Social Investment Proposal

Document Sample
Social Investment Proposal Powered By Docstoc
					       Social Venture Partners Minnesota 2011 Investment
                       Proposal Guidelines


Call for Investment Proposals              February 11, 2011

Information Meeting for interested         February 23, 2011

Proposals Due                              April 1, 2011

Review by Due Diligence Team               April 4 – May 23, 2011

Investee Announced                         May 26, 2011


Social Venture Partners Minnesota is an engaged philanthropy organization that leverages
the money and talents of its members to promote philanthropy and improve the lives of ‘at
risk’ children and youth in Minnesota. Our members are successful entrepreneurs, corporate
executives, and professionals skilled at growing organizations with a heart for making a better
world. We are business entrepreneurs working alongside social entrepreneurs to solve social
We follow the venture capital model of patient, long-term investment combined with hands-on
assistance to help transform the social entrepreneur’s vision into reality. We invest our financial
capital, social capital, and intellectual capital in the nonprofit innovators we support.
Social Venture Partner members gain satisfaction from giving of their talents, as well as their
money, forming personal relationships with the nonprofit staff they work with and the children
served by the nonprofit. Through our youth program, SVP Teens, we prepare the next generation
of philanthropists.


Social Venture Partners works with innovative 501(c)(3) organizations that improve the lives’
of children and youth. We follow a venture philanthropy model that provides both financial
and technical assistance for the organization’s we support. We have found the combination of
financial investment and investment of our members’ business skills for organizational capacity
building produces the best long-term results for our investees. We provide multi-year funding
in the form of grants up to $25,000 per year to be used for general operating support. Social
Venture Partners is committed to multi-year funding of its investees (2-4 years) because we
believe that this creates the greatest potential for improving the investee’s organizational
effectiveness. Each investee is required, however, to develop mutually agreed upon performance
milestones and report on their attainment to determine if another round of investment will be


                      Investing in social entrepreneurs. Leading social change.
Social Venture Partners will not consider grant requests from individuals; organizations that
discriminate; religious organizations for sectarian purposes; sports teams; and political or
lobbying organizations. Furthermore, it does not make grants to organizations for the sole
purpose of fundraising events/auctions, debt reduction, endowment funds, or litigation/legal


In its spring 2011 investment cycle, Social Venture Partners is investing in social entrepreneurs
who serve the social, developmental, or educational needs of children and youth ages pre-natal
to age eighteen. Social Venture Partners will consider investing in social ventures that meet the
following attributes. They must:

Ø    Demonstrate they are an entrepreneurial organization lead by a visionary social
     entrepreneur. The social entrepreneurial organization:
    o Is inspired to change a social problem
    o Acts innovatively to create a new solution to the social problem
    o Takes direct action by creating new organizations, services, or markets
    o Demonstrates courage and persistence and bears the risks of innovation
    o Has a workable plan to move from vision to reality
    o Creates demonstrable social benefit through the value proposition they pursue

Ø    Be committed to growing their organization and expanding their reach to new markets,
     geographic areas, or larger numbers of customers served.

Ø    Have an innovative model that allows them to deliver outcomes for children / youth superior
     to other organizations working in the same field.

Ø    Be early stage, but at or beyond the ‘proof-of-concept’ stage of development. ‘Proof-of-
     concept’ means that the venture is not a start-up, but has some operating history and can
     demonstrate how it has improved the lives of the children or youth it serves. While most
     of our investees are early stage organizations, large, established nonprofits with new and
     innovative approaches would also be considered if they meet all the other criteria listed in
     these guidelines.

Ø    Seek capacity building assistance as well as financial assistance. Social Venture Partner’s
     investment in the investee is a ‘package deal’ in that we provide both financial investment
     and technical assistance to improve the organizational capacity of the investee. We define
     capacity building as efforts that improve an organization’s ability to achieve its mission and
     could include such things as marketing, strategic and business planning, financial analysis,
     human resource systems, product development, information technology, or executive
     coaching for investee managers. Proposals that are most clear about what capacity building
     assistance is requested have a much better chance of being selected for investment.

Ø    Additionally, while collaboration with other organizations is not a requirement we welcome
     proposals that seek support for such work. Collaboration can include joint ventures,
     mergers, shared services, and other projects that combine and leverage one organization’s
     resources with another’s.

                      Investing in social entrepreneurs. Leading social change.

   1. Answer the questions in the proposal limiting your responses to a maximum of 5 pages
      (using a font size no smaller than 10 pt.) Label your responses to the questions with the
      numbers corresponding to the question, e.g. 2.1, 2.2, etc.

   2. Submit the proposal document only. Please do not send brochures, DVDs, CDs, annual
      reports, or other materials not specifically requested. You may embed links to videos,
      photos, web sites, etc. in the body of your proposal.

   3. All proposals must be in the Social Venture Partners Minnesota office no later than 5:00
      pm CST, April 1, 2011. Any proposals received after that time will not be considered.
      Submit your proposal as an email attachment to placing SVP
      proposal and your organization’s name in the subject line. Do not mail hard copies
      of the application.

If you have questions about completing the proposal please contact Brad Brown, Social Venture
Partners Minnesota at (952) 844-5230.

                     Investing in social entrepreneurs. Leading social change.

Shared By:
Description: Social Investment Proposal document sample