Charter School Financial Solutions

PNC's deep experience and integrated platform are designed to meet schools' financing and banking needs.

We Understand Charter Schools

Our team has a combined 30+ years of experience
in the charter school space, including a charter school founder,
credit specialists and seasoned financial professionals.


We focus on relationships, not transactions. We take pride in relating to and serving our communities, as these relationships are at the heart of our business model as a main street bank.

With impactful programs like Grow Up Great® and PartnerUp® and our longtime alliance with DonorsChoose, we’re also committed to helping prepare students for success in school and life.

Our Integrated Platform

PNC’s approach to charter schools features the delivery of sophisticated banking services through one integrated team.
We offer both short-term project funding and long-term financing,
as well as optimized investment management and
best-in class-treasury management that delivers efficiency,
superior technology and cyber risk mitigation.

As a leader in charter school financing, we also know that owning a facility is crucial to providing long-term stability and growth for your school and community.

Commercial Banking – PNC Bank, N.A.

  • Pre-development loans 
  • Construction loans or draw-down facilities
  • Lines or letters of credit
  • Treasury Management
  • WorkPlace Banking

Investment Banking – PNC Capital Markets LLC

  • Tax-exempt and/or taxable fixed-rate bonds
  • Refinancing, new money and/or expansion
  • Private placements
  • Debt analysis and planning
  • Custom amortization schedules

Solutions for Charter Schools

Proof of our commitment to charter schools – we secured financing
to support these schools and their communities.


Avon Grove
Charter School 

Series 2024

Sole Manager


KIPP Miami

Series 2024

Sole Manager


Yes Prep
Public Schools

Series 2023

Senior Manager

How Our Offerings Support You


Learn more about what we offer, including a detailed breakdown of our integrated platform and information about utilizing tax-exempt revenue bonds.

Review our brochure for more details

Our Capital Markets Charter School Team

Greg McKenna
Managing Director and Group Head

Beatriz Peguero

James Gallardo
Associate Director

PNC Economic Outlook

NEO Jan 2024.pdf

Our economists provide analyses and forecasts of national, regional and global economic & financial trends.

Review the latest report

Frequently Asked Questions

Charter school tax-exempt revenue bonds are bonds issued by a state or local government agency on behalf of a charter school to refinance existing debt, or finance the acquisition, renovation or expansion of a school. Tax-exempt bonds can be issued on a fixed-rate basis for a term of up to 40 years to finance your building costs.

Most states, cities, counties and school districts use tax-exempt municipal bonds as their major source of capital. The advantages of a tax-exempt bond issue are:

  • Tax-exempt rates are lower than taxable rates or traditional bank financing.
  • No upfront cash or equity is required, which will allow your school to borrow up to 100% of the cost of your project. 
  • Long-term fixed rates for up to 40 years will provide a predictable cost of capital that benefits the school budgeting process. 
  • Commercial bank financing typically will require 10% to 20% equity and set your interest rate for only 5 to 10 years, introducing refinancing risk and future market risk.

You could develop a 5-year business plan that outlines projected operations once you have acquired your building. The following factors should be considered when developing your plan:

  • Future projections of enrollment are based upon established waiting lists or market research conducted by the charter school. 
  • Per Pupil Revenues (PPRs) are directly related to school district / charter contract provisions and changes in state law funding formulas. 
  • Other revenues (non-PPRs) — before- and after-school care, fundraising, grants or startup funds from a school district — should be separately identified. 
  • The annual bond payment should not exceed 20% of the ongoing stabilized revenue stream. 
  • In addition to budgeting for normal operating expenses, the school will need to generate cash flow for other contingencies, including reserves, working capital, and a repair and replacement fund for the periodic replacement of capital items such as carpet, desks, heating and air conditioning, and roof replacement.

While more complex than typical bank financing, PNC’s experience in this type of transaction can facilitate the process. Once you have identified your project — refinancing of existing debt-acquisition, renovation or construction, and its financial scope — the tax-exempt bond process typically takes 3 to 6 months. During that time, the following will take place:

  • Select an underwriter and financing team. 
  • Receive an “inducement resolution” from a municipal entity to issue the tax-exempt bonds on your behalf. 
  • Apply to a rating agency to receive your credit rating, if applicable. 
  • Document the bond transaction. 
  • Conduct investor outreach. 
  • Price and close the bond issue.

  • Last 3 years of audited financial statements and a current budget with 5-year projections 
  • Current enrollment by grade as well as a current waiting list by grade 
  • Copy of the original charter contract and any subsequent renewals 
  • Land or building appraisal, Phase I environmental study, and purchase and sale agreement

Let's Talk

Email Us

Our Charter School Financial team is ready to answer your questions.