Impact Investing Goes Local: How We’re Building Vibrant, Financially Empowered Communities Together
Since Honeycomb launched in 2017, over 16,000 (and counting) Honeycomb investors have moved $16.3 million in investments to locally owned businesses. From coffee shops and composting companies to restaurants and breweries, that’s 16,800 investments in 263 companies. But what do those investments actually mean for business owners and for investors at the end of the day? Let’s find out.
Over $3 million already repaid to investors
A community that lends together, thrives together. Thanks to our growing investor community, Honeycomb has repaid $3 million to investors. Investors receive all of the amortized interest over the course of their repayment period, assuming a loan pays as agreed.
The investor experience encompasses many elements, as investing locally is a local experience beyond the repayment. Investors are able to see updates on the Honeycomb platform from business owners, and (based on the business’ discretion) often get an inside scoop on the business they invested in, access to exclusive experiences or perks, investor parties, private tours or other relevant investor-only opportunities.
Hot off the press: Did you know Honeycomb investors are turning Small Business Saturday into Invest Local Saturday? In 2022 279 investors invested $392,737 just over Small Business Saturday weekend.
Investor impact on job creation, storefront openings, and low-to-moderate-income business growth
Honeycomb investment offerings are unique because you get a clear breakdown of what exactly your investment is going towards. Some businesses are raising money to purchase new equipment, buy a food truck, or hire more employees.
To date, Honeycomb investment offerings have supported 1,142+ jobs in cities spanning the country from Pittsburgh, PA to Los Angeles, CA.
Communities across the country have grown in more ways than job openings. This footprint extends to storefronts that are making neighborhoods across the country more vibrant. Honeycomb investment offerings have led to 47 new brick-and-mortar stores such as breweries, bakeries, and soap shops.
Additionally, your Honeycomb investments are going to entrepreneurs in communities that traditionally have a disproportionately difficult time getting a loan.
51% of Honeycomb investment offerings are led by minority-owned business owners, and 64% of Honeycomb businesses are women-owned.
According to the Federal Reserve, while white business owners get approved for loans 80% of the time, BIPOC-owned businesses get approved only 66.4% of the time. As a Honeycomb investor, you have the opportunity to participate in closing the funding gap for minority owned businesses.
Investing in local businesses is only going to get easier
As mentioned before, Honeycomb’s investor network is over 16,000 strong and growing every day. On average, it takes just 30 seconds to make an investment.
21% of Honeycomb investors are repeat investors, and now thanks to a new technology called the Honeycomb wallet, repeating your investments is even easier. Investors can put repayments they receive from the small businesses they invest in straight into another campaign with lower fees, making the investment experience easier.
Foundations are Joining in
But wait, there’s more. Seven impact investing partners have joined Honeycomb in offering matching investments, directly to local businesses in historically disinvested communities.
These investments alongside those of everyday investors means that qualifying business owners have a higher likelihood of meeting their maximum funding goal, and hitting the growth goals they have set for themselves.
How to become part of the Honeycomb investor network
Honeycomb investors are proof that community investments can re-write the small business loan ecosystem.
To join the network, set up your account and start exploring investment offerings on our platform.
Search for local businesses to invest in right now by viewing live investment offerings now!