The Fibers Fund and Invest Appalachia are proud to announce aligned, catalytic financing support for Renaissance Fiber, a North Carolina fiber hemp processing company. Using proprietary technology, Renaissance Fiber purchases raw, domestic hemp fiber and processes it into forms suitable for textile production on existing U.S. manufacturing equipment. Based in Winston-Salem and Mocksville, NC, Renaissance has built relationships with regional farmers, yarn spinners, textile mills, and companies that produce brand-name garments and products, positioning it as a critical node for the state and region to maintain leadership in fiber agriculture and textile production.
The combined financing support includes a low-interest, three-year loan from the Fibers Fund, alongside flexible and affordable recoverable grant financing from Invest Appalachia’s Catalytic Capital pool. Through this innovative partnership, Fibers Fund and Invest Appalachia will enable Renaissance Fiber to take the critical next step from its R&D phase to full operation of its initial fiber hemp processing line. Funds will support Renaissance in purchasing raw fiber from U.S. growers and completing all processing steps to meet the growing demand for their hemp yarns from regional mills and buyers.
Together, this financing is already proving catalytic for Renaissance–since receiving initial commitments from Invest Appalachia and Fibers Fund, Renaissance has leveraged this evidence of support to qualify for a loan from the Small Business Administration 7(a) Manufacturers Access to Revolving Credit (MARC) program, generating over 8x leverage already. The financing package helps further the shared mission of Fibers Fund and Renaissance Fiber to promote soil-based fibers and textiles as an integral part of holistic regenerative agricultural systems, while also furthering Invest Appalachia’s mission to ensure that each community in Central Appalachia is equipped with the investment necessary to thrive now and in the years to come.
About Renaissance Fiber
Renaissance Fiber is a North Carolina clean-tech and ag-tech company that manufactures softened hemp fiber for the textile industry. Renaissance Fiber’s technology is a two-step proprietary process to convert raw hemp fiber into textile fiber: first the fiber is degummed in a wet processing step, and then the fiber is milled or refined into textile fiber suitable for spinning into yarn.
Currently, over 70% of global fiber production is made from petroleum-derived synthetics, positioning Renaissance’s work with soil-based fiber hemp as a key part of climate-beneficial regenerative agriculture solutions. In addition, Renaissance brings a demonstrated commitment to its North Carolina and Appalachian communities and its farmer suppliers through its revitalization of underutilized rural industrial space in Mocksville, NC, and support for the Piedmont Agricultural Innovation Collective (PAIC) co-op of fiber hemp growers in the region.
Led by CEO Daniel Yohannes, Renaissance Fiber, Inc. launched in 2022 and has dedicated several years to perfecting its technology and preparing to operate at scale as a processing partner for existing U.S. textile manufacturers in the Southeast and beyond. For more information, visit renaissance-fiber.com.
About Invest Appalachia
Invest Appalachia is a regional blended capital platform, designed to accelerate and expand community investment across Central Appalachia. With a mission to help finance Appalachia’s transition to a more resilient, equitable, and sustainable economic future, IA works across the Appalachian counties of Kentucky, West Virginia, Virginia, Ohio, North Carolina, and Tennessee. Through creative financing from the IA Fund and IA’s risk-absorbing “Catalytic Capital” pool, Invest Appalachia addresses capital gaps for projects that create community impact but do not qualify for traditional financing. IA is governed by a regionally representative board and focuses on diversifying local economies and building wealth among underserved populations. To learn more, visit www.investappalachia.org.
Catalytic financing bridges a key financing gap
The Fibers Fund loan and Invest Appalachia recoverable grant financing will help Renaissance Fiber bridge a key financing gap–the jump from the R&D phase to full production. In background interviews for the Fibers Fund, natural fiber and textile businesses across the U.S. described their difficulties in accessing capital for this specific stage–when textile buyers need greater scale of production to commit to purchases, but the company needs financing to reach scaled production. More broadly, many agricultural funds and programs do not include fiber producers, and other lender types are unfamiliar with this sector.
Together, the aligned Fibers Fund and Invest Appalachia financing is already helping Renaissance to break through this bottleneck–allowing them to purchase the raw U.S. fiber hemp needed to fully operate their processing line and produce hemp yarns that are already drawing the attention of regional fabric mills and brands. With the additional leverage of the new SBA MARC loan, this early financing is demonstrating how flexible, first-in capital can catalyze significant additional financing for creative place-based businesses in sectors that are traditionally overlooked.
About The Fibers Fund
The Fibers Fund is a catalytic fund to support U.S. natural fiber and textile producers and processors, with a specific focus on economic justice. Fiber crops (such as flax, cotton, fiber hemp, wool, leather, and natural dyes) are an integral part of regenerative agricultural systems, yet the sector has received little attention from investors. Fiber entrepreneurs working to meet the growing demand for sustainable textiles struggle to access capital, and these barriers are especially pronounced for entrepreneurs from underserved communities.
Launched in 2023 to fill these capital gaps, the Fibers Fund offers flexible capital to U.S. natural fiber producers and processors in the form of patient term loans, forgivable loans, and business TA grants, combined with wraparound support. With its values-based governance structure and 100% women leadership, the Fibers Fund was selected as a 2023 Transformative 25 fund, a list of funds “transforming the economy for social, environmental, and economic justice,” and featured on Impact Alpha as an innovative debt fund. To date, the Fund has deployed ~$1M in patient loans and grants, over 60% to people of color-led fiber businesses and over 80% to women-led businesses. Learn more about the Fund’s work, team, and portfolio at fibersfund.com.
Opportunities for Investors and Funders
Support for the Fibers Fund and the loan to Renaissance Fiber is provided by a network of funders and accredited investors, including philanthropies, donor-advised funds, family offices, and impact-focused investors. With ~$1M already deployed, over 60% to POC-led businesses and over 80% to women-led businesses, the Fund is actively seeking to complete its second close in 2026 to expand its portfolio of catalytic loans and TA grants to U.S. natural fiber businesses. The Fibers Fund welcomes inquiries from accredited investors and foundations interested in catalyzing impact for underserved fiber entrepreneurs across urban and rural areas. Contact [email protected] to learn more.
Read More
For more details about this financing, information about Renaissance Fiber’s work, and perspectives from the participating organizations, view our detailed press release at fibersfund.com/updates.
Contact Us
For more information, contact the following:
- Fibers Fund: Sarah Kelley, Managing Director, [email protected]
- Invest Appalachia: Lauren Sowers, Communications Manager, [email protected]
- Renaissance Fiber: Daniel Yohannes, CEO, [email protected]
