Debt & Equity
When we invest directly in for-profit enterprises, we are able to deploy capital in the form of debt and equity, and we try to take advantage of the full range of investment tools available across the capital spectrum to find the best match for the enterprise’s capital needs.
The kinds of enterprises we invest in tend to be:
- Well-established, with a multi-year track record, a solid management team and a reliable operating model;
- Influential, that is, in a position to have impact that goes beyond its geographic footprint or direct operations;
- At the threshold of a substantial growth or change opportunity that will lead to greater impact, increased revenue and sustainable operations
- (for equity/enterprise capital grants) Able to explain how a capital infusion from Heron and other providers will lead to more revenue from regular operations
- (for debt) Able to link debt to strong social impact and a reliable, credible source of repayment.