Seed-stage Venture Fund Run Entirely by Women of Color Receives Largest OCF Award
OCF is the latest investor to support The BFM Fund’s application to the State Small Business Credit Initiative (SSBCI) Program
PORTLAND, Ore., April 12, 2023 /PRNewswire/ — The BFM Fund (Black Founders Matter), an Oregon founded seed-stage venture fund focused on Black and innovative founders, is slated to receive one of the largest investment awards that Oregon Community Foundation has given a Portland-based investment fund. Authorized to receive both public and private funds since 2020, The BFM Fund is leveraging this award of private capital to win federal dollars from the State Small Business Credit Initiative (SSBCI) Program. SSBCI provides the opportunity for venture capital programs like The BFM Fund to set-up public-private partnerships for equity investing and provide capital to underserved start-ups to democratize venture capital across various geographies and demographics. This first-time partnership between The BFM Fund and OCF strengthens the fund’s application to the SSBCI program, and allows The BFM Fund to allocate OCF’s investment to Black and innovative founders across Oregon.
“This investment opens up so many doors for us,” said Himalaya Rao-Potlapally, Managing Director of The BFM Fund. “By earmarking OCF’s investment to match prospective SSBCI funds, we’re actively paving the way for other private investors and organizations who are interested in this program to partner with our fund. Our main goal is to invest in and nurture early-stage Black and innovative founders and start-ups. OCF’s support for The BFM Fund’s application to the SSBCI program underscores their unwavering commitment to Oregon’s entrepreneurial ecosystem.”
Oregon Community Foundation is a non-profit organization with the mission of improving lives for all Oregonians through the power of philanthropy. The BFM Fund’s dedication to providing access, resources, and funding for diverse, Oregon-based founders was a key factor in OCF’s decision to invest into the Fund. The BFM Fund has been securing private capital over the last few months to strengthen its application to the SSBCI program and ultimately put more capital in the hands of underrepresented entrepreneurs across the state.
“The BFM Fund aligns so well with Oregon Community Foundation’s community-led approach,” said Lisa Mensah, President and CEO of Oregon Community Foundation. In its support of entrepreneurship, the Fund helps prepare Oregon’s future Black leaders with a strong pathway to economic success. “Our investment in The BFM Fund brings diverse women to tables where decisions are being made and into leadership positions across Oregon to create transformative change that benefits us all.”
The BFM Fund is currently led by a full women of color leadership team and has paved the way for many women and women of color to enter the Oregon venture capital ecosystem since its launch in 2020. Rao-Potlapally recently noted that the fund’s ability to create a catalytic environment for more women of color to be included in capital allocation is a huge driver of her passion and commitment to this fund’s success.
The federally-funded SSBCI program has allocated $1.5 billion for business enterprises owned and controlled by socially and economically disadvantaged individuals, recognizing that these potential founders have faced barriers to access the capital, markets and networks needed to grow their businesses. The goal of the program is to promote equity, catalyze private investment, and fuel economic growth nationwide. Oregon’s 2022 SSBCI allocation is roughly $83.5 million.
Recently The BFM Fund announced that it would receive a sizable portion of Bank of America’s newest financial investment from its $1.25 billion commitment to advance racial equality and economic opportunity. Led by Bank of America’s review and due diligence teams, the arduous selection process required a comprehensive review of The BFM Fund’s legal, financial, thesis documentation, and standing. The BFM Fund joins an impressive and growing roster of more than 100 BIPOC, women-owned and LGBTQ+ funds hand-selected by Bank of America since 2022.
“I’m incredibly proud of the work that The BFM Fund is doing. The recent investments from Bank of America and OCF are a testament to the current and potential impacts of the Fund,” said Chris Magana, President of IMS Capital Management and Limited Partner Advisory Committee (LPAC) member for The BFM Fund. “I have no doubt that with this additional support, The BFM Fund will achieve its goal to transform venture capital into a more inclusive space. Diversifying VC benefits us all, period.”
The BFM Fund is actively re-imaging the face of successful entrepreneurs and venture capitalists. If you’re interested in learning more or finding ways to partner, please send inquiries to [email protected]
About The BFM Fund (Black Founders Matter)
The BFM Fund functions as a seed-stage venture investment fund, routinely investing in Black and innovative founders who create startups based in the United States. The fund is returns-focused and seeks scalable ventures across multiple verticals and industries between the Series Seed and Series A life-stage. Beyond capital, The BFM Fund partners with industry-specific lead firms in the Series Seed to Series C stage to help its portfolio companies scale efficiently.
To learn more about The BFM Fund, please visit www.bfm.fund or connect with us on Linkedin (@bfmfund). Any inquiries can be sent to [email protected].
About Oregon Community Foundation
Oregon Community Foundation (OCF) was founded in 1973 with a big mission: to improve the lives of all Oregonians through the power of philanthropy. In partnership with donors and volunteers, OCF works to strengthen communities in every county in Oregon through research, grantmaking and scholarships. In 2022, OCF distributed more than $180 million, supporting 3,500 grantees and awarding more than 3,000 scholarships. With OCF, individuals, families, businesses, and organizations create charitable funds that meet the needs of diverse communities statewide. 2023 marks OCF’s 50th anniversary. Since its founding, OCF has distributed more than $2.2 billion in community investments, including grants to 10,850 nonprofits and 53,375 scholarships to students. Individuals, families, businesses and organizations can work with OCF to create charitable funds to support causes important to them.
To learn more, please visit: oregoncf.org
SOURCE The BFM Fund (Black Founders Matter Fund)
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