Oftentimes, obtaining access to working and growth capital is thought of as a need reserved for start-up charter schools and smaller charter networks. There exists a common perception that larger charter management groups hold vast cash reserves that can be allocated to their schools at a moment’s notice, however, these perceptions are not correct.
Newpoint Education Partners is a charter management group operating schools in a number of states across the U.S. Their charters serve a range of students, from college-bound suburban youth to more vulnerable populations at-risk of dropping out. Because of its deep and diverse experience in charter management, Newpoint is looked to as a leader in the field, but being successful often comes with its own challenges.
That’s why Newpoint’s Florida team turned to Charter School Capital. “We had a number of schools that needed financing,” explains Marcus May, CEO and founder of Newpoint Education Partners. “In one case, a school changed from one management company to ours, and the management company owned all of the school’s assets. The school not only needed to go through the process and expense of moving, but also acquire all new desks, chairs, technology, etc. We utilized Charter School Capital’s services to provide for that short-term need.”
Thanks to the success of that first partnership, Newpoint and Charter School Capital have since partnered together several times to provide working capital for a wide range of school needs. Supporting new charters, growing existing campuses and turning around failing schools all require significant up front resources, and Charter School Capital has been there to assist Newpoint with it all. May observes that a lot has been changing in the charter school industry recently, and the issues can vary dramatically from state to state.
The trustworthy legislative and financial expertise Charter School Capital has been able to provide in Florida has been a tremendous help to Newpoint, providing them the guidance they need to successfully navigate any challenges that may arise. Because of this, the network sees many future opportunities for the two organizations to work together. “I would recommend that any school or charter management group that has needs for working capital or facilities acquisition work with Charter School Capital,” concludes May. “We maintain an ongoing relationship because we view Charter School Capital not only as our partner but also as our schools’ partner.”