Beneficial State Bank
Beneficial State Bank, formerly One PacificCoast Bank, is a state chartered bank headquartered in Oakland, California with branches in California, Oregon and Washington. Founded in 2007, Beneficial State is a new kind of bank that offers customers the tools they need to build something beautiful. The bank’s commercial loans, transactional services and financial assistance are designed to serve businesses and nonprofits that are committed to building prosperity for our local communities and our environment, as well as individuals and families in need. A certified B Corporation, Beneficial State’s ownership structure is truly unique to the banking Industry; the bank is owned by a nonprofit organization, Beneficial State Foundation. When profits of the Bank are distributed, they can only be distributed to the Foundation, which is mandated to reinvest those proceeds back into the low-income communities we serve and environment upon which we depend.
Congress created the Paycheck Protection Program in March 2020 as an emergency stopgap for what lawmakers expected to be a few months of sharp economic disruption. But as the pandemic raged on, the program — which made its first loans one year ago this past week — has turned into the largest small-business support program in American history, sending $734 billion in forgivable loans to struggling companies. The program helped nearly seven million businesses retain workers. But it has also been plagued by complex, changing rules at every stage of its existence. And one year in, it has become clear that the program's hasty rollout and design hurt some of the most vulnerable businesses. A New York Times analysis of data from several sources — including the Small Business Administration, which is managing the loan program — and interviews with dozens of small businesses and bankers show that Black- and other minority-owned businesses were disproportionately underserved by the relief effort, often because they lacked the connections to get access to the aid or were rejected because of the program's rules. Southern Bancorp and Beneficial State Bank are mentioned.
In its largest award round to date, the U.S. Treasury Department's Community Development Financial Institutions (CDFI) Fund announced Feb. 22 that more than $175.4 million in Capital Magnet Fund awards (CMF) have been distributed during its sixth funding round. The fiscal year (FY) 2020 award round also saw the largest number of award recipients with 48 organizations receiving funds. The 48 awardees were selected from 137 applications, which requested more than $642.2 million in awards this CMF round. Congratulations to CDBA members Beneficial State Bancorp, Inc., Central Bank of Kansas City, City First Enterprises, Inc., United Bank, and Virginia Community Capital, Inc. on their Capital Magnet Fund awards!
Kat Taylor started a bank, a venture capital firm and an agribusiness to use capitalism’s toolbox to fight systemic racism, environmental destruction and economic inequality. Way back in 2007 (the stone age in impact investing), Taylor and Steyer launched an idea they’d talked about for years: use a charitable foundation to start a bank that would lend to nonprofits and do-gooder businesses and direct its profits back to their environmental and community charitable causes. With Taylor as CEO, Beneficial State Bank has grown into a $1.1 billion institution with 13 branches stretching from Washington to Southern California.