Topic Archives: Funding/Financing

April 25, 2017Funding/Financing

Doing Big Things: How 2017 Is Shaping Up to Be Another Transformative Year for Impact

Ten years ago, the term “impact investing” did not exist and the pursuit of “good” was mostly relegated to philanthropy. Today, investors who focus on more than immediate financial returns–and those who believe that balancing all sorts of impact (financial and otherwise) can yield long-term returns, again financial and otherwise–have entered the mainstream. In this ...›

January 19, 2017Funding/Financing

Social Impact Funds: Structuring Considerations

Impact investing, generally speaking, refers to investments made into companies, organizations, and funds with the intention to generate measurable social and environmental impact alongside a financial return. The market for impact investing continues to grow. According to May 2016 data from the Global Impact Investing Network, approximately $77.4B is currently invested in impact assets across approximately 403 funds and products. ...›

November 22, 2016Funding/Financing

Social Impact Bonds: What’s in a Name?

Anna Pinedo recently co-authored “Social Impact Bonds: What’s in a Name?” for the Stanford Social Innovation Review. The article describes the potential of social impact bonds for the nonprofit sector and discusses why the financial instrument should be renamed and re-formed as a debt security known as an “impact security.” Read the full article. ...›

September 13, 2016Deal Structures, Funding/Financing

Impact Investing: VCs Recognize Social Enterprises Can Outperform Traditional Start-Ups

The notion that a company should care about more than just making money started with corporate social responsibility over 50 years ago, but the trend has rapidly increased in recent years and has produced a multi-billion dollar impact investing market. Today, we have new corporate forms structured around an entity’s social mission, such as the ...›

September 6, 2016Funding/Financing

Green Bonds: A Growing Market in Sustainability

Green bonds are bonds whose proceeds are earmarked for environmentally friendly (green) projects. Despite the specific purpose green bonds were created for, they are a surprisingly flexible source of funding for organizations looking to finance green initiatives. Like ordinary bonds, green bonds can be structured multiple ways to fulfill the specific needs of both borrowers ...›

Impact Investing – Fund Mechanisms to Incentivize Impact

A growing number of investors aim to achieve positive social or environmental impacts alongside financial returns.  For such impact investors, there are various legal and structural mechanisms to consider.  In order to incentivize impact in the context of fund formation in particular, certain key concepts should be drafted into the legal documents from the outset.  ...›