Coastal Enterprises, Inc (CEI) in Brunswick, Maine, has announced a $1.6 million investment from the Lumina Foundation to expand its Child Care Business Lab, which provides training and an opportunity to access capital to start childcare enterprises in the state.

The funding includes a $600,000 grant and a $1 million program-related investment. The funding will provide low-cost capital to lend to childcare business owners starting their enterprises, which is traditionally difficult to access due to the industry’s nontraditional collateral, tight margins, and delayed income from reimbursements for subsidized programs.

“The lack of access to quality child care is a chronic problem across the country. We are excited to support CEI’s Child Care Business Lab,” said Lumina Foundation vice president of learning and work Chauncy Lennon. “The curriculum is a ready-made and replicable model that can work in other places. The skills the Child Care Business Lab provides lead to good jobs, higher pay, and greater opportunity to learn and serve others.”

(Photo credit: Getty Images/Sol Stock)