ShadeFund, The Conservation Fund

1
ShadeFund, The Conservation Fund

• A Non-Profit Capital Source for Natural Resource
  Based Businesses
• Presenters Rick Larson and Enrique Perez

2
Our approach to Conservation

• The Conservation Fund is a national nonprofit
  with a dual charter of environmental protection
  and economic development.
• Core idea For conservation to have lasting
  effects, it must make economic sense.
• Weve protected over 7 million acres of
  environmentally sensitive land since 1986.
• Rated as one of the nations top-ranked charities
  by Charity Navigator.
• We also finance farms and businesses that are
  good stewards of America's farmland, forestland,
  and other natural resources.

3

• In addition to land conservation, The
  Conservation Fund also provides financing to good
  stewards of America's natural resources through
  Natural Capital Investment Fund (Southeast-based
  CDFI) (established 2001) and ShadeFund.
• Loans up to 50,000 to small green businesses.
• Interest rates (currently 4 to 9) depending on
  collateral, past business performance, and credit
  worthiness.
• Eight loans to date CT ME MI (2) MN NC NY
  OR.
• Average size 14,700. Uses equipment
  purchase
• order financing farm operations working
  capital.
• To date 50 to farms, 50 to forest products.
• To apply, visit shadefund.org/apply. Information
• required completed application 3 years of tax
• returns and current financial statements.
  Decisions in
• 30 to 45 days.

ShadeFund was established in 2011 with a lead
grant from the U.S. Endowment for Forestry and
Communities. Our inaugural corporate sponsor is
Mercedes-Benz USA.
4
Entrepreneurs Adrienne Lee and Ken Lamson New
Beat Farm, Knox ME

• Beginning organic fruit and vegetable growers.
• Approved for an NRCS cost share to build a
  greenhouse, which would help the farm expand its
  growing season.
• But, lacked upfront capital to complete the
  project.
• 4,000 ShadeFund low interest loan enabled the
  farming duo to complete the construction of their
  greenhouse in the time required for reimbursement
  from NRCS.

5
Entrepreneur Mike LipkeTrillium Pacific
MillworkWilsonville, OR

• Mike was expanding his FSC-certified wood mill by
  purchasing a 70,000 CNC router.   The router
  would allow the company to produce more precisely
  cut orders in-house.
• Trillium had a commitment letter from
  Portland-based community bank KeyBank for
  50,000but didnt have the cash for its equity
  portion.
• ShadeFunds 20,000 loan allowed the company to
  complete the financing at a much more affordable
  rate than those offered by traditional banks.

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Leveraging Opportunities

• Wherever possible, ShadeFund uses its loans to
  leverage other sources of capital to meet a
  business total funding need.
• At times, we provide subordinated or equity-like
  capital so banks and other financial institutions
  can say yes to a loan, even when collateral or
  equity is not quite sufficient.
• For more information on co-lending and other
  leveraging opportunities, contact Rick Larson at
  [phone] or rlarson_at_conservationfund.org.

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Become a ShadeFundField Partner

• We value our Field Partners. They are essential
  in connecting us with promising green
  entrepreneurs who would benefit from a ShadeFund
  loan.
• You dont need to be experts on business finance
  or natural resource management just a desire to
  help spread the word!
• In some cases, our Field Partners may serve as a
  reference or provide technical assistance.
• To become a Field Partner, contact Enrique Perez
  at [phone] or eperez_at_conservationfund.org.

8
Contact us!

• Loan Inquiry?

• General Questions?

Rick Larson ShadeFund Director, rlarson_at_conservati
onfund.org [phone]
Enrique Perez Web Community Manager, eperez_at_conser
vationfund.org [phone]
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