Local Multiplier Fund I
Capital that circulates.
By design.
Quarterly income built on productive assets. Loans and revenue share paid from real business activity, a reserve to support your distribution, and a fee we only earn after you’re paid. A fund where the ethical choice is also the rational one.
Capital that doesn’t circulate stagnates. Put yours to work.
Local Multiplier Fund I
The distribution floor is a target, not a guarantee. Investing involves risk, including loss of principal. See the PPM for complete terms.
Access the Data Room →- Structure
- Evergreen. Rule 506(c), accredited investors
- Distribution floor
- 3% targeted, supported by a fund reserve
- NAV appreciation
- Accrues 100% to investors
- Management fee
- None. Performance spread on cash yield only, capped at 3%
- Portfolio yield above 9%
- 100% to investors
- Liquidity
- 3-year initial period, then quarterly with 90 days’ notice, subject to available cash
- Reporting
- Annual audit by a PCAOB-registered firm
About the Fund
Where the Money Goes
Every dollar funds a real business or a community asset. The Fund invests only in offerings that are also open to everyday investors: Reg CF, Reg A, direct public offerings, and similar structures. When a local business or community project needs more capital than its own crowd can provide, the Fund can supply what lets the raise close, investing alongside the people who backed it first.
Capital invested locally keeps moving. A loan to a local business becomes wages for local workers, orders from local suppliers, and rent to local landlords, and each of them spends it again nearby. Independent businesses keep more than three times as much of their revenue circulating in their communities as national chains do.¹ That’s the local multiplier effect, and it’s the reason for the Fund’s name.
The same activity is where the return comes from. Loans, revenue share, and income-producing real estate pay investors from the cash these businesses and properties generate. Most of the return depends on real economic activity, not on a future buyer paying more. The dollar works in the community first, then is designed to come back to investors as income.
The Fund itself is offered to accredited investors under Rule 506(c). The offerings it invests in are open to everyone. Widening who can invest in the Fund is part of the long-term vision.
INVESTOR FIT
Who This Is For
The investor who understands that community investing means putting capital toward the infrastructure that allows community wealth to build and scale.
Individual community-minded investors
You want your capital in community investments, but you don't have the time, network, or underwriting expertise to evaluate Reg CF and Reg A deals one by one. This fund does that work for you, in a single allocation.
Family offices
You manage capital across generations and want assets that build community wealth, without organizing a deal team to find them. The Fund handles sourcing, underwriting, and reporting, with quarterly distributions, an annual audit, and a K-1. Community capital sits in the portfolio like any other allocation.
Foundations, DAFs, and mission-driven institutions
You want your investments to advance the same work your grants support. The Fund offers a direct route into community capital with institutional reporting: annual GAAP audits, a defined compensation structure, and concentration limits on every position.
The Process
How the Fund Works
1. Subscribe
Accredited investors subscribe to the Fund. About 3% of assets is held in a reserve, in insured deposits and Treasuries, to support the distribution floor. The rest is deployed into the portfolio.
2. Deploy
We place capital across four portfolio layers: pooled, professionally managed funds; direct, named positions; growth-stage revenue-sharing capital; and hyperlocal positions. No single issuer, platform, or instrument exceeds 20% of the Fund’s net assets.
3. Cycle
As positions pay back through loan repayments, revenue-share payments, and dividends, the income funds investor distributions and the principal is redeployed into new positions. With auto-reinvest, distributions circulate too.
4. Distribute
Cash income is distributed to investors every quarter, with a 3% targeted floor supported by the reserve. Investors can choose auto-reinvest to put distributions back to work in additional Units. Growth in asset values accrues to investors through net asset value.
5. Report
Every position is tracked using the CfPA Private Market Reporting Standard, including data from investment platforms that haven’t adopted it yet, converted into the same format. Investors see what is in the Fund and how each position is performing. No black box.
Clarity
Built Like an Ecosystem
Regenerative agriculture builds strength through diversity: many plants, each with a different role, making the soil healthier together. A single crop can produce a big harvest, but one bad season can take the whole field.
The Local Multiplier Fund applies the same principle to community wealth building. It invests across many local economies rather than a single business, industry, or region, and each layer of the portfolio does a different job:
Pooled real estate and clean energy funds provide a steady base of income.
Direct, named positions fund specific community projects.
Growth-stage revenue share backs local businesses as they scale.
Hyperlocal community funds reach neighborhoods larger capital overlooks.
The layers reinforce each other. Gap funding helps community raises close, closed raises put capital to work locally, and repayments recycle into the next round of investments. The Fund is designed to grow stronger the way the communities it funds do: through circulation.
Local Multiplier Fund I is open to accredited investors. Start with the documents, then let’s talk about how the Fund fits your portfolio.
Prefer to hold positions directly?
Stakeholder Enterprise’s Regenerative Capital Partnership builds a portfolio of the same kinds of investments the Fund holds, around your own goals. It’s a flat-fee advisory program designed for portfolios of $600,000 or more: you own each position directly, you make the final decisions, and every position is tracked individually.
Stakeholder Enterprise is the advisory practice of Velocity of Money, LLC, which also manages the Fund.
Paul Lovejoy leads the fund
Founder and principal of Stakeholder Enterprise, a registered investment adviser in Hawaii. Lead developer of the CfPA Private Market Reporting Standard and creator of the CARE Note. Spent 366 consecutive days personally investing across 500+ positions on 21 Reg CF, Reg A, and alternative investment platforms, the empirical foundation for this Fund’s design.
Investor Committee Chair for the Crowdfunding Professional Association. Board member and executive committee member of the Social Enterprise Alliance.
Built on a simple premise: conditions determine outcomes. Change the instrument, the governance, and the monetary mechanics behind capital, and you change what that capital produces.