Investors
Investors in this space have the most challenging role in the whole ecosystem. The flow of social and intellectual capital often overshadows -- and also multiplies -- the effect of financial capital on the acceleration of enterprise.
While change agents tend to have a high level of confidence and moral certainty, investors find themselves balancing a wide range of variables. Beyond financial risk and reward (which must still be considered), investors are juggling second- and third-dimension impacts involving human welfare and natural resources, resulting in a decision matrix with emerging standards and uncertain returns. As a result, each investor is seeking something slightly different.
W1SDØM provides mapping and filtering across four input and three output categories, helping investors find signal in the increasing noise. Our intermediary service identifies ventures that fit individual standars of investment-worthiness and investment-readiness as defined by the investor, leveraging but not subject to emerging standards.
Foundations
Foundations generally have the most philanthropic capital available. They provide a mix of grants and loans to non-profit leaders. Some foundations also have mission-related investment funds, which allow them to invest in for-profit enterprises that are aligned with the foundation's goals. Foundations have a wide range of expectations in terms of impact reporting on behalf of their grantees, but usually have some set of performance metrics they expect change agents to track and report.
Triple-Bottom-Line Venture Funds
These boutique venture funds have raised progressive capital that respects mission and expects a solid financial return. Each fund has a slightly different balance, with some expecting market returns over a longer period of time, while others accept below-market returns in exchange for well-documented impact.
Angel Investors
In 2005 - 2007, single-bottom-line angel investors invested as much money in early-stage businesses as venture capitalists did. This poorly understood group is responsible for at least half of the seed capital. Although angel capital investing took an enormous dip after the financial crisis of 2008 - 2009, experts predict that while venture capital investing will continue to fall, that angel investing will rebound. We believe that angel investing and philanthropic giving are on a collision course, and that wealthy individuals are seeking to place capital that has a positive impact on people and planet, while respecting the capital, and conserving or returning it better than it has previously.
Angels are challenged when comparing sustainable investing opportunities, and are currently forced to choose among not only apples and oranges, but kumquats and watermelon.
