COMMUNITY FUNDING

GOT 15 MINUTES AND A QUESTION - GIVE ME A CALL

I recognize that many readers of this newsletter have questions about funding and are not sure where to turn. I am available for 15-minute phone calls about your funding questions without charge, subject to my schedule and availability. You may request a call or video conference by sending me an email at [email protected]. Please suggest dates and times when you are available, and I will schedule a call.

QUICK CALENDAR

TOMORROW, December 18 – Don Cohen show – 9 am Mountain Time/ 10 am Eastern Time

Thursday, January 16th – Motivated Money Method for Raising Funding workshop – 9 am to 1 pm Mountain Time / 11 am to 3 pm Eastern Time

CHANGES IN INSTANT FUNDING NEWSLETTER TOPIC SELECTION

To provide richer information on funding, topics in the Funding Point will follow this selection structure:

·?????? Monday – Funding by Industry

·?????? Tuesday – Community Funding

·?????? Wednesday – Finding Best Investor (FBI) Profiling

·?????? Thursday – Crafting Offers

·?????? Friday – Overcoming Challenges

?With this approach, it is intended to take a deeper dive into each topic with more insights, references and examples.

?If you have a topic you would like to see presented in an upcoming Instant Funding newsletter, please let me know: [email protected]

?MOTIVATED MONEY METHOD OF RAISING FUNDING WORKSHOP

I will present a half-day workshop on January 16 on my Motivated Money Method for raising funding.

Discover how to secure funding more effectively and efficiently with Karl Dakin, The Capital Coach, in the?Motivated Money Method of Raising Funding?workshop. Designed for entrepreneurs, small business owners, community leaders, charities, service providers, and economic developers, this workshop teaches the essentials of identifying and targeting investor candidates most likely to invest based on their self-interest.

Learn the proven techniques developed from Karl’s 45 years of experience raising capital for startups, small businesses, community projects, and nonprofits. By pinpointing the right investors, you’ll craft compelling investment offerings, create strategic campaign plans, and execute them with precision—saving time and reducing costs.

If you’re ready to elevate your fundraising approach, gain invaluable insights, and maximize your capital-raising potential, this workshop is for you! Don’t miss this opportunity to learn from a seasoned expert and transform your funding strategy.

In addition to the workshop, I have added a one-half-hour consultation with me as part of the package -? a $200 value.

Standard Fee: $500

Readers of this Instant Funding newsletter qualify for a discount price of $400.

In considering the price of this workshop, ask yourself how much is the value of your time per hour and how many hours of time do you need to gain from attending the workshop to make it a good investment of your time?

Use Discount Code: FundingFan2025??????

THE DISCOUNT ENDS ON DECEMBER 31ST!

NINE DAYS TILL CHRISTMAS, 15 DAYS TILL DISCOUNT ENDS

You may register at: https://dakincapital.com/Events

FUNDING HAPPENINGS

Information on the federal government’s SBIR and STTR programs will be presented online at the 2025 Virtual Road Tour on February 11-13. This is a free online event to connect entrepreneurs across the nation working on advanced technologies and the organizations that support them to America’s Seed Fund, the country’s largest source of early-stage funding. REGISTER

?ASK CAP

CAP, my artificial intelligence (AI) avatar, is available on my website 24/7/365 to answer your questions for free on matters related to funding.

?I developed CAP with a license from Knowledge Avatars to answer frequent questions about funding and save myself time to answer the harder questions.

?https://dakincapital.com/CAP

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If you would like an AI avatar to assist you in running your business or organization, reach out to @Emiliano De Laurentiis at Knowledge Avatars and discuss how reasonable the pricing is for this valuable tool. [email protected]

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I asked CAP,

“What is community funding and where does it come from?”

CAP responded:

“Community funding is a method of raising capital where individuals collectively invest in a project or venture, often through platforms like crowdfunding websites.

It typically comes from a large number of people contributing small amounts of money, which can be sourced from local networks, online communities, or social media platforms.

?This approach relies on engaging and mobilizing a community to support initiatives they believe in.”?

?FUNDING POINT – COMMUNITY FUNDING

I am working to advance my knowledge, skills, and services in helping communities raise funding, which will become an additional area of specialization.

Although I have been involved in funding campaigns for hundreds of businesses, charities, and community projects, I realized that I was approaching these capital campaigns from the standpoint of a single entity, whereas community funding should look at funding from the standpoint of an ecosystem with multiple entities.

When I asked CAP (see above) to define community funding and its sources, the answer was unexpected. CAP described community funding as a collective effort with money coming from many investors. However, this is only one form of community funding and demonstrates that often certain words, like community funding, have been commonly used over a long period. This results in different definitions and expectations. To advance understanding and implementation, it is necessary to refine the definition. Since mandating everyone take out their dictionaries and pencil in a new definition is impossible, it will be required to come up with new terms or break out classes and types of community funding since the term has become too generic.

My interest in community funding is directed at bringing new capital into a community through the establishment of a fund. Rather than attempting to create a comprehensive compendium of all things community capital, my focus will be limited to a community fund for individual communities. I will compare and contrast with other types of community funding as needed.

The characteristics of the community fund I have in mind are as follows:

·?????? Funding will be directed to a single community which may be defined as different than a specific geographic area

·?????? Funding will be used to invest in multiple projects – both real estate and businesses

·?????? Investments may take many forms, but must include the ability to make equity investments

·?????? Funding may come from multiple sources, but must include the ability of residents to invest in the fund

·?????? Investment into the fund may take many forms, but must include the ability of an investor to build wealth as a consequence of the investment

·?????? Funding from investors outside of the community with incentives or paybacks great enough to cause the investment

·?????? Sustainable economic model so that earned revenue is sufficient to rollover money from one set of investments into another, preferably with profits or surplus that enable the fund to grow over time

·?????? Permitted to team with other funding sources to create a capital stack that, in the aggregate, represents a lower price of money and has access to capital at different stages in the development of real estate or businesses

?This definition of a community investment fund ?would not include:

·?????? An investment crowdfunding campaign to fund a single business

·?????? United Way or other foundations that raise and deploy money in the form of grants

·?????? A government program that provides only funding in the form of debt financing

?This framing of a community investment fund excludes many types and sources of community funding. It also remains robust enough to allow for many ways to raise and deploy funding to enable fit to the community.

?COMMUNITY FUNDING RESOURCES

Diversified Investment Community Fund model developed by the National Coalition for Community Capital

Council for Development Finance Agencies

International Economic Development Council

Community Development Financial Institutions Fund

?State and local economic development agencies (keyword search economic development and city, state or region)

Other sources may include:

Federal funding opportunities can be explored through?Grants.gov?which lists various grant programs available for diverse purposes across the U.S.??

The?Community Development Block Grant (CDBG) Program?provides annual grants to urban communities for housing and infrastructural improvements for low- and moderate-income persons.??

Community Facilities Direct Loan & Grant Program?supports rural areas by funding essential community service facilities, aiding eligible organizations in development projects.??

Private and nonprofit sector contributions can be pursued through?Candid's Funding Information Network, which offers resources to find various grant-makers and their funding opportunities.??

? grants.gov/learn-grants/grant-programs.html

? hud.gov/program_offices/comm_planning/cdbg

? rd.usda.gov/programs-services/community-faci…

? stlouisfed.org/community-development/how-to-…

?To effectively approach private funding sources for development, consider the following steps:

1.??????? Identify Potential Funders

2.??????? Research foundations, corporations, and individual donors who align with your project's mission and goals.

3.??????? Build Relationships

4.??????? Network with potential funders and stakeholders through meetings, events, and community gatherings. Establishing a personal connection can enhance your credibility and increase interest in your project.

5.??????? Craft a Compelling Proposal

6.??????? Create a detailed funding proposal that outlines:

·??????? The project's objectives and impact

·??????? Budgetary needs

·??????? Expected outcomes and benefits for the community

·??????? A clear timeline and plan for accountability.

·??????? Demonstrate Community Support

·??????? Show evidence of community backing for your project through:

·??????? Letters of support from local leaders or organizations

·??????? Survey results or petitions indicating community interest.

·??????? Follow Up and Engage

After submitting proposals, follow up with potential funders. Keep them updated on project progress and express gratitude for their consideration, regardless of the outcome.

?SUCCESSFUL FUNDING SHOW

?THIS MORNING, Rick Janson was my guest on the Successful Funding show. We discussed funding of AI businesses. Rick has launched two AI businesses where he has developed prototypes, and he is moving through the development process towards commercially ready products. The discussion included a number of the common challenges for any new business based on technical innovation. We then explored actions Rick is taking or may consider to make himself stand out from all of the other AI businesses by leveraging his knowledge and reputation within the real estate industry to build credibility and working to find those investor candidates who are most motivated to invest now when Rick’s companies are pre-MVP (most viable product) and pre-revenue. This discussion pointed to investor candidates who had already decided to use avatars in their businesses but recognized that Rick’s AI could shortcut access to a viable product/service without their longer runway to such an outcome through their own research and development efforts.

?You may view the recording at:

?https://www.dhirubhai.net/events/successfulfunding-rickjanson-fu7272283784228564992/theater/?

Motivated Money Method of Raising Funds Workshop

Standard Fee: $500

Viewers of Successful Funding qualify for a discount price of $400

Use Discount Code: FundingFan2025?????

?THE DISCOUNT ENDS ON DECEMBER 31ST!

You may register at: https://dakincapital.com/Events

DON COHEN SHOW

TOMORROW, WEDNESDAY, December 18, I will be a guest on Donald Cohen ’s Show on Business Development and Funding at 9 am Mountain Time / 11 am Eastern Time. We will continue our series of conversations about how businesses should conduct themselves to grow, get funded and to succeed.

?You may watch the show live or view the recording at:

?https://www.dhirubhai.net/events/businessdevelopment-fundingeven7271926282408329216/theater/?

LAST WEDNESDAY, I was a guest on @Don Cohen’s show. We discussed business development. As this topic is explored each week from a different perspective, we discuss what works and why in attracting new business and funding.

If you would like to view the recording.

https://www.dhirubhai.net/events/businessdevelopment-fundingeven7271926282408329216/theater/

SUBSCRIBE

You may subscribe to this Weekly edition of my Instant Funding newsletter, or you may subscribe to my Daily edition.

Last week, I began limiting my daily edition of this Instant Funding newsletter to five days a week – Monday through Friday.

In addition, the weekly edition of this Instant Funding newsletter, representing a compilation of every day during the week, will hereafter be published on Fridays.

Subscribe on LinkedIn https://www.dhirubhai.net/build-relation/newsletter-follow?entityUrn=7136372056836734976?

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Karl Dakin, the Capital Coach

Dakin Capital LLC

[email protected]

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