Transforming Workplaces: How the Apis & Heritage Finance Fellowship is Fostering Employee Ownership
In the face of a $8.4 trillion racial wealth gap in the United States, solutions aimed at fostering economic equity are not only crucial, they serve as beacons of hope for tangible change.
Apis and Heritage Capital Partners (A&H), a Black-led impact investment firm founded in 2021, is addressing the racial wealth gap by supporting private companies with low-income workforces of color to transition into employee-owned enterprises using Employee Stock Ownership Plans (ESOPs). In doing so, A&H is helping to close a $300 billion racial wealth gap that is due to disparities in business ownership while also building intergenerational wealth for workers across the country.
To build capacity for an emerging fund manager and to inspire future leaders, in 2022, A&H and one of its impact partners, Democracy at Work Institute (DAWI) collaborated with World Education Services (WES) to launch a fellowship program at A&H. The fellowship aims to amplify the impact of employee ownership within underrepresented communities and build expertise on employee ownership transitions with the next generation of mission-driven investment professionals.
Discovering the Fellowship: A Unique Opportunity to Make an Impact
For Jungyun Kim, discovering the fellowship program was an unexpected moment that aligned perfectly with her career aspirations. “I found out about the fellowship on LinkedIn while searching for job opportunities after my graduation,” she shared. The program immediately caught her attention because it offered more than just a professional development opportunity—it provided a unique entry point into the world of impact investing, a field she had yet to explore.
The fellowship offered a comprehensive experience, exposing her to many new aspects of investment processes, as well as employee ownership frameworks and how to leverage employee ownership to tackle challenges like racial equity and worker well-being.
During her fellowship, Jungyun built a strong foundation in understanding ESOPs. Contributing to A&H’s Annual Impact Report and co-leading the impact metric analysis for 2023 were among her key achievements.
“Jungyun is a superstar! She has added tremendous capacity to the team and has dived deep into our approach—from financial modeling to how we assess impact, to being on-site for employee trainings and management coaching,” said A&H co-founder Phil Reeves.
“From a financial perspective, I’ve gained proficiency in building financial models as they relate to ESOPs, gained an in-depth understanding of business operations, and acquired new knowledge of capital structures and how to mobilize them for the employee owners’ benefit,” said Jungyun.
The Fellowship’s Broader Impact
A&H co-founder Todd Leverette also highlighted the fellowship’s success in achieving its dual goals. “We wanted to bring capacity to the A&H Legacy Fund, particularly in its impact-oriented work, and to bring future leaders into impact investing and employee ownership from communities that are underrepresented in this work now. I think we accomplished both of these things.”
Melissa Hoover, Director of Special Projects, Democracy at Work Institute, emphasized the significance of this partnership, stating, “This partnership has been a game-changer for us. We’re all about investing in people, as is World Education Services. And if we can invest in people and build the ecosystem at the same time, which the fellowship does, we’ve laid groundwork for real change at a fundamental level for impact investing.”
“At WES, we are thrilled to be a part of this journey with A&H and DAWI to support the next generation of leaders in impact investing,” says Smitha Das, Senior Director of Investments, WES. “As WES celebrates 50 years, we remain committed to advancing economic mobility for migrants and communities of color. Through this fellowship, we are able to blend our investment with a capacity strengthening grant and be one step closer to achieving our common goal of building more equitable and resilient ecosystems.”
The Future of the Fellowship: Expanding the Impact
Looking ahead, A&H envisions expanding the fellowship program, hosting more fellows, and encouraging other firms to do the same. The goal is to build a new generation of professionals with real-world experience in impact investing and employee ownership.
“We’re eager to host more Fellows, and once they’re part of the A&H family, they’re part of our network for life,” said Leverette.
The fellowship program is a vital part of A&H’s broader mission to create an economy that works for everyone, particularly by broadening business ownership among workers of color.
