ReFund provides U.S. nonprofits that receive government grants with zero‑cost, upfront recoverable grants to cover eligible expenses until the government reimburses them. The capital is funded by donors or foundations and is recycled after repayment, preserving the full value of the original grant and eliminating the need for costly financing.
Funding
Funding not disclosed
Founders
Product
Problem
Nonprofit organizations that receive government grants must front the costs of program delivery and wait 60‑180 days for reimbursement. This cash‑flow gap forces them to curtail services, seek expensive financing, or dip into unrestricted funds, resulting in up to 20% of grant value being lost to interest and fees.
Solution
ReFund offers upfront, zero‑cost recoverable grants that provide nonprofit grantees with the cash they need to cover eligible expenses immediately. The capital is non‑extractive; nonprofits repay the amount only after the government disburses the original grant. Funds are sourced from donors or foundations that make traditional or recoverable contributions to ReFund, and the capital is recycled for future rounds, amplifying impact without additional cost to the nonprofit. Because repayment is tied to guaranteed government contracts, the model presents low risk for funders while preserving the full value of the original grant for the nonprofit.
Target Audience
Primary customers are U.S. nonprofit organizations that receive federal, state, or local government grants and need immediate cash flow to implement programs, as well as philanthropic donors or foundations seeking to maximize the impact of their grantmaking.
Features
- Front‑line financing that covers 100% of eligible government grant expenses until reimbursement
- Zero‑interest, non‑extractive terms for nonprofits; repayment occurs only after government payment
- Capital recycling mechanism that reuses repaid funds for new nonprofit recipients
- Funding sourced from donor or foundation contributions structured as traditional or recoverable grants
- Low‑risk profile for funders, backed by the certainty of government contract payouts