Impact Investing in South Africa

Table of Contents

Why Impact Investing  in South Africa?

andres siimon fCv4k5aAZf4 unsplash min scaled 1 Impact Investing in South Africa

Impact investing in South Africa has a focus on producing a positive, measurable social and environmental impact in addition to a financial return. Impact investing firms are found in both emerging and developed markets and include impact venture capital firms. Recent statistics from the Global Impact Investment Network has shown that impact investment does not only match, but often out performs traditional investment approaches.

Financial markets have become  increasingly global in comparison with many other industries. This trend has given investors and businesses access to almost any market on the planet.

Over several years, investments in emerging markets have provided diversification to investors’ portfolios. Investors have begun to consider this strategy as a means of helping industries that are underfunded and have the potential for higher financial returns

Has A Positive Impact On The Environment 

Climate change, education, agriculture, hunger, poverty, homelessness, and the Covid-19pandemic are all examples of social and environmental issues that impact investing can help to address.

Impact Investing in South Africa Provides A Financial Return On Investment

Impact investing is first and foremost a business activity, and as such, it is expected to generate a financial return on capital or, at the very least, a return of capital.

Spans A Broad Range Of Sectors And Regions

Impact investing encompasses a wide range of asset classes, from cash equivalents and microfinance to private equity and clean technology.

Regularly Assesses Social And Environmental Impact
The impact investor evaluates and reports on the social and environmental performance of invested capital on a regular basis to ensure openness and transparency, and inform potential investors.

Regularly Assesses Social And Environmental Impact
The impact investor evaluates and reports on the social and environmental performance of invested capital on a regular basis to ensure openness and transparency, and inform potential investors.

What are the Key Motivations Behind Impact Investing in South Africa?

Profit is the main objective of most business, and this goal may conflict with other objectives including environmental conservation and responsibly sourced consumer goods. Impact investing challenges these assumptions by providing opportunities to invest in and profit from social and environmental solutions.

The following are some specific opportunities that may arise as a result of taking impact investing for your business:

in South Africa, Impact investing can assist organizations in becoming self-sufficient by allowing them to carry out plans and activities without relying heavily on donations and government subsidies. In exchange for a bigger upfront donation, a soup kitchen, for example, can develop business plans that create both revenue and investment returns. This strategy may lead to the soup kitchen’s self-sufficiency while also generating profit.

Impact investing in South Africa, as in many other parts of the African continent, has the potential to both strengthen and create new working relationships among stakeholders. When a company turns to impact investing to supplement its resources, it can meet like-minded innovators and entrepreneurs from both the for-profit and non-profit sectors who can provide them with the necessary facilities, products, and services. This finding, in turn, may persuade funders to invest in the organization.

Investments in social, health, and environmental causes are a cost-effective way to meet your personal or corporate social responsibility objectives. Instead, smart impact funds enable you to assist in the sustainable growth of a small-holder farmer, a health start-up, or a company solving energy challenges, and to create an inclusive circle of progress.

Unsustainable practices have the potential to deplete the planet’s resources. Businesses can be crippled if they lack raw materials that can be converted into goods and services. Impact investing is an excellent way for businesses to avoid this. Companies that invest in social and economic goals help to create benefits such as resource conservation and a healthy and balanced workforce. These advantages can then be converted into increased profits and business continuity. While impact investing requires time and money from businesses, it is an effective way to ensure business continuity.

Our futures are interconnected. As entrepreneurs, we have a moral obligation to work together to transform economies and redefine the concepts of value. It enables you to participate in social change that has a measurable impact on our planet and future generations.

The Caban Group has been involved in supporting businesses creating a positive impact for the past 10 years.

Contact us

Please complete the enquiry form below to arrange a meeting with our team.

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Block I, Georgian Place, 18 South Road, Kelvin , Sandton, South Africa.
Email : [email protected]

LONDON, CAPE TOWN AND JOHANNESBURG

We are based in Cape Town and Johannesburg and have a presence in London.
Matthew Musgrove

Matthew Musgrove

Matthew is an entrepreneur and business Advisor with a passion for change management and social empowerment. With a background in business accounting and advisory, as well clinical research project management, he strives to find strategic and sustainable solutions to business problems.

Olu

OLUWASEUN ADEWUYI

Oluwaseun Adewuyi who is the Group Chief Finance Officer (CFO) at Caban, is a Certified Chartered Accountant, with Fellowship status at both the ACCA as well as the Institute of Public Finance and Accountancy, a UK Based industry body with a specific focus on the management of charities, not-for-profit organisations and NGOs.. Oluwaseun comes with strong business acumen and 20+ years of progressive experience in finance and operations management within well-reputed and high growth organisations Including Next Plc and Royal Mail. He has been heavily involved in impact investment across Sub-Saharan Africa and has been instrumental in the creation of a series of community schools in West Africa. Throughout his career, he oversaw a broad range of operations, including Business Strategy and Business Reorganisation, summarising the organisation’s financial status, and coordinating the preparation of tactical plans, financial forecasts, and budgets. Adept at developing and implementing effective internal control framework to maintain sound financial accountability.

tim scholtz

TIM SCHOLTZ

Tim Scholtz, who's is the Chief Operating Officer (COO) at Caban Investments, is experienced in implementing corporate governance guidelines, formulating risk management structures, process and cost optimization. Tim has a strong corporate background, having worked as COO at the South African Tourism board, was COO at the Nelson Mandela foundation and as a internal audit manager at Arthur Anderson earlier in his career.

Ben Botes

BEN BOTES

Ben Botes is Entrepreneur, VC, co-Founder, Author and Academic with a strong social conscience. Ben Involved with early stage and growth firms for the past 20 years and has been Co-founder of 9 separate businesses across Africa. Ben has directly and indirectly been involved in impact investment and the support of charities and non profits for the last 30 years. Ben is a regular speaker at the African Investment Conference in London and has been featured in Wall Street for Europe, The Guardian Small Business, BBC, the Mail and Guardian in the UK and BizCommunity, Channel 3 TV, Investors Weekly, The Cape Times, Radio 702 with John Robbie and Good Hope FM in South Africa

Dave Romero

DAVE ROMERO

Dave Romero is a venture capitalist and entrepreneur with a passion for making an impact. A qualified Professional Accountant, Dave has been a director in multiple financial institutions and was once the youngest Chairman on the JSE, in addition to being listed as one of Business Times’ Top 100 companies and the 40th fastest-growing company in South Africa. Dave is a core founder of the Caban Group, which aims to provide a comprehensive service offering to small businesses in return for equity. With a passion for nurturing entrepreneurs, Dave can often be found outside of the boardroom – offering advice, creating innovative funding solutions and building communities through sustainable practices.

ruben

Dr RUBEN RICHARDS

Dr Ruben Richards is a truly inspirational South African leader. Through his peace-building seminars for criminal gangs, Dr Ruben has facilitated the longest ceasefire in the history of gang warfare on the Cape Flats. In addition to being Chairman & Founder of the non-profit Ruben Richards Foundation, Dr Ruben is an ordained cleric, company director, non-executive Chairman of Visual International Limited and was once the Deputy Director-General of the now-disbanded Scorpions.