Exploring Social Entrepreneurship and Impact Investing
This October, PIM launched Investment for Good: a first-of its kind program focused on impact investing for modern-day change-makers, set in Delhi’s vibrant social enterprise ecosystem. From workshops with early-stage social enterprises, to discussions with mission-driven investors, and an investment simulation of our own, we took away a new set of tools and insights for doing good and doing well. Check out the program highlights by PIM Fellow Shirley Xu!
What I learned across the Himalayas
- How do social enterprises go from serving 1 to 1 million?
- Can a financial investment bring about both monetary and social impact returns?
- What can young people from China and India learn from each other?
- How can we grow the impact investing ecosystem in China and globally?
This October, PIM brought together a group of rising young change-makers and leaders from around the world to dive deep into Delhi’s vibrant impact investing ecosystem, and find our own answers to these questions.
Coming from social innovation policy, education tech, development, and financial investment backgrounds, we each brought our own diverse expertise but shared a common drive to understand what impact investment looks like from the perspectives of entrepreneurs, investors, and change-makers in India. Through site visits to social enterprises, workshops with social entrepreneurs, and conversations with innovators at different stages in their careers, we gained deep insight into the workings of the social impact sector.
Deep Dive: Getting to Know Delhi
From sipping chai tea with English-language students in a local slum, to serving a Langar meal at the Sikh temple, we explored some of the many faces of Delhi and had the opportunity to interact with people from different walks of life.
Special shoutout to Pradeep and everyone at Delhi by Locals, a social enterprise that served as our guide to Delhi’s local sites, giving us Delhi from the eyes of locals.“What impressed me the most was how deeply the concepts of community, charity, and service appeared to permeate everyday life, and how so many in India are integrating these principles into the core of their businesses. I couldn’t believe my eyes.” – Investment for Good Participant
Filling the Gap: Delhi’s Social Entrepreneurs
Our week focused on understanding how social enterprises channel investments to make a sustainable impact. To do this, we visited innovative enterprises working on issues ranging from air pollution to women’s health. We heard from staff, founders, and beneficiaries about topics such as measuring impact and strategies for scaling. Here are a few that impressed me most
Chakr Innovation: Chakr captures emissions from diesel generators and converts the soot into ink for printing. Chakr has developed the world’s first retro-fit emission control device for diesel generators, which can capture over 90% of the particulate matter emissions from the exhaust of diesel generators without causing any adverse impact on the diesel engine. Through a brand called POINK, Chakr raises awareness on the effects of air pollution using ink from the generators.
Swasti’s Invest for Wellness focuses on the health and wellness of the poor, targeting rural factory workers and sex worker collectives with an affordable, quality assured, and scalable method. Through a blended finance model, i4We aims to reach 2.5 million urban and rural poor with primary health services, while delivering an independently certified Social Return on Investment (SROI) of 300%.
“During the trip to India, I was very excited to meet many young social entrepreneurs who are committed to empowering philanthropy with business and technology in order to improve the local environment and enhance the quality of life. ”
-Investment for Good Participant
After studying the business models and impact indicators of more established organizations, we applied our learnings in workshops alongside early stage organizations. This provided the rare opportunity to analyze real start-up cases, and we worked together with the founders to consider long-term strategies for sustainability and to brainstorm solutions to specific challenges.
Workshops with three early-stage social enterprises: Trucup, Gehru & Armadillo Digital
Defining Impact: Impact Investors
Finally, we heard from a variety of impact investors, gaining a sense of the spectrum of impact measurement frameworks from real-world examples and learning how different investors balance mission and money.
During the trip to India I saw the huge potential of impact investment in reducing social inequality and how people can engage in this cause. The program definitely unlocked my imagination as to the possibilities of social innovation in China!
在印度之行中我见识了影响力投资如何减少社会资源分配的不公，个人如何身体力行参与这项事业。行程结束后，我对中国本土的公益社会创新充满更多期待和想象！
— Investment for Good participant
Social Alpha creates impact by nurturing start-ups from lab-to-market. An initiative of Tata Trusts — the oldest nonsectarian philanthropic organization in India — Social Alpha introduced us to an investor model that focuses on finding and supporting high-potential entrepreneurs engaged across a wide variety of industries and issues — focused on impact first.
Asha Impact team in Delhi
Asha Impact is a leading domestic impact investor, focused on mobilizing domestic capital to fund high-quality for-profit social enterprises that are solving major social problems. Their investees range from building a sustainable value-chain for dry waste collection and recycling, to accessible housing finance companies.
Visit with Pradeep Nair , Regional Director, Ford Foundation
At Ford Foundation’s India office, we met with Pradeep Nair, Country Director for India. Pradeep shared The Ford Foundation’s history of fostering impact investment around the world. We discussed the rise of China and India in a rapidly changing world and considered the role of international foundations in helping the Indian region realize its full potential.
A thoughtful week culminated in the Global Steering Group Impact Summit. PIM participants and staff were invited to attend as delegates in the GSG annual meeting. The summit featured a keynote speech by former U.S. Vice President Al Gore, break-out sessions with impact investing professionals, and the opportunity to meet with leading impact investors from around the world.
Participants and PIM team at the GSG Impact Summit
Until Next Time…
Most of all, I’m grateful to have had the chance to come together with young people from around the world to learn about social innovation, explore social entrepreneurship, and grow together. Thank you to PIM, the local partners who opened up their office doors to us, and to everyone who shared their ideas and innovations with us!
