The Ruth Mott Foundation in Flint, Michigan, has announced the launch of a $5 million impact investment initiative in support of community organizations.

Initial investments include $1 million to ELGA Credit Union, a community development financial institution (CDFI), to expand its loan program supporting small businesses and homebuyers in north Flint and a $302,000 loan to the Evergreen Community Development Initiative, which operates the Flint Development Center, to pay off and consolidate bank loans. The investments are made in addition to the foundation’s annual grantmaking, which totaled $5.5 million in 2022.

According to the foundation, its program- and mission-related investing are tools to advance racial equity, strengthen north Flint neighborhoods, and create opportunities for residents to contribute and thrive. To that end, the funds are intended to have high social returns that benefit Flint as well as real financial returns at or below market rate that will be directed into future impact investments.

“We see impact investing as yet another lever to move north Flint residents’ priorities forward and nurture our long-term commitment to the community,” said foundation president Raquel Thueme. “We intend for our impact investments to achieve measurable impact and work in concert with our grantmaking to achieve better outcomes than grantmaking alone.”

(Photo credit: Ruth Mott Foundation)