© 2018 Community Venture Partners, Inc.

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Social Impact Investing

 

Social impact investing, sometimes referred to as "triple bottom line" investing (offering financial, environmental, and social returns), is changing the way capital is allocated for doing good, around the world. Increasingly, this involves the use of "hybrid" financing models.

 

 

What is hyrbid funding?

 

Hybrid funding involves the combination of grants and donations with for profit investment capital and corporate sponsorship. Nonprofit / for profit hybrid financing methods have been the financing workhorse in other areas that seek to produce both public benefits and "social venture" returns. Examples are found in public transporation, medical research and technology development.

 

By mixing for profit investment with traditional nonprofit funding, CVP seeks to redefine how developement projects and local community initiatives can be financed and help to realize solutions that might otherwise not be feasible using either approach alone.

 

Social Impact Goals

 

Our goal is to effect positive social change through community engagement and employing a collaborative approach to project finance. CVP works with community organizations, local governments, foundations, financial advisors, individual investors, institutional investors and social venture philanthropists to help create win-win-win outcomes to otherwise intractable local planning and development challenges.

 

Hybrid nonprofit / for profit joint ventures and partnerships can more effectively harness the resources and expertise of public and private participants and are often essential to a project's overall triple bottom line success.

 

CVP's IRS Approvals

 

CVP has been approved to participate in joint ventures, partnerships, LLCs, corporations or other such arrangements with other nonprofit and for profit entities in order to further its exempt purposes of promoting sustainable planning, development and affordable housing solutions. 

 

In some instances, CVP may act as a Managing Partner or LLC Manager in order to maintain control over the activities, expenditures and decisions of joint ventures, partnerships, LLCs or other arrangements to ensure that its exempt objectives are attained. 

 

Governing IRS regulations

 

In all instances and in accordance with IRS Rev. Rul. 2004-51 and Rev. Rul. 98-15, 1998-1 C.B. 718:

 

  • No part of the organization’s net earnings inures to the benefit of any private shareholder or individual in conformance with the Section 501(c)(3) of the IRC, and CVP’s adopted Conflict of Interest Policy;

 

  • Participation in the joint venture and/or partnership significantly furthers a charitable purpose; and,

 

  • The partnership or joint venture arrangement permits the exempt organization to act exclusively in furtherance of its exempt purpose and only incidentally for the benefit of the for-profit partners.

 

Disclaimers

 

​Community Venture Partners, Inc. does not have an agreement or any arrangements with any investment or financial companies of any kind. CVP does not provide investment advice, tax advice, brokerage services, insurance services, or underwriting services, asset management, property management, construction management, architecture and engineering or other such services. Donors and other participants are advised to seek the services of properly registered and licensed professionals to assist them in their decision making.