Salary Finance Secures $150 Million from Community Investment Management to Help Working Americans Move From Debt to Savings
BOSTON--(BUSINESS WIRE)--Mar 18, 2021--
Salary Finance, the leading global provider of financial education and salary-linked benefits for employees, announced a new round of funding today from Community Investment Management (CIM). The investment of $150 million over the next three years will be used to help fund low-cost loans for working Americans struggling with financial stress.
“Americans are facing unprecedented financial stress due to COVID-19 and the worst economic recession since the Great Depression,” Dan Macklin, CEO, Salary Finance Inc., said. “Many don’t have enough money to make ends meet. The federal government is providing relief, but it’s not enough for those who have lost income or had family members lose their jobs. Working with progressive employers who empathize with the financial stresses facing their employees, we are committed to getting millions of Americans out of debt and into savings and helping those communities that so desperately need financial assistance.”
CIM is an institutional impact investment firm that provides strategic debt funding to demonstrate and scale responsible innovation in lending to underserved communities. Founded in 2014, the firm’s mission is to advance financial inclusion, promote economic development and drive widespread adoption of such responsible innovation by the financial mainstream.
“We are so pleased to announce this funding from CIM, which enables us to provide affordable credit to thousands more employees and further validates our unique payroll deduction model,” Macklin said.
In Salary Finance’s most recent survey, two-thirds of American workers are experiencing financial stress. That stress often manifests itself in physical and mental illness: nearly three-quarters of American workers who experience financial stress have physical symptoms and they are seven times more likely to suffer from depression.
The financial disparity experienced by underserved communities is also staggering. According to Pew Research, half of Black households do not have an emergency fund and nearly half of Black and Latinx individuals struggle paying monthly bills.
“We applaud Salary Finance’s dedication to improving the financial health of American workers -- particularly those who are historically underserved -- and their efforts to partner with companies seeking to help their employees cope with financial issues. The affordable, fair and transparent capital Salary Finance offers is a lifeline that can reduce employee financial stress and, ultimately, build the resilience of our communities,” said Jacob Haar, Managing Partner of CIM. “We are looking forward to this partnership and what we can achieve together.”
About Salary Finance
Founded in 2015, Salary Finance is an award-winning organization that partners with employers to offer financial wellness solutions that help employees be financially healthier and happier. A company underpinned by a social purpose, we’re driven by an ambitious mission in the US: to help 10 million Americans out of debt and into savings. Salary Finance is a United Way Worldwide corporate partner and works with over 600 of the world’s leading employers. Salary Finance is a Founding Member of Conscious Capitalism’s Senior Leader Network, and a member of the American FinTech Council. To learn more, please visit www.salaryfinance.com/us.
About Community Investment Management
Community Investment Management (CIM) is an institutional impact investment firm that provides strategic debt funding to demonstrate and scale responsible innovation in lending to underserved communities. We believe that responsible financial inclusion for the underserved is critical to equitable economic growth, job creation and retention, and the health and sustainability of local communities. More information is available at http://www.cim-llc.com.
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SOURCE: Salary Finance
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PUB: 03/18/2021 09:02 AM/DISC: 03/18/2021 09:02 AM