But Navca says the Department for Communities and Local Government should be wary…
One in five organisations is looking for social investment of more than £1m, with the majority looking to scale an existing programme, according to new research from the Social Investment Business (SIB).
The findings come as SIB launches a survey on what type of finance the social sector needs to inform the development of new funds.
From a survey of 50 organisations, SIB found 20 per cent are looking for more than £1m in funding, with the majority looking to scale an existing programme. The appetite for equity-like products is also strong.
SIB has launched a larger survey which will dig further into the social sector’s investment needs. It asks the sector on what type of projects will grow their social impact; and what type of financial products they would consider taking, including loans, charity bonds and equity, and what terms they would find acceptable.
The findings will be used to develop new funds.
Jonathan Jenkins, chief executive of the SIB Group said: “From managing more than 1,000 relationships with our investees over the last ten years we know a good deal about their financing needs, but to make sure our new funds have the maximum impact we need to hear from more sector organisations about what they need finance for and what sort of deals look attractive to them”.
At an event earlier this year, Jenkins suggested that SIB might start new funds which lend to organisations which are capable of distributing a profit but still had a social purpose.
SIB’s new survey includes 'a private business with social goals', in its list of organisations from which it seeks responses.
This article was taken from www.civilsociety.co.uk - http://www.civilsociety.co.uk/finance/news/content/13178