Catalytic Capital for Local News: Financing Resilience
In this introductory guide, Press Forward offers a primer on catalytic capital—what it is, how it works, and how it can directly support the local news ecosystem while unlocking broader social impact investment in the sector.
Catalytic capital sits between traditional grants and conventional financing, prioritizing social outcomes over financial returns. It’s aligned with high risk, lower financial returns and longer time frames. While catalytic capital investments are generally repaid, funds are often recycled to support future projects and impact.
These investments are most often used alongside other types of support, including traditional grants, helping organizations bridge gaps that limit growth. It’s been tested and proven to advance other mission-driven sectors like community development and climate and energy.
This guide is a useful starting point for funders interested in exploring catalytic capital in their funding practice, or in identifying partners to support this work. Inside, you’ll find:
- Four case studies for local news organizations that have run successful experiments with catalytic capital investments to support their work
- Scenarios to help determine whether a project is a strong fit for this type of investment
- Reference material on how catalytic capital functions and the role it could play in growing support for local news.
Use This Resource To:
- Learn about new blended financial models and how catalytic capital is a proven tool to further mission-driven sectors.
- Delve into case studies that illustrate how catalytic capital can be used to support capital projects and regional networks, and help jump start new organizations.
- Stay up-to-date with best practices and tools to further your understanding of catalytic capital, its uses and applications, and impact in the local news ecosystem.
Source: Press Forward