How to Apply
We look for socially driven arts and cultural organisations that can…
|Investment window||September 2018 to August 2021|
|Funding available||£25,000 to £150, 000|
|Repayment period||12 to 60 months|
|Interest rates||5.5% to 8.5%|
|Fees|| 1% completion fee
2% per annum, pro rata holding fee
(minimum holding period is 6 months)
No early repayment fee
Cultural Impact Development Fund offers unsecured loans (and revenue participation agreements, where appropriate) between £25,000 and £150,000 with repayment term of one to five years and interest rates ranging between 5.5% and 8.5%.
Cultural Impact Development Fund will pioneer the use of financial incentives to drive the achievement of social impact targets in its investment portfolio, making it one of the few impact investment funds with a clear trade-off of financial return for the attainment of social outcomes. The financial incentive takes the form of a reduction to the headline interest on a given loan in cases where the total loan term is 36 months or more.
If your organisation does not fit within the list below but you think it might still be eligible for investment, please get in touch and speak to a member of our team who would be able to advise you.
We can only work with organisations registered in England and primarily benefiting communities in England. Digital organisations will need to demonstrate their primary audiences are based in England.
We do not make loans to individuals, sole traders, partnerships or unincorporated bodies (unless their partners/members are exclusively corporate bodies).
To be eligible, your organisation has to demonstrate that it has a clear social mission. This includes asset-lock and a restriction of the personal gain derived from its work. Charities, community interest companies and community benefit societies with a recognised charitable purpose are eligible for investment. Other incorporated entities, such as companies limited by shares, will be considered based on the strength of their social mission and whether the majority of their profit will be reinvested into that mission.
To be eligible, your organisation should work with people and communities who fall within our scope of approved beneficiaries. This means that you must be able to demonstrate your commitment to reaching and supporting the needs of these beneficiaries, although your offer may have a wider remit beyond these groups. If your organisation’s beneficiaries do not fit within the list below but you think your organisation may still be eligible for investment, please get in touch and speak to a member of our team, who will be able to advise you.
Taking part in the Fund’s impact development programme is a requirement for receiving investment. Please see the Impact development section below for more details.
As part of the Fund’s criteria for investment, Cultural Impact Development Fund’ Impact Manager will work with applicant organisations in the course of due diligence to improve their social impact management capacity.
In advance of investment being approved, we will support organisations to create the following: (i) a summary of the evidence base for the socially focused activities being undertaken by the organisation; (ii) a theory of change with specific outcomes to be achieved as a result of the activities; (iii) a framework for impact measurement and evaluation; and, (iv) a development & resourcing plan that will specify how, over the lifetime of the investment, impact management policies and processes will be strengthened, in addition to setting clear performance indicators and outcomes targets.
In addition, we will monitor successful organisations’ social impact performance through (at minimum) quarterly reporting, signposting them to further tools and resources.
For fund-specific enquiries, please contact Trishna Nath.