PenFed Foundation launches entrepreneur program
The PenFed Foundation announced Thursday the launch of a Veteran Entrepreneur Investment Program (VEIP).
The program will provide veteran-owned startups with seed capital to build and grow their businesses and network. The fund also will allow the PenFed Foundation to re-invest in future veteran-owned businesses.
“Approximately 200,000 veterans leave active duty each year, and 25 percent of them plan to start their own business. There is no shortage of talent or ideas, just capital and a powerful network of support,” James Schenck, president and CEO of PenFed Credit Union, said in a statement.
The VEIP will be funded by outside donors with PenFed Credit Union matching up to $1 million in contributions in 2018 to the foundation in order to launch this program.
VEIP plans to invest in three to five selected businesses a year. Returns on all investments will go back into the program to support future veteran-owned business ventures.
The VEIP marks a significant new area of focus for the PenFed Foundation, which was created in 2001. Since that time, the foundation has provided more than $30 million in financial support to veterans, active duty service members, families and caregivers. Its key programs include:
- Emergency financial assistance for veterans with disabilities
- Caregiver assistance, such as childcare or educational assistance
- Homeownership grants for low- to moderate-income veterans and service members to purchase their first home
- Interest-free microloans for service members and reservists to combat and provide alternatives to predatory lending