RSF Social Finance launched the Racial Justice Collaborative, a new philanthropic fund that provides diverse forms of capital to U.S.-based social enterprises with Black, Indigenous and people of color (BIPOC) owners and leaders.
Starting with an inaugural group of four organizations dedicated to creating community wealth and ownership, the new initiative backs BIPOC organizations that consider all stakeholders—the community, employees, customers and the environment—in their work.
The launch of the Racial Justice Collaborative is “a key step in demonstrating our commitment to justice, equity, diversity and inclusion,” says RSF CEO Jasper van Brakel. The advisers play an essential role, he adds. “There is much for us to learn in the area of racial justice finance, and we are thankful for the deep knowledge and accountability our advisers provide.”
A $350,000 lead gift from The Schmidt Family Foundation and two other gifts catalyzed the new Racial Justice Collaborative, which continues to fundraise for future loans and grantmaking. Jamie Dean, director of impact investments at the foundation and a recent Integrated Capital Institute fellow, said the gift reflects The Schmidt Family Foundation’s commitment to improving diversity and inclusion in its work.
She adds, “We are excited for this new collaborative’s decision-making model and value the opportunity to invest in it. For far too long, BIPOC entrepreneurs have faced barriers that have hampered their business success, which in turn holds back wealth building. In particular, our foundation is excited to help create more access to early-stage capital so that BIPOC businesses can take flight.”
Read the entire announcement.