Sydney Capital began as a means to make microloans to those who were not bankable. We made loans to formerly incarcerated non-violent offenders, people who had bad things happen in life, and former homeless folks on the mend with good ideas and a small market to serve. Our loans ranged from $1,000 to $25,000 and were for various small ventures: car wash, detail shop to clean cars, small used car dealership, landscaping and lawn care, a painting contractor, the dream of a studio for a would-be rap producer which was high risk high yield, and more. About 35% of these projects succeeded. Sydney Capital did not seek equity but only return of principal and interest. In hindsight with Lessons Learned, we believe a much larger percentage would have succeeded had we controlled the cash-flow, instead of naively making unsecured bets alone.
Segueing into what we now do, which involves cash controls, the failure rate is less than 2% and even that is managed to nearly zero through timing. We concentrate on one industry, and cherry picks the best deals with companies with proven track records. We follow the trail of multiple successful jobs with companies that are bankable, but need a boost to their balance sheets. Albeit strong track records, these companies have difficulty accessing mezzanine capital, so Sydney Capital boosts and leverages their balance sheets in order to help them get over the proverbial hump. Sydney Capital is the shot in the arm to help with true trickle-down operations.
Sydney Group was born by being asked by the Oklahoma State Legislature to intervene as a liaison between Central Purchasing and minority contractors for State Construction bidding. Mr. Fikes, Managing Director, was also retained as a consultant by the Oklahoma Department of Transportation for the same type of work
Residential Down Payment Assistance for those with everything in place but disposable cash on hand. It’s not normal to have that kind of cash anyway.
Exploring and developing relationships and strategic partnerships with community agencies, groups, companies and schools to create avenues for both short-term and long-range workforce development opportunities.
For a healthy return right out of the gate, support acquisition and promote growth through leading companies in their communities that pay it forward.