Program Related Investments fund a wide variety of projects in many fields of activity, including but not limited to affordable housing, community development, cultural organizations, disaster relief, economic development including entrepreneurship and micro-business, social services, open spaces and wildlife habitat protection. Recipients have used PRIs as bridge loans and loan guarantees to acquire property, construct facilities, reach scale, create jobs, develop products or services or approach self-sufficiency through earned income strategies.
There is no defined minimum or maximum amount that a PRI seeker may request. Historically, amounts have ranged in size from $75,000 to $4,000,000. The bulk of MMT's PRIs have ranged from $100,000 to $500,000. Proposals should be strategic, reflect the organization's mission and capabilities and include clear outcomes and a credible plan for repayment. Applicants are advised to visit our Help Desk and to read Frequently Asked Questions and see What We Look For in PRIs. In addition, it might be useful to see a list of PRIs we've funded in the past in our Awards Database.
In reviewing PRI applications, we use many of the criteria of our Responsive Grants program. In addition, we spend considerable time reviewing:
- The PRI's alignment with the organization's overall strategic or business plan
- The organization's financial strength
- If the board and staff have proven skills in managing debt and cash
- The suitability of a PRI as a financing tool for the project
- The PRI's ability to leverage other sources of capital
- Multi-year income and expense projections indicating that the PRI can be repaid
- Sources of collateral and secondary sources of repayment
MMT Program Related Investments are not used for:
- Direct grants, scholarships, or loans to individuals
- General fund drives, annual appeals, special events, or sponsorships
- Elimination of operating deficits
- Projects of sectarian or religious organizations that principally benefit their own members or adherents
- Direct replacement funding for activities previously supported by federal, state, or local public sources
- Animal welfare organizations
- Animal-assisted therapy
- Projects that primarily benefit students of a single K-12 school, other than an independent alternative school serving low-income and/or special needs populations
- MMT funds cannot be earmarked for purposes of influencing legislation, and the grantee cannot expend any part of the grant in a way that violates its tax-exempt status
It is important for PRI applicants to understand that because the PRI is a loan, there is a promissory note with covenants requiring your organization to maintain administrative, program and fiscal stability. Should MMT request a full proposal from your organization, we would discuss these requirements in detail as part of our due diligence.