Annual Report 2022
Creating Access to Capital & Opportunities for All
Ellis Carr, President and CEO, Momentus Capital
For all of us at Momentus Capital, 2022 was a year to remember. Working in cities and communities across the country, we put over $760 million into the hands of entrepreneurs, developers, and other local leaders. This is the highest level of investment in the history of our branded family of organizations.
But beyond the headline figure, what does this number represent? What do these dollars actually support? When I get asked this question, three things come to mind.
Impact Highlights
Through the Momentus Capital branded family of organizations, we are working with small business owners, local real estate developers, and other mission-minded local leaders to champion their solutions and build healthy, inclusive, and equitable communities. These numbers and the stories that follow provide a snapshot into the impact we are having for and with communities.
Community Development Real Estate Lending
$175M
Loans Closed
666,134
People Served
571
Jobs Created and Preserved
900
Affordable Housing Units
711
Students Served
67,592
Health Care Patients
588,009
Healthy Food Customers
Small Business Lending
$483,245,000
SBA 504 Commercial Real Estate Loans Approved
$40,350,865
SBA Community Advantage Loans Approved
19,710
Business advisory hours provided at no cost
8,796
Jobs Created and Preserved
Impact Investment Highlights
| Company | Led by Entrepreneurs of Color |
Investment Amount |
Investment Type |
Sector | # of Employees/ Customers Served |
Geography |
|---|---|---|---|---|---|---|
| Samesky | $5,000,000 | Mezzanine Debt | Health Care | 50/40 | Southern California | |
| Obran Health (Physicians Choice) | $1,000,000 | Preferred Equity / Profit Share | Coops / Healthcare | 40/3,000 | Southern California | |
| 4P Foods | $1,500,000 | Mezzanine Debt | Healthy Food | 57/1,440 | Washington, D.C. Region | |
| BB Imaging | $3,000,000 | Mezzanine Debt | Health Care | 124/60,000 | Texas | |
| Everytable | $5,000,000 | Revenue Share | Healthy Food | 405/181,000 | Southern California + New York City |
*Lending numbers may be duplicative across categories
Impact Investment Highlights
| Company | Led by Entrepreneurs of Color | Investment Amount | Investment Type | Sector | # of Employees/ Customers Served | Geography |
|---|---|---|---|---|---|---|
| Samesky | check | $5,000,000 | Mezzanine Debt | Health Care | 50/40 | Southern California |
| Obran Health (Physicians Choice) | check | $1,000,000 | Preferred Equity / Profit Share | Coops / Healthcare | 40/3,000 | Southern California |
| 4P Foods | $1,500,000 | Mezzanine Debt | Healthy Food | 57/1,440 | Washington, D.C. Region | |
| BB Imaging | check | $3,000,000 | Mezzanine Debt | Health Care | 124/60,000 | Texas |
| Everytable | $5,000,000 | Revenue Share | Healthy Food | 405/181,000 | Southern California + New York City |
Ventures Lending Technologies
Subscribers
| Lender Type | Subscribers |
|---|---|
| CDC | 166 |
| CDC/CDFI | 30 |
| CDFI | 5 |
| Credit Union/CDFI | 1 |
| Active Lenders | 202 |
*As of 12/31/2022; Excluded LSP, banks, and others
Social Impact
| 504 Loans | 7(a) Loans | Commercial Loans | |||||
|---|---|---|---|---|---|---|---|
| Demographic | Loan Count | Loan Amount | Loan Count | Loan Amount | Loan Count | Loan Amount | Grand Total |
| Entrepreneurs of Color | 1,899 | $6.3B | 269 | $137.7M | 211 | $43.6M | $6.5B |
| Non-EOC | 5,564 | $14.9B | 542 | $387.6M | 741 | $629.2M | $15.9B |
| Totals | 7,463 | $21.2B | 811 | $525.3M | 942 | $672.8M | $22.4B |
Financial Highlights
80%
Year-Over-Year Recurring Revenue Growth in 2022 (Saas)
30%
Projected Recurring Revenue Growth in 2023
Lending Highlights by Core Geography
Through the Momentus Capital branded family of organizations, we understand the importance of fostering deep connections with communities to understand their needs and work with them to create tailored solutions that drive social impact.
To that end, we focus our investments in places where we have roots and are better positioned to leverage a deeper understanding of the context of our work, past investments and relationships, and market knowledge to maximize our impact.
Below are examples of our impact across our core geographies:
| State | Capital Deployed | Number of Loans | Owned by Entrepreneurs of Color | Owned by Women | Owned by Low-to-Moderate-Income Entrepreneurs | Operating in Low-to-Moderate-Income Communities |
|---|---|---|---|---|---|---|
| California | $466,975,330 | 592 | $203,224,900 | $87,872,314 | $21,572,300 | $32,111,457 |
| Michigan and Northwest Ohio | $36,321,997 | 69 | $19,363,430 | $3,376,500 | $1,602,500 | $1,879,000 |
| New York Tri-State Area | $19,479,000 | 7 | $4,404,000 | N/A | N/A | $6,250,000 |
| Texas | $24,611,250 | 18 | $487,500 | $355,500 | $2,775,000 | $12,783,350 |
| Washington, D.C. Metro Area | $61,284,688 | 24 | $52,096,677 | $33,042,977 | $2,000,000 | $31,360,411 |
Expanding Our Commitment to Cooperatives
FY2022 saw a significant increase in our lending to cooperatives as well as other activities, including our first impact investment. Through the Momentus Capital branded family of organizations, we have many more financial tools, more flexibility, and have expanded our ability to support and amplify the cooperative movement, including helping private businesses convert to cooperatives.
$16,000,000
Debt Financing
$1,000,000
Preferred Equity Impact Investment
*See Impact Investments Highlights Above
2022 Co-op Innovation Award Winners
In partnership with the National Cooperative Bank
Northside Residents Redevelopment Council
Minneapolis, MN | Award Amount: $50,000
Northside Residents Redevelopment Council
Minneapolis, MN | Award Amount: $50,000
Pilsen Housing Cooperative
Chicago, IL | Award Amount: $30,000
The Industrial Commons
Morganton, NC | Award Amount: $30,000
Beloved Community Incubator, Inc
Washington DC | Award Amount: $25,000
Since 2015, the 22 Co-op Innovation Award grantees have leveraged the combined 685K to secure more than $9.1M in funding from foundations, investors, and government.
Co-Op Hall of Fame Awards hosted by the Cooperative Development Foundation
Inaugural Sponsor and Presenter of First Co-op Unsung Hero Award
Civil Rights Movement Leader
Commitment to Diversity, Equity, and Inclusion
Our DEI Vision of Success
Momentus Capital will center the needs, desires, and input of our workforce and the communities that we serve by valuing and hearing all voices. Our DEI strategy provides individuals with a platform for open and honest communication, and takes necessary actions to make our goals achievable.
The impact data below illustrates how we are integrating DEI principles into our work across Momentus Capital.
Diverse Community Development Real Estate Developers Funded
- Projects: 18 projects via 26 loans
- Loans Funded: $122,870,330
Small Business Entrepreneurs Funded
- Entrepreneurs of Color
- Projects: 338
- Loans Funded: $175,274,577
- Women
- Projects: 244
- Loans Funded: $86,829,792
- Veterans
- Projects: 59
- Loans Funded: $34,850,300
Diverse Developers Training Program
Our diverse developers training program supports a wide range of developers to grow their careers and support communities. This includes emerging developers through our Equitable Development Initiative (EDI), as well as more established developers through our programs with Amazon and Wells Fargo. Since 2018, we have trained more than 200 developers of color across the country.
Highlights across our core geographies from 2022 include:
Detroit
- 19 EDI graduates received a combined $415,000 in early-stage capital grants for 16 real estate projects.
- The projects are expected to rehabilitate or develop more than 293,000 square feet of new and rehabbed space, which includes 262 residential units (93 of which will be built for residents at or below 80 percent of the area median income), and 29 commercial units throughout Detroit and Highland Park.
Dallas
- Launched first EDI cohort in Texas supporting 15 developers.
Washington, D.C.
- Launched the Housing Equity Accelerator Fellowship with 15 developers of color, of which 33% are BIPOC women developers.
- Deployed $3.1 million in pre-development grants and over $21 million in loans to developers in the Housing Equity Accelerator Fellowship. The capital supports the production of over 300 affordable housing units, for sale and rent, in the Washington, D.C. metro area.
San Francisco Bay Area
- Completed initial learning series supporting 11 developers.
Growing Diverse Housing Developers (Wells Fargo Partnership)
- Participating developers referred by Capital Impact received over $500,000 in enterprise-level grants and access to flexible capital and learning networks.
- Loans deployed: $20,923,614
- Small businesses assisted with loans & technical assistance: 900
- Quality jobs created or retained: 619
- Low-to-moderate income individuals served: 72%
- Led a panel during Community Development Week at CNHED’s Equitable Communities Conference in October with Entrepreneurs of Color Fund, CDFI and nonprofit partners. The panel centered on “Prioritizing Equity and Access To Capital for Entrepreneurs of Color” and was moderated by JPMorgan Chase’s East Region Executive in Global Philanthropy, Daniel Okonkwo. Over 200 attendees participated in the inaugural conference.
* Loans provided by project partners Washington Area Community Investment Fund (Wacif), the Latino Economic Development Center (LEDC), and City First Enterprises
Entrepreneurs of Color Fund Initiative, Washington, D.C. Metro Area*
- Loans deployed: $20,923,614
- Small businesses assisted with loans & technical assistance: 900
- Quality jobs created or retained: 619
- Low-to-moderate income individuals served: 72%
- Led a panel during Community Development Week at CNHED’s Equitable Communities Conference in October with Entrepreneurs of Color Fund, CDFI and nonprofit partners. The panel centered on “Prioritizing Equity and Access To Capital for Entrepreneurs of Color” and was moderated by JPMorgan Chase’s East Region Executive in Global Philanthropy, Daniel Okonkwo. Over 200 attendees participated in the inaugural conference.
* Loans provided by project partners Washington Area Community Investment Fund (Wacif), the Latino Economic Development Center (LEDC), and City First Enterprises
Staff Diversity Table
| Board of Directors | Momentus Capital Staff | Executive Management Team | Lending Teams | Program Teams | |
|---|---|---|---|---|---|
| BIPOC | 10 | 170 | 6 | 90 | 14 |
| Female | 2 | 106 | 4 | 103 | 12 |
Policy Advocacy
Revitalizing underserved, low-income communities requires federal, state, and local public policy initiatives that promote community economic development. We unite policymakers, industry partners, and other key stakeholders to advance sound public policies to create systemic change that empowers people and their communities.
Joined the Biden-Harris administration to launch the Economic Opportunity Coalition and invest in initiatives to address economic disparities and accelerate economic opportunity in underserved communities
Supported impactful expansion and reforms to the SBA Community Advantage Program
Championed small business support before the U.S. Senate
Through the California Coalition for Community Investment, helped advocate for the new $50 million California Investment and Innovation Program statewide CDFI fund
Media Highlights
Media outlets from across the country have featured our work with communities and local leaders. Below are some highlights of that coverage. For a full list and links to articles, please visit our press page.
Capital Impact Partners and CDC Small Business Finance Create Momentus Capital to Inclusively and Equitably Transform the Financial Services Sector
Ellis Carr Named to Most Creative People in Business List
Macy’s and Momentus Capital to Invest Millions to Fund Minority-Owned Businesses
Stacey Sanchez and Ken Rosenthal Honored as SBA Business Development Officers of the Year
Dallas Developers of Color Find Access to Capital Through Inaugural Initiative
‘Activate Detroit’ Loan Helps Open Bagley Restaurant in Detroit
Awards & Recognition
Washington Business Journal Nonprofit Leader of The Year Award
Fast Company Most Creative People in Business
Ellis Carr
SBA Business Development Officers of the Year
Ken Rosenthal & Stacey Sanchez
Organizational
#1 504 Lender
CDC Small Business Finance
$55M New Markets Tax Credit (NMTC) Award
Capital Impact Partners
#1 Community Advantage
Lender
CDC Small Business Finance
2022 NonProfit Times Best Nonprofits to Work For
Capital Impact Partners & CDC Small Business Finance
Fitch Ratings A+ rating with a stable outlook
Capital Impact Partners
ImpactAssets IA50 List
Capital Impact Partners
Financial Highlights
Community Development Lending
FY2018-FY2022
Loan Portfolio Growth
FY2018-FY2022
Total Asset Growth
FY2018-FY2022
Unrestricted Net Asset Growth
Delinquency Ratio
Small Business Lending
FY2018-FY2022
Loan Portfolio Growth
FY2018-FY2022
Unrestricted Net Asset Growth
FY2018-FY2022
Total Asset Growth
Delinquency Ratio
Portfolio Highlights
Community Development Lending
Total Managed Loan Portfolio
$
Small Business
Total Managed Loan Portfolio
$
On-Balance Sheet
Off-Balance Sheet
Momentus Capital Financial Documents
Leadership Team & Board of Directors
Momentus Capital’s mission-focused leadership team and board of directors bring decades of experience supporting community and economic development across the country. Their experience spans community development, capital deployment, small business, policy and impact investing.
