Nonprofit Finance Fund (NFF) is a left-of-center nonprofit offering loans and consulting services to small and mid-sized groups working toward liberal social policy, mental health, education, workforce development, and other sectors. 1
It was awarded over $400 million in New Markets Tax Credits (nmtc) from the U.S. Department of Treasury. NFF uses the tax credits to finance left-leaning groups using its nmtc Small Loan Fund. 3
It made grants worth $195,000 to BMe Networks in 2022, $122,030 to California State Los Angeles University Auxiliary Services (UAS) in 2022, and $87,400 to Community Partners in 2022. 9
Since 2007, NFF has received New Markets Tax Credits awards worth $401 million from the U.S. Department of the Treasury. NFF uses these funds to finance projects for small and mid-sized groups. 3
In October 2024, NFF reported receiving a $22 million grant from MacKenzie Scott for the purpose of supporting “NFF’s long-term impact and near-term support for nonprofits led by and serving people of color.” 10 It was one of several grants donated to nonprofit organizations during Fall 2024 by Scott totaling $300 million. 11
Background
Nonprofit Finance Fund was founded by Clara Miller in New York City in 1980. Initially named “Energy Conservation Fund (ECF),” it offered loans to nonprofits dealing with high energy costs. It became a 501(c)(3) in 1984 and renamed itself to NFF in 2000. 12
NFF offers financing and consulting services to left-leaning nonprofits working in education, human services, health, housing, civil rights, social policy, workforce development, and other sectors. In 2022, it consulted 280 nonprofits and financed 56 groups with $34 million. 1
It formed the Social Innovation and Equity Council (SIEC) in 2020, which evaluates and ensures racial equity in the group’s internal policies. 13
It has five main offices in New York City, Boston, Philadelphia, Oakland, and Los Angeles. 14
Advocacy
NFF became politically engaged after the 2016 presidential election, committing itself to “Equity in Action,” an effort to advance diversity and inclusion in its recruitment and contracting. 8
In 2022, NFF partnered with Capital Impact Partners (CIP) to form Catalyzing Finance for Racial Equity (CFRE). The group aims to persuade Community Development Financial Institutions (CDFIs) to include race-based equity practices. CFRE is funded by the W. K. Kellog Foundation. 15
NFF employees undergo a mandatory “Social Justice Onboarding.” 16 All staff members must learn left-wing ideas such as systemic oppression, white supremacy culture, racial wealth gap, and equitable data practices. In 2021, it launched “Plan 50%,” which aims to secure over half of all NFF investments to groups led by people of color. 17
Mackenzie Scott made an unrestricted donation of $15 million to the Nonprofit Finance Fund, a nonprofit community-development financial institution. This grant is part of the $4,158,500,000 in gifts Scott made to 384 organizations across all 50 states, Puerto Rico, and Washington D.C. In response to the coronavirus (COVID-19) pandemic and economic crisis.
TO SUPPORT THIS CDFI THAT WILL BUILD CAPACITY FOR NONPROFITS IN NEW YORK AND THE BAY AREA AND HELP ORGANIZATIONS BE RESILIENT TO THE IMPACTS OF COVID-19 THROUGH LOAN CAPITAL, TECHNICAL ASSISTANCE, AND OUTREACH TO COMMUNITIES OF COLOR.
General support to provide nonprofit organizations, especially those led by and serving people of color, with the financial knowledge and tailored investment capital they need to take control of their financial future and drive equitable progress
to make a program-related investment to capitalize the Accelerating Permanent Supportive Housing Fund, financing nonprofit developers creating housing opportunities for people experiencing or at risk of homelessness in Los Angeles
As a program-related investment, to increase the size of a recoverable no-interest loan program for Mellon-supported arts and cultural heritage organizations
$2,000,000
2023
Cedars-Sinai Medical Center
To make no-cost, flexible, and forgivable working capital loans available to recuperative care providers operating in Los Angeles County who are contracting with Managed Care Plans under the Cal-AIM Community Supports program and who have outstanding accounts receivable tied to these contracts, which they seek to bridge. The fund seeks to provide bridge funding for an estimated 12-month term to an estimated 6-8 recuperative care providers who have indicated that such working capital support would aid them in managing cash flow, particularly as they seek to adapt to Cal-AIM in these early days of contracting and program launch. Many of these organizations have invested significant capacity and resources in engaging in Cal-AIM, and payment delays harm their ability to sustain services and pay for program expenses.
To support technical enhancement for the second cohort of the Foundation’s Comprehensive Organizational Health Initiative for The International Association of Blacks in Dance
to support a program that would assist a cohort of community-driven audiovisual preservation organizations with developing adaptable and sustainable business models
To support and strengthen community-centered, Black-led and people of color-run nonprofit organizations impacted by COVID-19 with financial management technical assistance and flexible no-cost loan capital to improve community health in the San Francisco Bay Area.
TO SUPPORT AN ONGOING PARTNERSHIP BETWEEN THE FOUNDATION AND THE NONPROFIT FINANCE FUND (NFF) TO ADVANCE OUTREACH AND FINANCIAL TECHNICAL ASSISTANCE TO NONPROFITS LED BY AND SERVING PEOPLE OF COLOR IN NEW YORK CITY AND THE BAY AREA.
All-time grants given statistics from Candid dataset:
Total Grant Value:$13,900,855
Number of Grants:232
Number of Recipients:159
Selection of highest value grants given from the last seven years:
