Citibank today unveiled a $150M fund to invest in "double bottom line" companies that are committed to workforce development, sustainability, physical/social infrastructure (ways to improve housing, healthcare and transportation issues) and financial capability (solutions to improve access to the financial system).
The Citi Impact Fund is the largest such fund launched by a bank using its own capital. The bank will make individual investments of $3M to $4M in companies that have demonstrated proof of concept, built a customer base, secured earlier funding and exhibit the ability to scale.
The funding will be allocated exclusively to businesses led or owned by women and minorities.
“The gender and ethnic gap in the startup world is very real, with reports showing a small fraction of venture capital funding being allocated to women and minority owned startups,” Ed Skyler, executive VP-global PA said in a statement. “Our intention is to not only help these businesses scale and thrive but to also shine a light on the investment opportunities among this pool of often overlooked, high potential entrepreneurs.”