Community Development
Prism Capital was licensed by the U.S. Small Business Administration to manage two Small Business Investment Companies (SBICs) and sought competitive returns for our investors by underwriting credit and equity investments in small businesses.
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 was 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 was also extended through Stephen Vivian, who served as the Chairman of NASBIC (now SBIA), and also testified before Congress regarding the program.
Prism Capital was the fifth group in the country to be granted both participating securities and debenture SBIC licenses. Prism Opportunity Fund invested its capital in the Midwest in 10 of its fourteen transactions, and five out of fourteen were in Illinois.