Impact investing makes capital available to businesses, nonprofit operated enterprises, and funds through traditional vehicles such as private equity/venture capital, debt, property assignments, and fixed or deferred income arrangements. Typically it harnesses the power of social enterprise performance to public purpose in order to assure investors that measurable, beneficial social and/or environmental impacts occur along with agreed upon financial returns. In some instances, particularly in respect to workforce development and community revitalization, investors formally acknowledge trade offs in profits in exchange for improvements that result in i tax revenue increases and environmental improvements.
Cornerstone Ventures principals and associates have had experience in arranging for impact investments that have led to hubs and grocery stores that address food access problems faced by challenged communities and to weatherization programs that have produced millions of dollars of energy cost savings for economically distressed households. Sources for such funds have been local businesses, concerned citizens, labor unions, community development financial institutions and philanthropies.