Slim’s Front Loan

Slim’s Front Loan

Slim’s “Front” Loan

Launched in February 2012, as an affiliate to Community LIFT – River City Capital Investment Corp. is a local nonprofit Community Development Financial Institution (CDFI).  CDFIs fill a void in the local financial delivery system by expanding availability to capital, credit, and financial services in distressed communities. Traditionally, banks will only loan to a certain level of credit, leaving out vast parts of the community from traditional financing sources.

How River City Capital works

Simply, River City Capital borrows money and pools it into a redevelopment loan fund to re-lend primarily to small businesses and nonprofit and for-profit developers to benefit distressed neighborhoods.  Additionally, River City Capital has given priority to supporting the redevelopment of the Soulsville USA neighborhood by attracting musicians and artists.

Why a focus on Musicians

River City Capital is working to implement elements the Memphis Music Magnet @ Soulsville USA. The purpose of the Memphis Music Magnet plan is to revitalize the storied Soulsville USA by attracting and supporting musicians and the music industry in Memphis, through amenities such as Memphis Slim, and cultural enrichment opportunities to create neighborhood vibrancy.  In the future, it seeks to establish an incubator for music related businesses and the supportive arts, specialized housing programs, and performance venues for original music.

We understand that musicians and bands face sizable upfront costs during the early growth phases of their careers. In most cases, borrowing money from traditional banks is not an option as their business model is incompatible with how musicians earn a living.  To that end, River City Capital has developed the Slim’s “Front” Loan program to meet the need for Memphis Musicians.

Details of Slim’s “Front” Loan

The Purpose: To “front” needed money that provides short-term financing to established musicians for touring, merchandising, promo event, and recording.

Amount:  The maximum loan amount is $10,000

Interest Rate: 5% for non Soulsville USA residents; 3% if you currently live in Soulsville USA.

Term: 6 months for touring, merchandising, and promotion. 12 months for recording expenses.

Qualification: Must be a member of Memphis Slim House, have merchandise to sell and/or gigs scheduled, active PayPal or bank account for ACH payment transactions.

Requirements: Review of credit and personal income via tax returns, Soundscan and social media numbers, SoundCloud/ Spotify numbers, 1099s for prior royalty payments, PRO statements, prior tour schedule (venue size, attendance, merchandise amount), and artist/ group website.  If needed, agree to financial business coach.

Approval Process: Below is an easy step-by step guide to better understand the approval process.

  • Musician turns in loan application.
  • Application is vetted by a committee of musicians, bankers, and recording studios.
  • Once applicant is approved funds are disbursed and applicant then sets up crowdfunding campaign to begin rallying financial support for their project.
  • After crowdfunding campaign ends whatever is raised is directly applied to your loan via PayPal and the remaining balance is then termed out over 12-18 months.
  • Musician has check ins as needed with musician committee mentor

All loans are subject to committee review.

For more details contact River City Capital’s Business Development Officer, Anthony Young 901.521.4232 ext. 5 or anthony@communitylift.org.

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Memphis Slim House
1130 College St., Memphis, TN 38106
(901) 590-4591