| Co-Investor Frameworks
Funders tend to go it alone on their approach to grant-making, letting non-profits deal with a fragmented reality of many funders ending up in the same project, each with different requirements. Such funding is encouraged through a premium given for leveraging. Your $15,000 will “leverage” another $100,000.
Investors understand:
- Leverage by itself is not an outcome factor. Indeed, a low performing project that attracts more money actually does more harm than a poor project with less money.
- Non-profits can be greatly helped when investors agree to share one outcome framework—with the same requirements. This also reduces investor time by sharing due diligence and investment support.
We have created a number of successful investor collaboratives and offer tools for creating and using a shared framework. The positive gains are substantial over the multiple funder model typically in place.
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