December 29, 2014 " target="blank">From Positive Capital Corp.PBC to Rockefeller Foundation
There is great enthusiasm for structures that enable them to take a more flexible approach to service delivery, focus on outcomes and deliver new services that wouldn’t otherwise be funded. However, there are clearly challenges around complexity, unnecessary oversight and bureaucracy. Commissioners and arrangers need to address these issues.
Our six partners are now employing 1,158 women and men in India’s poorest communities
According to the findings of the US SIF Foundation’s latest biennial survey, the Report on US Sustainable, Responsible and Impact Investing Trends 2014 sustainable, responsible and impact investing (SRI) assets have expanded 76 percent in two years – from $3.74 trillion at the start of 2012 to $6.57 trillion at the start of 2014. – See more at: http://www.justmeans.com/blogs/us-sustainable-investing-rises-76-percent-from-2012-to-2014#sthash.q9IRCMDv.dpuf
There is no reason that startups who want to process payments should have ZERO CHOICE in the fees they are required to pay. File complaints with the US Department of Justice + Start a Class Action lawsuit … file complaints with the United States Department of Justice on behalf of individuals, non-profits or 501(C)(3)s that overpaid fees to Visa, Mastercard, PPCs and banks.
“Although it is a community-controlled business, it is important to still make a surplus. Being profitable ensures the community enterprise will last.”
The Big Bang of 2014 will have many ramifications, for many years to come. However the practice of impact investing is becoming necessarily more distinct. Consider the four subgroups of funds:
“First responders” leverage public subsidy to invest in the most underserved communities. Community Development Finance Institutions in the US are prototypical;
“Solution Specialists” respond to the discrete needs of anchor investors, which might include international development agencies or regulated, private institutions;
“Early-stage innovators” creatively blend different types of private capital (market, near-market, and philanthropic) to invest in smaller, mission-driven businesses. A debt fund like RSF Social Finance is a good example in this category; and
“Scale agents” attract primarily private, institutional capital for investment in more mature markets with impact, like microfinance.
Big Society Capital’s outcomes matrix
represents a map of need in the UK. It has
been designed from a beneficiary perspective
and includes nine outcome areas which
reflect what a person needs to have a full and
Clark emphasizes that the funds she and her colleagues studied are 10 or 15 years old. “The big question is, are these the factors that will be required for new impact investments to thrive,” she says. “It might be that things get easier–or they grow increasingly complex as more companies think about how they can intersect with impact.”
Many of the poorest of the poor find it easier to operate outside of the market by, in the case of small farmers, trading seeds with neighbours, engaging in non-cash exchange, or relying on certain forms of common property as a safety net. Outside allies would be wise to build on these local strategies rather than undermine them through market-based initiatives.