Three Roots Capital

Three Roots Capital is a 501(c)(3) nonprofit organization based in Knoxville, Tennessee, dedicated to fostering economic growth in underserved communities across East Tennessee and the Appalachian region. As a certified Community Development Financial Institution (CDFI) and Community Development Entity (CDE), the organization focuses on providing impact capital and business coaching to job-creating small businesses, placemaking real estate projects, and community facilities. Their mission centers on enhancing access to capital, promoting job creation, and supporting the development of commercial goods and services in low-income areas.

The organization's financing activities encompass equity investing, commercial debt, subordinated debt, and tax credit transactions. They collaborate with business owners, commercial developers, banks, and community organizations to deploy capital effectively. Their geographical focus includes Tennessee, Alabama, Georgia, Kentucky, Mississippi, North Carolina, Ohio, South Carolina, Virginia, and West Virginia, with an emphasis on low-income, rural, and Appalachian locations, as well as businesses owned or operated by women, minorities, veterans, and other underserved groups.

Since its inception, Three Roots Capital has made significant strides in community development. As of September 2024, they have deployed $163 million in capital, created or retained 3,671,909 jobs, and developed 2.1 million square feet of real estate. Their commitment to community development is further demonstrated by their receipt of a $50 million New Markets Tax Credits allocation from the U.S. Department of the Treasury's CDFI Fund, marking their second consecutive allocation. This funding has supported the creation of 370 new jobs in Appalachia and the Delta Region between Q3 of 2023 and Q1 of 2024.

Three Roots Capital's approach combines financial support with technical assistance, mentoring, business coaching, and networking opportunities. This holistic strategy aims to empower entrepreneurs and community leaders, fostering sustainable economic development and revitalization in the regions they serve. Their dedication to collaboration and community engagement underscores their role as a catalyst for positive change in East Tennessee and Appalachia.