The Community Development Financial Institutions (CDFI) Fund of the U.S. Department of Treasury recently selected Enterprise Financial CDE, LLC (EFCDE), the subsidiary of Enterprise Financial Services Corp (NASDAQ: EFSC), to receive a $60 million allocation of New Markets Tax Credits (NMTC). These tax credits provide critical financing for community development projects and qualified businesses located in low-income and underserved communities.
The CDFI Fund, a division of the U.S. Department of the Treasury, stimulates economic revitalization and community development in low-income communities through programs such as the highly competitive NMTC program, which for two decades has worked to attract private sector capital into the most economically distressed and underserved communities across the country.
“We look forward to the next step of our allocation award, which is collaborating with community leaders to select the deserving projects that receive this subsidized funding,” said EFCDE Executive Director Abby Kepple. “This allocation allows our CDE to build on the impact of what has already been accomplished using this uniquely beneficial economic development program, and to continue making a lasting impact on our small businesses, organizations and underserved metro and rural communities.”
This is the sixth NMTC allocation awarded to EFCDE and brings the total amount of those allocations to $303 million. To date, those tax credits have funded 56 high-impact projects throughout Enterprise’s footprint, created and retained more than 9,900 quality jobs and brought essential community services to more than 77,000 underserved residents during a decade of economic change.
Established by Congress in December 2000, the New Markets Tax Credit program helps economically distressed communities attract private investment capital by providing investors with a federal tax credit. Investments made through the New Markets Tax Credit program reverse the disinvestment of underserved low-income communities, with powerful results. According to the CDFI Fund, the NMTC program spurs $8 of private investment for every $1 invested.
To learn more about EFCDE and its NMTC program, visit enterprisebank.com/business/new-markets-tax-credit. For more information about Enterprise’s work in our communities, read our annual Community Impact Report, available at enterprisebank.com/impact.
About Enterprise Financial CDE
EFCDE operates under a national service area with primary focus across the states of Arizona, California, Illinois, Kansas, Missouri, Nevada, Texas, New Mexico and contiguous states. As a community development entity, EFCDE invests in small businesses that stimulate job creation and economic development across highly distressed communities and community facilities that improve quality of life for underserved populations.
EFCDE’s affiliate is a commercial bank, Enterprise Bank & Trust, a growing financial services partner focused on guiding people to a lifetime of financial success. The controlling entity of both subsidiaries, Enterprise Financial Services Corp, representing approximately $13.9 billion in assets, is a financial holding company headquartered in Clayton, Missouri. Additional information is available at www.enterprisebank.com.
About Enterprise Bank & Trust
Enterprise Bank & Trust is a growing financial services partner focused on guiding people to a lifetime of financial success. We empower privately held businesses to succeed, helping families to secure their financial futures, and invest to advance the quality of life for the communities we serve. Enterprise is built on trusted, personal relationships and offers a range of business and personal banking services, wealth management services and a variety of specialized banking services. Enterprise Financial Services Corp (NASDAQ: EFSC), with approximately $13.9 billion in assets, is a financial holding company headquartered in Clayton, Missouri. Ranked No. 3 on Forbes’ America’s Best Banks 2023 list, Enterprise Bank & Trust operates more than 40 branch offices in Arizona, California, Kansas, Missouri, Nevada and New Mexico, and SBA loan and deposit production offices throughout the country. Additional information is available at www.enterprisebank.com. Member FDIC.