NEW ORLEANS/ST. LOUIS — Advantage Capital, headquartered in New Orleans and St. Louis, announced a $40 million allocation award in the federal New Markets Tax Credit program. Administered by the U.S. Department of the Treasury’s Community Development Financial Institutions Fund, the program seeks to attract private investment to bring development and economic growth to distressed communities.
Advantage Capital is one of 102 organizations selected from a pool of 197 nationwide applicants to receive an allocation.
“For more than 20 years, the NMTC program has been central to our double bottom-line investment approach and founding mission to bring businesses, jobs and technologies to communities that have historically lacked access to investment capital, while producing competitive returns for our investors,” said Steven Stull, president, Advantage Capital. “We are honored to receive another allocation to enable our work in these communities and invest in entrepreneurs that are building the businesses that drive local economic growth.”
Advantage Capital has helped create more than 37,000 permanent jobs in low-income communities across the nation with average wages of more than $50,000 a year through its participation in the program.
“The New Markets Tax Credit plays a critical role in financing many vital businesses and community projects in our nation’s low-income communities,” said Assistant Secretary for Financial Institutions Graham Steele in a release issued by the CDFI fund. “The investments that will result from [Friday’s] announcement will help preserve and create hundreds of thousands of jobs and spur economic growth in these urban, rural, and Tribal communities across our country. It is important that Congress sustains these investments by making the New Markets Tax Credit permanent.
This announcement by the CDFI brings the total amount awarded through the NMTC program to $76 billion.
“The New Markets Tax Credit Program supports Louisiana entrepreneurs and small businesses revitalizing communities throughout our state,” said U.S. Sen. Bill Cassidy. “Congratulations to Advantage Capital and the other successful New Orleans-based funds on their awards.”
“For more than 20 years, the New Markets Tax Credit has catalyzed needed investment into the nation’s low-income rural and urban communities, which have a long history of disinvestment. It has created jobs, helped build businesses, and is a pivotal force in helping these communities not just recover but to grow stronger,” said CDFI Fund Acting Director Marcia Sigal.
