built and sold properties; expanding business; offered fair price to sellers; sold some new homes to minority buyers when others might have been more resistant; and employed minority and latino contractors
BROOKWYNN
Business Description: Redeveloping single-family homes in Philadelphia
Timeline for investment: February 2018 – February 2023
Amount: $150,000
Investment Type: Equity in Real Estate; 12 – 14% annual cash on cash returns
Collateral: Secured by property ownership; rent is 90% guaranteed by HUD
Financial Results: Performing
Investment Identified: Personal Network – through investment club
Other benefits offered: (1) Capacity building (e.g. built model; thought through the legal structure of the entity owning the properties; constructed the partnership agreement) (2) Expanded Network – linked to debt provider (3) minority subcontractors used and (4) financial counseling offered to families that are tenants
BLUEPRINT
Business Description: Construction/Development – redeveloping
single-family homes in Silver Spring, MD
Timeline for investment: April 2018 – April 2019
Amount: $400,000
Investment Type: Working Capital Debt – 10% interest over 12 months
Collateral: Secured by properties under development – behind bank debt
Financial Results: Performing
Investment Identified: Personal Network; Previous engagement in the solar space
Other benefits offered: (1) Expanded technical capacity (e.g. built model; thought through the legal structure of the entity owning the properties; and constructed the note with him for the loan)
Long-term results: Built and sold properties; expanding business; offered fair price to sellers; sold some new homes to minority buyers when others might have been more resistant; and employed minority and latino contractors
SMOKER’S DELIGHT CATERING
Business Description: Catering company
Timeline for investment: September 2016 -Jan 2017
Amount: $10,000
Investment Type: Working Capital Debt – 10% interest over 5 months
Collateral: Secured by pre-orders for catering services
Financial Results: Repaid in full $11,000 in January 2017
Investment Identified: Personal Network
Other benefits offered: (1) Expanded technical capacities (e.g. linked to an accountant; built a profitable pricing model; improved serving process) (2) Expanded network, resulting in additional business
Long-term results: Expanding business, business owner has converted business from past-time to full time employment and hired staff as well.
