Flexible Capital Fund

What is Flexible Capital Fund?

The Flexible Capital Fund, L3C, known as Flex Fund, is a Vermont-based investment fund that provides creative financing solutions to support and grow the state's green economy. Operating since 2011, the Flex Fund focuses on investments in growth-stage companies operating within Vermont's sustainable agriculture and food systems, forest products, renewable energy, clean technology, and other sectors related to the use of natural resources.

They are dedicated to filling gaps or strengthening supply chains in these industries. As a socially responsible lender, they offer near equity capital in the form of subordinated debt and royalty financing, a unique approach in Vermont as they are the only licensed lender to offer this type of financing in the state.

Beyond financial support, the Flex Fund also serves as a Community Development Financial Institution (CDFI) lender, which allows them to offer advisory services and development resources to aid in the expansion of their portfolio companies.

Their investments are designed to not only foster growth within these enterprises but also to contribute to the creation of quality jobs, sustainable products, and services, all while emphasizing the importance of maintaining businesses within Vermont. Their ultimate goal is to support businesses that can hasten the transition to a healthier food system, promote renewable energy usage, and develop solutions to combat climate change.

The Flex Fund was initiated by the Vermont Sustainable Jobs Fund, a non-profit organization that seeks to expedite the development of Vermont's green economy. The fund's investment philosophy is centered on making a significant impact in the local economy by aiding businesses that are poised to enhance existing markets throughout the value chain for the current and future generations.