What is Impact Investing & the Benefits You Can Earn From It

What is Impact Investing & the Benefits You Can Earn From It

The key to making money and feeling good doing it.

Whoever told you that nice guys finish last lied or never met Jonathan, that guy we sat next to in A.P. Biology who’s now running Silicon Valley. The truth is, investing in meaningful projects isn’t just good for your soul, it’s good for your pockets. Just look at Kiva, an organization which has facilitated more than 1.4 billion dollars to fund social impact initiatives.

Promoting social impact projects can range from funding companies which represent causes you’re passionate about or businesses that have a great idea but don’t have the capital to move forward.

Without investors, companies like Cards Against Humanity, which started with just $15,700 from a Kickstarter campaign would be nothing and us horrible people would be left without a party game.

Before we continue, let’s get one thing clear. Helping fund important social impact initiatives doesn’t just help underserved communities by creating jobs and bringing new economic life into neighborhoods. It allows us to do something meaningful with our lives and make money at the same time.

Stay the Course: the Longevity of Social Impact Projects

You’re probably feeling pretty good about yourself, walking around in the “Feel the Bern” T- shirt that you got after donating $25 to Bernie Sanders’ campaign.

But in contrast to one-time donations, investing in social impact projects can have a larger and more long-term effect. Take Litigation Funding for example. Litigation Funding enables individuals without the financial means to support ongoing lawsuits, to obtain loans from borrowers.

If you followed the case about the parents who sued their son for “mooching off of them”, you know that lawsuits can take a long time. Without Litigation Funding, small businesses and plaintiffs without the money to continue a prolonged lawsuit, would be forced to withdraw their claims against wealthy defendants.

If Kim Kardashian can temporarily abandon her makeup tutorials to help incarcerated prisoners, then we can do our part too.

Social Responsibility is Our Business

Doing good is also good for business.

Customers and talented employees want to be connected to companies which represent their values. That might explain why there are currently more celebrity Goodwill and UNICEF ambassadors than non-profits.

As you start exploring the possibility of investing in different social impact projects, the first step is to create a culture of social responsibility in the workplace.

You know what’s as important as providing your employees with endless coffee, meditation rooms and swag (not that we’re complaining)? Making them feel like they are a part of something bigger than themselves.

Empower your employees by engaging them in the social impact conversation. Ask for feedback and criticism and for ideas as to how your business can promote better and more socially conscious practices. Create opportunities for them to get involved with causes that they are passionate about.

Small acts like encouraging your employees to stop using disposable cups (although Greta’s did a great job) can revolutionize the way they approach their work and environment.

Becoming more socially responsible by investing in these kinds of projects doesn’t mean losing money. It means making money and feeling good doing it. Plus, you can tell everyone about it on Instagram. #kindness.

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