Community Development Finance Institutions

Community Development Finance Institutions (CDFIs) provide loans and other support, such as mentoring, to businesses that find it difficult to access finance from mainstream sources.

Businesses can find it difficult to raise finance for several reasons: they may have a poor credit rating or history, they can offer little or no collateral, or they may have an insufficient track record or operate in an under-served or deprived community.

CDFIs are “not-for-profit” lenders – their mission is to address gaps in access to finance. They offer business loans to businesses and social enterprises across multiple sectors and industries. They seek to protect and create jobs and generate social, environmental and economic returns, supporting their local economies.

There are currently around 50 responsible finance providers supporting customers in all regions of the UK. Find more about them from Responsible Finance, their representative body, and via its education site Finding Finance.