Expanding CDFI Coverage in Underserved Areas

The resources for this topic can be found below. To view all of our available Resource Banks, click here.​

Thursday, April 7, 2016

 

I. TRAINING WORKSHOP MODULES

  1. Market Analysis for Expansion

    • This training module provides a practical guide to market analysis that includes reasons and timing for doing a market analysis. Steps for conducting a successful market analysis include defining research goals, scoping the target market, understanding the research design and methodology, setting concrete timelines and budget, and implementing with a report and implementation plan.

    • Presentation

    Presented at: Forming New and Affiliated CDFI Entities, Understanding the Benefits of CDFI Status for Newly-Certified and Prospective CDFIs, Expansion by Existing CDFIs

  2. Exploring New Models for Formation

    • This training module presents options for structures CDFIs can consider when forming new or affiliated CDFIs. Not-for-profit and for-profit corporate structures are presented as well as formation strategies including creating de novo, acquiring, and evolving. The risk and return spectrum helps CDFIs understand the risk-return profile for different types of financing.

    • Presentation

    Presented at: Forming New and Affiliated CDFI Entities

  3. Stages of Growth

    • This training module presents an organizational development framework that includes the stages of: startup, establishment, institution, and permanence. Characteristics and red flags at each stage will be explained in reference to human resources, financial resources, and systems and policies.

    • Presentation

    Presented at: Forming New and Affiliated CDFI Entities

  4. Aligning Products and Services with Mission

    • This training module presents an approach to aligning a CDFI’s products and services with its mission. A CDFI’s target market definition and development focus should support its operations, products, and services. A test for alignment will help your CDFI effectively serve its intended target market.

    • Presentation

    Presented at: Understanding the Benefits of CDFI Status for Newly-Certified and Prospective CDFIs

  5. Marketing Strategy, Tactics, and Storytelling

    • This training module provides six steps to help CDFIs create a marketing plan. Developing marketing strategies and tactics can support your CDFI’s product, customer segment, geographic market, or network expansion. Tips will be shared for leveraging storytelling to reach media, investors, policymakers, and borrowers to highlight the impact of a CDFI.

    • Presentation

    Presented at: Understanding the Benefits of CDFI Status for Newly-Certified and Prospective CDFIs, Expansion by Existing CDFIs

  6. Financial Resources for CDFIs

    • This training module provides an overview of the types of financial resources utilized by CDFI banks, credit unions, loan funds, and venture capital funds. Capitalization and trends by CDFI type are presented as well as financial resources that can help fuel expansion.

    • Presentation

    Presented at: Understanding the Benefits of CDFI Status for Newly-Certified and Prospective CDFIs, Expansion by Existing CDFIs

  7. Models of Collaboration and Partnership

    • This training module shares several real-life examples of CDFI collaborations including network organizations, shared service platforms, and outsourcing models. Best practices for collaborative business models are presented along multiple dimensions.

    • Presentation

    Presented at: Understanding the Benefits of CDFI Status for Newly-Certified and Prospective CDFIs

  8. Understanding CDFI Impact

    • This training module provides CDFIs with an introduction to impact data and its alignment with strategic goals. Best practices are shared for building an internal culture of data collection. Identifying the optimal processes and systems for data collection help streamline reporting.

    • Presentation

    Presented at: Understanding the Benefits of CDFI Status for Newly-Certified and Prospective CDFIs, Expansion by Existing CDFIs

  9. Expansion Strategies: Operations, Technology, and People

    • This training module dives into the operations, technology, and people that make up a CDFI. Operational strategy tools including the “Business Model Canvas,” the “Lending Life Cycle,” and “Process Mapping” are presdented in addition to technology’s role in enabling expansion goals and improving the lending process for customers. Content includes best practices for aligning organizational culture, managing talent, and leading successful change.

    • Presentation

    Presented at: Expansion by Existing CDFIs

 

II. TECHNICAL ASSISTANCE WEBINARS

  1. Expansion Strategies for Growth: Part One – Operational Efficiencies
    In Part One of Expansion Strategies for Growth, our expert will present operational strategy tools including the “Business Model Canvas,” the “Lending Life Cycle”, and “Process Mapping.” This webinar will reinvigorate your organization’s thinking about the importance of focusing on the customer, defining your organization’s value proposition, and identifying areas for operational efficiency.
    Presenter: Ginger McNally, Opportunity Finance Network

  2. Using Market Analysis for Expansion
    Join us for a practitioner’s guide through the steps of a successful market analysis including defining the scope, developing the research methodology, and establishing timelines and a budget. Our expert will discuss the reasons and timing for conducting a market analysis and how to implement the findings of your completed market research report.
    Presenter: Cathie Mahon, National Federation of Community Development Credit Unions

  3. Expansion Strategies for Growth, Part Two: Technology, People, Culture, and Leading Organizational Change
    Join us for Part Two of Expansion Strategies for Growth to dive into technology, people, culture, and leading organizational change. Our expert will highlight technology’s role in enabling expansion goals and improving the lending process for your customers. Content will also include best practices for aligning organizational culture, managing talent, and leading successful change.
    Presenters: Pam Porter, Opportunity Finance Network | Trinita Logue, IFF

  4. Marketing Strategy, Tactics, and Storytelling
    As your organization expands, it will need to market in order to amplify visibility, activate key audiences, and generate referrals. Develop market strategies and tactics to support your established or emerging CDFI in new product, customer segment, geographic market, and/or network expansion. Join us to hear from marketing experts on the six steps of marketing for CDFIs and the power of storytelling.
    Presenters: Pam Porter, Opportunity Finance Network | Debby Stefaniak, Opportunity Finance Network | Jackeline Stewart, Opportunity Finance Network

  5. Understanding CDFI Impact
    This webinar will help your CDFI align impact data collection with strategy and mission. Examples from CDFIs will demonstrate how to build an internal culture of impact data collection, identify processes to streamline data collection and reporting, and enhance skills to communicate your CDFI’s work. Impact data collection can help you understand your customers and how effectively you are serving your community.
    Presenters: Jeannine Jacokes, Community Development Bankers Association | Beth Lipson, Opportunity Finance Network

  6. Partnerships for Financial Capability
    Partnerships are often formed out of a common sense of purpose, but many fail to thrive. How can you build better partnerships? This webinar will describe five keys to success – convergent vision, complementary capacities, commitment, confidence, and coordination – and present a framework to help prospective partners to build more effective, dynamic, and durable relationships.
    Presenter: Terry Ratigan, National Federation of Community Development Credit Unions

  7. Exploring New Models for CDFI Coverage through Formation of New or Affiliated CDFIs
    This webinar presents options for structures CDFIs can consider when forming new or affiliated CDFIs. Not-for-profit and for-profit corporate structures are presented, as well as de novo, acquiring, and evolving formation strategies. The risk and return spectrum will help CDFIs understand the risk-return profile for different types of financing products offered by CDFIs from debt to equity.
    Presenter: Kerwin Tesdell, Community Development Venture Capital Alliance

  8. Capitalization Strategies: Raising Debt and Equity for CDFIs
    Join us for a webinar on capitalization to explore various sources of capital available to CDFIs. In this webinar, you will learn to develop a plan to access the sources of capital appropriate for your CDFI.
    Presenter: Michael Swack, Carsey Institute at the University of New Hampshire

  9. Customer Acquisition
    New market challenges, increased competition, demand for diversified products, and more selective customers all make it even more imperative to reach and retain the customers your organization needs to grow. Learn how to identify and reach your most important customers.
    Presenters: Ginger McNally, Opportunity Finance Network | Maria Semple, The Prospect Finder

  10. Fundraising Strategies for Your CDFI
    Join us for a webinar focusing on raising operating capital for your CDFI. We will provide several perspectives from the industry on fundraising during this session. Included in the discussion will be how to find funders, how to build relationships with your funders, and how to effectively tell your organization’s story.
    Presenters: Aishah Miller, Opportunity Finance Network | Amanda Joseph, Opportunity Finance Network

  11. Portfolio Management: Best Practices for Definitions and Reporting to Funders and Partners
    Feeling a bit fuzzy on loan portfolio definitions and reporting? Join this webinar to learn about best practices and to hear about the latest research in the field in order to help you tell your story and accurately report your portfolio performance to funders and partners. If you need additional capital to support your expansion plans, knowing how to describe and report on your portfolio performance is critical. Join the webinar to learn how from experts in the field.
    Presenters: Beth Lipson, Opportunity Finance Network | Bonnie Scadova, New Hampshire Community Loan Fund

  12. Adding a Near-Equity Product to Your Toolbox
    Many CDFIs are eager to learn about near-equity products to complement their lending and development services activities. This webinar will introduce key concepts, including how to know if your organization is a good candidate for offering equity products and what kind of customers might benefit from a near-equity investment.
    Presenter: Chris Reim, Community Development Venture Capital Alliance

  13. Small Dollar Loans
    Small dollar loans can provide much-needed capital to low-income, low-wealth consumers and small businesses. Join this webinar to learn about developing quality small dollar loan products designed to align borrower success and lender profitability.
    Presenter: Tanya Ladha, Center for Financial Services Innovation

  14. Expanding Capacity for Credit Unions through High-Impact Products and Services
    Geared toward community development credit unions, this webinar is focused on expanding coverage in underserved areas through high-impact products and services. CDFI credit unions offer loans and services in some of the nation’s most economically disadvantaged communities. Come learn about high-impact products and services that respond to the needs of underserved markets and support growth and profitability for community development credit unions.
    Presenter: Terry Ratigan, National Federation of Community Development Credit Unions

  15. Looking Forward: Industry Trends
    Is your business model evolving? What are your sources of capital, and how should they change? What lies ahead for the CDFI industry? How might these questions inform your strategies for growth and expansion of coverage in underserved areas? Join this webinar to learn about new research illuminating how to look forward about industry trends so that you can position your CDFI for expansion.
    Presenter: Donna Fabiani, Opportunity Finance Network | Lance Loethen, Opportunity Finance Network

III. LIST OF ADDITIONAL RESOURCES

  1. CDFI Resources by Type

    1. Credit Union Technology
      CDCU Technology Initiative: Exploring Our Collective Technology Needs
      The Federation’s first Technology Brief, focusing on Core Processing Platforms. This brief reports on the results of a survey of Federation members conducted in the spring of 2014 exploring the technology needs of CDCUs. Read how the various platforms stack up in supporting the needs of credit unions that serve low-income members.

    2. Credit Union Certification
      CDFI Certification
      A Building Block for Credit Union Growth: In 2014, in conjunction with the Credit Union National Association, the National Federation of Community Development Credit Unions (Federation) developed this White Paper to evaluate the performance, profiles and prospects of CDFI credit unions. The study finds that CDFI credit unions (i) thrive in tough markets; (ii) maximize leverage of external resources; (iii) are leaders in technology and innovative member services; (iv) represent a viable business model for community development finance. The paper also finds that CDFI certification is within reach for hundreds of credit unions.

  2. Market Analysis

    1. TRF Policy Map
      PolicyMap is an online data and mapping tool that enables organizations to access data about communities and markets across the U.S. It can be used for research, market studies, business planning, site selection, and impact analysis. PolicyMap has more than 37,000 continuously updated data related to demographics, socio-economics, mortgages and home sales, health statistics, jobs and employment and more. Its GIS data is available for geographies across the U.S. often at neighborhood scale geographies such as census tracts and block groups.

    2. Customer Discovery: Stanford’s Design Thinking
      Stanford’s Design School is famous for its innovation methodology called “Design Thinking.” This site includes participatory activities for customer development and is a useful resource for anyone interested in embarking on the innovation and product design process. It includes activities related to understanding your customer, interviewing, rapid prototyping, etc.

  3. Expansion Business Operations and Models

    1. Business Model Canvas
      The Business Model Canvas is a strategic management and entrepreneurial tool. It allows you to describe, design, challenge, invent, and pivot your business model.

    2. Performance Counts
      Performance Counts is an industry-led collaborative effort to develop industry standards and best practices around financial statements and financial management, and serve as an industry forum for sharing information, documents, and ideas on these topics. The goals of Performance Counts are to:

      • Achieve greater consensus within the CDFI industry around financial metrics, financial statements, financial reporting, and financial management;

      • Lead to streamlined financial reporting and clearer messaging by CDFIs; and

      • Enable increased access to capital sources as it becomes easier for current and prospective investors to better understand CDFI financial statements, financial performance, and financial wherewithal.

      Three reports are available:

  4. Forming a New Entity

    1. Partnership for Progress
      A resource bank for Minority Depository Institutions (MDIs) maintained by the Federal Reserve. It offers information and guides (many of which are not MDI-exclusive) for bankers at various stages of the bank life cycle. Topics covered include creating a new banking startup, expansion, and managing the bank as it continues to grow into a mature institution.

  5. CDFI Impact

    1. From Distrust to Inclusion: Insights into the Financial Lives of Very Low-Income Consumers
      This study is based on a series of in-depth interviews with a diverse array of very low income (VLI) people conducted by a professional market research firm. Fifty interviews were conducted over a six-month period, with VLI consumers drawn from four communities in three states. Learn how socially-minded financial institutions can begin to meet the demands of very low-income consumers in the US. This report challenges current thinking on the development and scaling of products and technologies for investors and practitioners serving this market.

    2. LIIF Social Impact Calculator
      LIIF’s Social Impact Calculator is a tool that allows users to assign a dollar value to the benefits of things like an affordable home, a great school or access to transit.

    3. IRIS
      IRIS is the catalog of generally-accepted performance metrics developed by the Global Impact Investing Network. IRIS is managed by the Global Impact Investing Network (GIIN), a nonprofit organization dedicated to increasing the scale and effectiveness of impact investing. IRIS metrics are designed to measure the social, environmental and financial performance of an investment.

    4. Texas A&M GeoServices
      This is a geocoding service provided by Texas A&M University that allows you to mass geocode a set of addresses. Once you’ve registered for an account you can use the geocoder to get all your latitudes and longitudes. Once you have that, you can use their handy census intersection tool to get all your census tract codes (FIPS codes). Registering allows 2,500 free queries. More credits are available on a paid basis or by applying to become a partner organization.

    5. Create Jobs for USA
      In November 2011, OFN partnered with Starbucks to launch Create Jobs for USA, a unique initiative that leveraged the power of CDFIs to address the U.S. jobs crisis and help put people back to work. The initiative combined corporate donations and crowdfunding from individuals and small businesses to create and retain jobs.

      OFN has gathered lessons learned from the initiative to share in a three-part series of reports that reflects on Create Jobs for USA and offers insights that CDFIs can use in their own job reporting efforts:

  6. Collaborations and Partnerships

    1. Partnerships for Financial Capability
      Diagnostic Frameworks for Financial Institutions and Partners: In 2013 the National Federation of Community Development Credit Unions and the Center for Financial Service Innovations launched an effort to promote financial capability in low-income communities through partnerships between credit unions and nonprofit service organizations. This study draws on the experiences of three pilot partnerships and describes diagnostic frameworks to evaluate five keys to success: Convergent Vision, Complementary Capacities, Commitment, Confidence and Coordination. The study and the Financial Capability Partnership Initiative was made possible through the generous support of the Kresge Foundation.

    2. Partnerships for Community Impact: Higher Education and CDFIs Working Together
      This report highlights five examples of higher education-CDFI partnership, involving projects in Philadelphia (TRF and LaSalle University), Chicago (IFF and University of Chicago), Durham, N.C. (Self-Help and Duke University); New Orleans (Hope and Delgado Community College), and multiple communities in North Carolina (LCCU and University of Virginia).

  7. Partner Organizations

    1. Community Development Bankers Association
      Community Development Bankers Association (CDBA) is a national trade association of the community development bank sector. CDBA is the voice and champion of banks and thrifts with a mission of serving low and moderate income communities.

    2. Community Development Venture Capital Alliance
      Community Development Venture Capital Alliance (CDVCA) is a network of community development venture capital funds, which provide equity capital to growth businesses in low-income communities to create good jobs, productive wealth, and entrepreneurial capacity.

    3. The National Federation of Community Development Credit Unions
      National Federation of Community Development Credit Unions (NFCDCU) is a national association for community development credit unions providing capital, advocacy, technical assistance, training to support innovative services for low-income consumers.

    4. Opportunity Finance Network
      Opportunity Finance Network (OFN) is a leading national network of community development financial institutions (CDFIs) investing in opportunities that benefit low-income, low-wealth, and other disadvantaged communities across America.

 

The compilation of these documents was funded by the CDFI Fund, under Contract TPD-CDF-10-C-0003, Task Order 0006. The curriculum and opinions expressed in these documents are those of the authors, who are solely responsible for the content, and do not reflect the opinions of the CDFI Fund or any other person, entity, or organization.