The Partnership For New York - Prompted by Henry Kravis Spurs

Innovation

What is the Partnership for New York City fund?

• The Partnership for New York City Fund is a private fund that was started by Henry Kravis, co-founder of KKR.

• His goal for the fund was to “mobilize the city's financial and business leaders to help build a stronger and more diversified local economy…the Partnership Fund has built a network of top experts from the investment and corporate communities who help identify and support New York City's most promising entrepreneurs in both the for-profit and not-for-profit sectors.1”

• This Fund started in 1996, and started out with $115 million worth of donations from individual and corporate investors. This is still maintained without new funding as loans are repaid.

Non-Profit help

• The focus of this fund is on community development work. This includes job training, nonprofit real estate development, and more.• An example is the Red Rabbit. The Red Rabbit offers

offers healthy farm-to-school meals at federal reimbursement prices. “We lent them money to get a permanent building in Harlem and finishing kitchens in Brooklyn,” said Maria Gotsch, president

and CEO of the Partnership for New York City Fund.

Technology help

• In regards to technology, the fund is helping companies create skilled jobs in three areas, financial technology, digital health and life sciences.

• In these types of companies, the average cost of starting a company is between $100,000 and $500,000.

• The FinTech Innovation Lab holds an open call for technology applicants. The banks then select 6 or 7companies that they want to work with. After this, the companies work with mentors from the banks.

• These participating companies then come to New York for the program and open up offices in the city.

Technology

• The banks in this program include Bank of America, Ally Financial, American Express, Barclays, Capital One, Citigroup, Deutsche Bank, Goldman Sachs, JP Morgan Chase, Morgan Stanley, New York Life, Credit Suisse, State Street, and UBS.

• “The trick for the technology vendor is figuring out the best place to start, where there is the most interest in their product, said Gotsch. “The mentors help them hone their value proposition. The bank may run a pilot and tell them what works and what doesn’t. Every year a company has gotten a fast ‘No — you are missing functionality or it doesn’t fit our needs,’ but a fast no in three months rather than 18 months, so that is valuable.”

For more information on the New York Fund, you can read this article: The Partnership For New York - Prompted by Henry Kravis - Spurs Innovation

References & Links

• 1 – The Partnership for the New York City Fund• Henry Kravis, co-founder of KKR• Maria Gotsch, president and CEO • The FinTech Innovation Lab • The Partnership For New York - Prompted by Henry

Kravis - Spurs Innovation

References & Links

• 1 – The Partnership for the New York City Fund• Henry Kravis, co-founder of KKR• Maria Gotsch, president and CEO • The FinTech Innovation Lab • The Partnership For New York - Prompted by Henry

Kravis - Spurs Innovation