Accessing Capital

All businesses require access to financial capital, especially investment and patient capital at start up and points of growth in the business. Social enterprises are no different, but, by the nature of their non-share incorporation, have limited options beyond traditional grant models and straight forward loan arrangements. Grant revenue is difficult to sustain in the long term and loans can be a cash flow problem and often an expensive avenue to raise capital at a start-up or growth stage.

New forms of patient, investment-like, capital pools have to be developed, investor tax credits for social enterprise are needed and innovative share-based social enterprise incorporation models are required.