Identifying and securing new sources of capital is a top priority for cooperatives and NCBA. An NCBA Task Force recommended that NCBA pursue the idea of a cooperative equity fund by commissioning a feasibility study.
The feasibility study, completed by the Calvert Foundation in 2009, indicated sufficient demand for a fund that would allow private investors with “patient capital” (at-risk capital available for three or more years) to invest their money in developing or expanding cooperative businesses. The report recommended the creation of a small private equity fund, whose targeted returns would be conservative but sustainable. This would serve to prove the concept before it would be scaled up to accommodate the needs of the co-op sector.
The next step for NCBA is to develop the plan for the fund and identify potential investors. A Planning Committee will be working in 2010 to develop the plan for implementation and to raise funds from public and private sources. Please see the links below for information and documents about the Feasibility Study, the Task Force Report, and the Committees that oversaw the process.
For information about the equity fund project, please contact Director of Public Policy at 202-383-5450.
