Prism Mezzanine Fund is focused on and committed to Community Development (CD) as a core component of its mandate. We are licensed as a Debenture SBIC by the U.S. Small Business Administration and seek to generate competitive returns for our investors by underwriting credit and investing in and enhancing the value of small businesses. These businesses, which often have difficulty accessing vital growth capital through traditional channels, are the lifeblood of the American economy, and present, in our opinion, superior investment opportunities. As a result, we invested between $2 to $7 million in exceptional Midwest based Industrial companies. This strategy has delivered superior returns to our investors while simultaneously benefiting the community through job creation and increased tax revenue.
In October 1999, The Prism Opportunity Fund received formal approval from the U.S. Small Business Administration for licensing as an SBIC. In September of 2003, Prism Mezzanine Fund received its approval. Each fund is a qualifying community development investment under the Community Reinvestment Act (CRA) for regulated financial institutions. The designation recognizes management expertise and the potential benefits of our approach to a broad community development agenda.
Prism’s Managing Partner, Robert Finkel, was selected to testify before the House Small Business Committee in Washington, DC representing all SBIC’s to reauthorize the SBIC program, which occurs every three years. Prism’s involvement in SBIC advocacy is also extended through Stephen Vivian, who recently served as the Chairman of NASBIC
Prism Capital is the fifth group in the country to be granted both participating securities and debenture SBIC licenses. Prism Opportunity Fund has invested its capital in the Midwest in 10 of its fourteen transactions, and five out of fourteen are in Illinois.