Social Finance Impact First Fund Announces New Investment in RuralWorks to Address Capital Gaps for Sustainable Businesses in Rural America

Investment from the Social Finance Impact First Fund will provide essential capital to create jobs and promote sustainability 

(Boston, MA)—Today, Social Finance, the national nonprofit and registered investment advisor, announced a $2.5 million investment in RuralWorks through the Social Finance Impact First Fund, a one-stop solution for investing in funds that prioritize social and environmental impact. RuralWorks is an impact fund that provides essential growth capital to commercially viable, for-profit businesses that create quality jobs and opportunity in rural communities as well as goods and services that address climate change. 

As the wealth and opportunity gap expands in rural America, rural businesses struggle to stay afloat, facing significant capital gaps. Only 1.5% of venture capital dollars go to rural businesses and over 73% of rural business owners report that a lack of economic opportunity is driving people to seek opportunities elsewhere. By providing much needed growth capital to small- to mid-sized businesses, RuralWorks supports businesses that create quality job opportunities while also addressing the climate crisis. 

“The Social Finance Impact First Fund helps investors channel philanthropic capital into compelling opportunities for impact. This new investment in RuralWorks, an organization focused on closing the capital gap for rural businesses, is an exciting addition to our portfolio for individuals, donor-advised funds, and foundations pursuing impact-first investing,” said Kirstin Hill, President & COO of Social Finance. “By creating jobs in environmentally sustainable businesses, RuralWorks aims to contribute to a more prosperous and equitable future.”

By creatively engaging a range of local and national resources and partners, RuralWorks aligns its investments with sustainable practices while creating outcomes rooted in local people, places, and businesses. RuralWorks has already helped several rural businesses scale their operations, including TimberHP and American Unagi. TimberHP, the first U.S. producer of carbon negative wood fiber insulation products, has created quality jobs in an economically distressed community in rural Maine. American Unagi is the first domestic eel farm in the United States, working to create quality jobs in rural Maine while reducing the carbon emissions associated with traditional eel farming practices. RuralWorks has enabled both portfolio companies to continue to grow their impact by providing hard-to-access, flexible capital. 

“At RuralWorks, our mission is to bridge the capital gap in rural America by investing in scalable rural businesses that generate community wealth and resilience,” said Louisa Schibli, Director of Impact and Engagement at RuralWorks. “This investment from the Social Finance Impact First Fund enables us to continue supporting small- and mid-sized enterprises that are the backbone of our rural communities, ensuring they not only survive but thrive while creating quality jobs and addressing climate change in the process.”

RuralWorks is the third investment made by the Social Finance Impact First Fund. It will be the Fund’s first rural-focused investment, reflecting Social Finance’s mission to address many issue areas through impact-first investing. Launched in July of 2023, the Impact First Fund provides a holistic, diversified portfolio of catalytic investments for individuals and institutions looking for a straightforward and efficient way to pursue impact-first investment opportunities that support meaningful and measurable change for people and the planet. 

“Through the Social Finance Impact First Fund, our team has strategically focused on investments that prioritize measurable impact while targeting a modest financial return,” said Stephen Vicinelli, Vice President, Impact Investments at Social Finance. “Investing in RuralWorks allows us to extend the Fund’s reach into rural America, supporting businesses that drive economic resilience and sustainable practices.” 

RuralWorks is also one of 13 active equity investment funds to be licensed by the United States Department of Agriculture (USDA) as a Rural Investment Business Company (RBIC). Funds with RBIC status are recognized for promoting economic development and wealth building opportunities by investing equity capital into rural areas. 

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About Social Finance 

Social Finance (SF Advisors, LLC) is a national nonprofit and registered investment advisor. We work with the public, private, and social sectors to create partnerships and investments that measurably improve lives. Our Impact Investment team designs, launches, and manages impact-first investments. Our Advisory team partners with government and philanthropy leaders to implement data-driven programs for social impact. And through the Social Finance Institute, we aim to build the field and change systems through actionable research, communities of practice, and educational outreach. Since our founding in 2011, we have mobilized more than $400 million in new investments designed to help people and communities realize improved outcomes in workforce and economic mobility, health, and housing. Learn more at socialfinance.org. 

About RuralWorks 

RuralWorks Partners, a joint venture between Community Reinvestment Fund, USA (CRF) and Conduit Capital U.S., Inc, is an impact investment firm that delivers much needed growth capital to rural businesses that are doing their part to protect our planet and generate community wealth and economic resilience. By investing in ready-to-scale rural businesses that create quality jobs and protect the environment, either by demonstrating a commitment to environmentally sustainable business practices or by providing solutions that address climate change or other environmental challenges, RuralWorks delivers meaningful impact to both underserved rural communities and the environment. Learn more about RuralWorks at www.ruralworkspartners.com.