Today’s entrepreneurial philanthropists seek strategies to make a positive social impact and multiply their financial impact. Impact investing is a strategy that enables achievement of both goals and it’s why more philanthropists are choosing Seattle Foundation as their philanthropic partner. One of our service offerings, impact investing is any type of investment structured to generate both a financial return and a measurable social return.
Seattle Foundation philanthropists can participate in impact investments through a Community Philanthropy Fund, Family or Personal Foundation or Corporate Foundation, including loan guarantees, loans to nonprofit organizations or equity investments in a business (subject to qualifying criteria and financial feasibility standards). These investments can be made in for-profit companies working toward positive social and environmental change, and in nonprofit organizations with revenue streams. The principal is generally returned (according to the terms of the specific investment) and the income generated is also returned to the philanthropist’s fund, continuing the cycle of social investment.
Seattle Foundation has been helping philanthropists make impact investments for more than a decade. Our region is flush with entrepreneurs eager to apply private sector financing strategies and discipline to social change, but it can be difficult to know which impact investment opportunities are the best bets in terms of outcomes. Seattle Foundation’s team relies on years of expertise and in-depth community knowledge to help philanthropists make investment decisions that meet both their financial and community impact goals.
Two Ways To Get Started
Philanthropists with a Community Philanthropy Fund can invest in one of Seattle Foundation’s current offerings, which are generated by our team and designed to support one of our investment priorities. If you have a Family Foundation, you can both participate in our current offerings as well as propose an impact investment in a company or nonprofit organization that you identify (subject to qualifying criteria and minimums, board approval and due diligence). This is a great way to mobilize multiple philanthropists to support a project or organization of common interest. For most impact investments, the minimum per philanthropists’ fund is $25,000. The overall investment must meet a minimum of $100,000 and a term of three years or longer.
Seattle Foundation Impact Investing Criteria
• Addresses our Healthy Community Framework
• Generates ample donor interest
• Addresses economic and racial equity
• Located within Foundation’s geographic focus area
Social Impact Investment Strategies
For more information on getting started with impact investing, contact Allison Parker or Michael Brown at Seattle Foundation.
Impact Investing is a complex topic, and others found these selections from the Impact Giving archive from Giving Compass to be good resources.
Looking for a way to get involved?
Learning with others and benchmarking are key steps towards becoming an impact giver. If you are interested in giving with impact for Impact Investing, take a look at these events, galas, conferences and volunteering opportunities to connect with individuals like you.
Are you ready to give?
If you are interested in Impact Investing, please see these relevant Issue Funds, Charitable Organizations or Projects where you can get involved.