Loan Products

We lend to non-profit and to for-profit, mission driven organizations that promote economic justice and opportunity for low income people and communities. Our goal is to provide flexible debt capital that can be used for project or programmatic needs. 

For borrowers working domestically, PCG will partner with one or more mission-driven lending institutions to provide project financing. For international borrowers, PCG can provide direct financing. 

Loan Product Information

  • Direct Loan Limit: $50,000-$750,000
  • PCG Participation or Syndication Lending Limit: $750,000
  • Total Participation or Syndication Loan Limit: Unlimited
  • Term: Generally one (1) year up to five (5) years maximum. 
  • Interest Rates: Will vary based on a borrower's credit history, term requested, loan risk profile, market conditions, and our prevailing cost of capital.
  • Loan-to-Value Ratio (LTV):  Maximum LTV is generally 90%.
  • Structure:  Senior or subordinated debt, participation or co-lending instruments, and/or certificates of deposit.  Final loan structure is based on specific borrower or project needs.
  • Repayment Terms: Loans typically structured as fully amortizing, but can be non-amortizing based on borrower needs and PCG's available loan capital.
  • Collateral:  Required for all loans, but is flexible and varies by project type and borrower needs.
  • Fees:  Non-refundable loan commitment fee equal to 1.5% of total loan amount, plus applicable credit report, title, search, wire transfer, and filing fees. A one-time syndication fee is applicable for multi-lender transactions.
  • Technical Assistance Services: We provide individualized technical assistance to our borrowers and prospective borrowers.  The nature of the technical assistance services is based on the needs of each borrower and may include business plan review, financial systems review, and capacity assessments and recommendations.
  • International loans: Up to 20% of our lending portfolio. Loans are provided, and are to be repaid, in U.S. dollars only.

 

International Loans

Since the founding of the first PCG fund in 1989, we have had a deep commitment to alleviating poverty abroad. We dedicate a portion of our loan portfolio (up to 20%) to promoting microfinance and entrepreneurs in developing countries. By lending to organizations that provide small loans to the poor to help them start micro enterprises or engage in productive agricultural activities, we have enabled our investors to have far reaching impact.

We lend to international development organizations and microfinance institutions that provide access to capital to women and other at-risk populations. We also support fair trade organizations and innovative investment vehicles with the potential to systemically expand the pool of capital available in the microfinance industry.