Everytable

Guarantee Use Case:

The Problem: Entrepreneurs from low-income communities have difficulty qualifying for financing in Everytable’s retail franchise model due to a lack of financial resources and prior business experience. As a result, Everytable, a prepared meal distribution company focused on providing healthy, affordable fresh meals in retail formats, has struggled to meet its goals of expanding locations in low-income areas and offering wealth building opportunities to emerging entrepreneurs.

Proposed Lender Solution: Reinvestment Fund, a CDFI with specialty in healthy foods financing, led a mission-lender syndicate to create flexible and affordable loan products in concert with the Everytable’s food retail franchise training and mentoring program. Individual loans are up to $305,000 and offer 100% coverage of startup costs, allowing entrepreneurs to purchase and begin operating an Everytable location with no material upfront costs.

The Credit Gap: The second loss guarantee of 20% from CIGP provides a critical risk mitigant for Reinvestment Fund and its participating lenders, as the start-up nature of Everytable’s franchisee borrowers and the complexity of its business model collectively present a heightened risk profile relative to Reinvestment Fund’s typical financings.

Expected Impact:

• Expected Loan Deployment ($): $16 million
• Actual Loan Deployment ($): $8 million

Indirect Impact:

This program enhanced by CIGP provides wealth building opportunities for entrepreneurs from low-income communities by offering 100% financing for startup costs, and a waiver of credit checks and minimum income levels for prospective franchisees. The program also offers a $40,000 guaranteed minimum salary for franchise owners.

Everytable sources approximately 25% of its resources from local and sustainable vendors.

The location of Everytable franchises in low-income communities offers up to 10,000 residents access to healthy affordable food per store.