Finding the right financing to meet the needs of a growing business can be very challenging. Banks and other commercial lenders may not always be able to offer the type of financing that businesses need without the participation of another lender. That’s where the Twin Cities Community Capital Fund comes in.

The TCCCF is a nonprofit economic development loan fund that offers customized, flexible financing solutions to fit most business needs. Our long-term, subordinated, fixed-rate loans, which are available in select Twin Cities communities, are made in partnership with local banks, other commercial lenders and our member economic development organizations. When we work with business owners and their banker, our goal is to help put together a complete financing package that meets everyone’s needs.

    "Commercial lending is a very competitive business, especially in the Twin Cities. Lenders that partner with TCCCF can gain a competitive edge, bring additional capital to deals, and best serve the interest of their customers."   
                    -Paul Rebholz, Vice President
                                     Wells Fargo, Minneapolis

We always have money to lend.

The TCCCF is a self-sustaining economic development financing resource. Recapitalization of the Loan Fund is through the sale of pre-approved loans to a specialized national secondary market.

Our loans are structured to best meet the needs of our members, our borrowers, and participating lenders. Of course, one of the primary considerations for our borrowers and members is how the secondary market will price the loan.

The actual price to be paid for TCCCF loans is determined before a final loan commitment is made. If the price offered by the market is discounted from par value (which only occurs when the member wants to offer below market rate financing to a borrower), the TCCCF member is responsible for funding the difference between par value and the loan sale price. There is no cost to members when loans are sold at par value.

As a result of our relationship with the market, the TCCCF loan pool is continually recapitalized and our members are able to originate an unlimited number of business loans in their communities.

   "With a TCCCF loan, we are able to finance small business deals that otherwise would not be possible. The Fund consistently delivered on its proposal, prompting us to continue to look for partnership opportunities with TCCCF."
                        -Roger Hamilton, President
                                           Anchor Bank, Eden Prairie

• Fixed assets, including land and building purchases.
• Building construction (permanent financing only).
• Leasehold improvements and building renovations.
• Machinery and equipment purchases, renovation, and moving expenses.
• Working capital (when secured by fixed assets--with a fixed repayment schedule).
• Restructuring of existing debt.

TCCCF loans are not available for the purchase of equity positions in business enterprises or for speculative real estate developments. We also do not finance liquor stores or bars without food service.

Flexible terms and service you can count on.

TCCCF loans are competitively priced and offer the flexibility of negotiable interest rates and terms. We are committed to outstanding customer service and believe that there are no common solutions to meeting the needs of our borrowers. Our loan officers work closely with both borrowers and other project lenders to ensure that our loans are responsive to the needs of all parties.

Our loan application approval process—from the receipt of a complete loan application to our loan commitment—provides for loan approvals within 3-4 weeks, depending on the amount of the loan.

   "We recently closed our first loan in partnership with TCCCF and are very pleased with how easy it was to work with their staff. As our community continues to grow, I expect TCCCF will play an important role in helping us finance other small businesses that are challenging to fund entirely through traditional bank loans."
                            -Gary Brandenburg, Senior Vice President
                                                 Citizens State Bank, Norwood Young America

TCCCF can fill financing gaps that SBA Loans can't.

Not all borrowers and business development projects are eligible for SBA 504 financing.  TCCCF is designed to complement SBA's programs to help businesses and nonprofit organizations obtain the capital they need to grow...when they need it.  Similar to the SBA 504 program, TCCCF offer fixed rate subordinated real estate loans with terms of up to twenty years, and business equipment loans of up to ten years.  However, unlike the SBA, TCCCF offers much more flexible eligibility and financing solutions to meet the needs of both our borrowers and lending partners.  For a detailed comparison of TCCCF with the SBA 504 program click here.

Member-governed. Member-focused.

The Twin Cities Community Capital Fund is a Minnesota nonprofit membership corporation that was incorporated on December 2, 2004. The business affairs of the Fund are carried out under the direction of a nine-member Board of Directors. TCCCF members have the responsibility to elect six directors (two directors from each membership class). The six elected directors fill the remaining three at-large board seats by appointment. The ongoing input and advice of the Fund’s members helps to ensure that the Fund will be responsive in meeting the challenges of even the most complex development financings.

Choose your own membership level.

TCCCF welcomes communities and development organizations of all sizes to participate in the Fund. Three membership levels are available, ranging from as little as $50,000 up to $200,000. Simply choose the membership level that best fits your organizational needs.

Who pays for the cost of operating the Fund?

The Fund’s primary revenue sources are the interest earnings on the pooled funds deposited and contributed by TCCCF members and loan origination fees charged to borrowers. Members do not pay for any of the Fund’s operating costs or for the services provided by the fund manager and loan officers.

Who manages the Fund?

In order to keep operating costs down, the Fund has no employees. The Northland Institute, a Minnetonka-based nonprofit economic development organization, provides a full-range of professional management services under contract with TCCCF. Scott Martin, a Certified Economic Development Finance Professional with 30 years of business and economic development experience, serves as Fund Manager under the direction of the Board of Directors. The loan officers assigned to TCCCF member projects also have many years of experience in business financing, deal structuring, and portfolio management.

Our Money Back Guarantee.

Membership in the TCCCF comes with a money back guarantee. Ninety percent of the funds received from members are deposited in the TCCCF Loan Fund escrow account, which is managed by an independent Escrow Agent. These funds remain the property of each respective member and may only be used to fund TCCCF loans. Ten percent of each member’s funds are in the form of a loan to the TCCCF for start-up working capital. Members may withdraw their money from the Loan Fund escrow account anytime after three years from the date of deposit, or reduce their position in the Fund down to the $50,000 level—for any reason whatsoever.