Introduction to social investment workshop
What is social investment?
Social investment is repayable finance (usually a loan) to help charities and social enterprises grow and increase their impact. You keep control of your mission, unlike equity investment.
Key points
Most social investment in the UK is in the form of loans.
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You repay the money over time, often with interest or fees.
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The loan is to your organisation, not to you personally (unless you offer a guarantee).
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Investors may observe your board but don’t control your decisions.
Are you investment ready?
Think like an investor. They’ll want to see:
- Clear demand for your product or service
- Financial systems and forecasts
- A strong team and governance
- Plans to measure impact
- Realistic understanding of risks
Common questions investors ask
- Do you have paying customers or contracts?
- What are your business strengths and risks?
- Do you have the right team—or a plan to build it?
- Are you asking for the right amount of money to meet your goals?
Tips for early-stage organisations
- Be clear on what you want to learn with investment.
- Use financial forecasts to tell your business story.
- Only borrow to grow income—not to stand still.