Impact Investing Is A Good Way To Go For Frugal Innovators As Well

Over the past 3 years, I have been developing ideas on all the different ways that Entrepreneurs and Startups who are creating frugal solutions can access capital.

Mind you if you are a big company that is publicly listed or even privately owned, then they can go for their own cash reserves or set aside budgets to deal with these as new R&D&I projects.

But for startups, they can either access traditional innovation funds in the public sector, or raise funds via crowdsourcing, or get funding via big foundations in your field. Now Impact investing is a growing phenomenon trying to take advantage of all these.

Came across this nice overview for Impact investing from The Global Impact Investing Network’s What You Need to Know About Impact Investing

Many types of investors are entering the growing impact investing market. Here are a few common investor motivations:

  • Banks, pension funds, financial advisors, and wealth managers can PROVIDE CLIENT INVESTMENT OPPORTUNITIES to both individuals and institutions with an interest in general or specific social and/or environmental causes.
  • Institutional and family foundations can LEVERAGE SIGNIFICANTLY GREATER ASSETS to advance their core social and/or environmental goals, while maintaining or growing their overall endowment.
  • Government investors and development finance institutions can PROVIDE PROOF OF FINANCIAL VIABILITY for private-sector investors while targeting specific social and environmental goals.

Author: Venkata Gandikota

Venkata has more than 13 years of technical engineering, research, ideation, strategy and business modeling experience. Based on his experience with the Indian market and realizing also the need for affordable & sustainable solutions for Finland and other European markets, he started The Nordic Frugal Innovation Society in late 2013 with 2 colleagues. By organizing ideation workshops and 2 major conferences involving Cities, Universities, and businesses he started to mainstream the concept in Finland and the Nordics. Gandikota has also written several articles focusing on frugal innovations in the Finnish media. He has also been helping Finnish businesses in India as CEO of Indianeer Consulting and gives guest lectures at JAMK University of Applied Sciences in Jyväskylä. He has a Bachelors in Chemical Engineering from India and a Masters in Environmental Engineering from USA.