Cambridge Savings Bank Grants $20M Credit Line to Arctaris for Community Investment
Cambridge Savings Bank (“CSB”), a full-service mutual bank known for its customer-centric approach and a robust portfolio of financial solutions, has announced a strategic financial collaboration with Arctaris Impact Investors, LLC (“Arctaris”). This partnership underscores CSB’s commitment to fostering economic growth and supporting impactful investment initiatives. The bank’s Asset-Based Lending (“ABL”) team has successfully provided a $20 million revolving line of credit to Arctaris, reinforcing its mission to empower businesses in underserved communities across the United States.
Arctaris, headquartered in Wellesley, Massachusetts, is a distinguished impact investment firm that specializes in funding profitable, high-growth businesses in economically challenged regions. Founded in 2009, Arctaris has developed an innovative financial model that integrates public funding from state agencies with private equity and debt capital. This approach enables the firm to provide essential capital to lower-middle-market companies in under-resourced urban and rural areas, thereby catalyzing sustainable economic and social progress.
With a focus on delivering attractive risk-adjusted returns while achieving tangible economic, social, and environmental benefits, Arctaris has successfully supported minority-owned enterprises, facilitated job retention, and promoted fair wages. These efforts have significantly contributed to local economic resilience, allowing businesses to navigate industry challenges and establish sustainable operations.
A Strategic Financial Partnership
The recent infusion of $20 million in revolving credit from CSB marks a significant milestone in Arctaris’ ongoing mission to drive inclusive economic development. The funds will provide the firm with increased flexibility to expand its reach, enhance investment initiatives, and foster further innovation in impact-driven projects.
Jonathan Tower, Founder and Managing Partner at Arctaris, expressed enthusiasm for the partnership, emphasizing the unique value CSB brings to the table. “Cambridge Savings Bank stands out among other financial institutions for its unwavering commitment to preserving the value of personal relationships. This collaboration represents a pivotal moment for Arctaris, unlocking new growth and investment opportunities,” Tower stated. “The additional capital grants us enhanced flexibility to drive innovation, create inclusive opportunities, and deliver exceptional value to our investors, while solidifying our position as a leader in the impact investment space.”
The partnership between CSB and Arctaris reflects a shared dedication to integrating impact into every investment decision. By bridging the gap between the public and private sectors, Arctaris has consistently pursued strategies that generate positive nationwide economic and social outcomes. The newly secured lending package from CSB will further strengthen Arctaris’ ability to serve low-to-moderate-income communities—a key focus of its investment strategy. With this expanded financial backing, Arctaris will be better equipped to provide loans that drive community redevelopment, stimulate job creation in underserved areas, and support entrepreneurs and businesses often overlooked by traditional financial institutions.
CSB’s Commitment to Impactful Banking
Yvonne Kizner, Senior Vice President and Head of Asset-Based Lending at Cambridge Savings Bank, highlighted the alignment of values between CSB and Arctaris. “It is always rewarding to collaborate with a new customer whose mission aligns so closely with our own,” said Kizner. “As an organization dedicated to enriching the lives of individuals and families in the communities we serve, we are proud to support Arctaris in advancing solutions that create lasting economic impact. We deeply appreciate the team at Arctaris for trusting us to contribute to this important work and help uplift those who need it most.”
CSB has built a strong reputation for tailoring financial solutions that address the unique needs of businesses and communities. The Asset-Based Lending team plays a crucial role in fostering economic growth by providing flexible financing solutions designed to support expansion, operational stability, and long-term sustainability.
The effectiveness of CSB’s approach is exemplified by its recent milestone achievement in November 2024, when the Asset-Based Lending team reached $500 million in committed lending. This milestone underscores the bank’s dedication to delivering customized financing solutions that empower businesses to achieve success. The partnership with Arctaris is a testament to this ongoing commitment.
Driving Economic and Social Change Through Impact Investment
Arctaris’ investment philosophy centers around the belief that economic growth and social impact are not mutually exclusive but rather complementary. By leveraging a blend of public and private capital, Arctaris has created an investment model that maximizes financial returns while simultaneously fostering positive community development.
This dual focus has allowed Arctaris to make strategic investments in industries that are critical to the economic well-being of underserved communities. These industries include advanced manufacturing, technology, healthcare, and clean energy—sectors that offer sustainable job creation and long-term economic benefits. The revolving line of credit from CSB will further empower Arctaris to expand its reach and scale its impact across a broader range of projects.
One of the key benefits of Arctaris’ investment approach is its ability to provide capital to businesses that may not meet the stringent lending criteria of traditional financial institutions. By targeting lower-middle-market enterprises in underprivileged areas, Arctaris bridges the financing gap that often prevents these businesses from reaching their full potential. The firm’s ability to structure financing that accommodates the unique needs of its portfolio companies ensures that capital is deployed effectively to drive measurable impact.
A Growing Trend in Impact-Driven Finance
The collaboration between CSB and Arctaris is part of a broader trend within the financial sector, where banks and investment firms increasingly recognize the value of impact-driven finance. As investors and stakeholders place greater emphasis on environmental, social, and governance (ESG) considerations, financial institutions are adapting their strategies to align with these priorities.
CSB’s decision to partner with Arctaris reflects a growing commitment among banks to support investment strategies that promote equitable economic development. This approach not only strengthens the communities in which these institutions operate but also enhances long-term financial performance by fostering sustainable business ecosystems.
For Arctaris, securing this credit facility represents a crucial step toward expanding its capacity to drive meaningful change. The additional funding will enable the firm to scale its initiatives, increase its portfolio of impact investments, and provide more businesses with the capital needed to thrive. The collaboration with CSB serves as a model for how financial institutions and impact investors can work together to create sustainable, long-term value for both investors and communities.
The partnership between Cambridge Savings Bank and Arctaris Impact Investors underscores the power of financial collaboration in driving social and economic progress. With the $20 million revolving line of credit, Arctaris is poised to expand its mission of supporting high-growth businesses in underserved communities, facilitating job creation, and fostering inclusive economic development.
Cambridge Savings Bank, through its Asset-Based Lending team, continues to demonstrate its commitment to supporting businesses that align with its mission of community enrichment and economic empowerment. As impact investment continues to gain momentum, this partnership serves as a compelling example of how financial institutions can play a pivotal role in fostering sustainable growth and creating meaningful change.
By providing businesses with access to capital and opportunities for expansion, CSB and Arctaris are not just financing companies—they are helping to build stronger, more resilient communities. This strategic collaboration sets the stage for future initiatives that bridge the gap between traditional banking and impact-driven investing, paving the way for a more inclusive and prosperous economy.
