Good Capital

Its been a while, I agree.

But hey, things are on a roll here. I am in San Francisco, been here since mid-May pursuing my internship at Good Capital, a sustainability focused VC firm. My responsibilities are two-pronged: develop and support the social capital index and assist the portfolio team with due diligence of their investment pipeline.

I also wrote a brief introduction about me and my assignment for the 'Good Capitalist', Good Capital's free monthly community newsletter. The same should serve well for this post.

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In our quest to make this world a better place, I've come on board for the summer here at Good Capital to help flesh out the firm's Social Capital Index (SCI) initiative. Lack of efficiency and transparency in private social capital markets is a stumbling block in channeling funds towards social and communal causes. Developing the SCI is a first step towards a well organized financial system that has the potential of transforming the way growth capital is raised and applied in the sector. We believe that the SCI will help fill a critical piece of the puzzle and will help accelerate the flow of capital to good.

From the perspective of an MBA student seeking a career in the social venture capital space, this is a great opportunity for me to learn about the industry, its practices and its dynamic landscape. I have a Sustainable Enterprise and Investments concentration at UNC's Kenan-Flagler Business School, and this internship with Good Capital allows me to blend my skills, background and career aspirations seamlessly. (More about me here.)

The Social Capital Index is also a platform for me to meet with sustainability focused entrepreneurs and investors and to build connections that will help me immensely throughout my career. While leveraging Good Capital?s broad network and my technical and financial skills, I want to contribute substantially towards the development of an asset class that attempts to value illiquid and patient investments.

Investments in this sector have reached a point where measuring them has become critical. The Social Capital Index (SCI) hopes to achieve this goal in its first phase. By collecting information about private investments, the SCI will account for deals that essentially fall through the cracks since they are not covered by other measurement indices. Beyond sizing the social capital market, we envision that as the market matures the SCI will develop into an asset from which other investment products will branch off. Through the SCI, we will not only measure the flow of capital in social markets but also create an efficient community resource that will benefit both entrepreneurs and investors.

I am currently building a simple online database that will enable us to make the information dynamic rather than static and make it easier for funds and entrepreneurs to put themselves into the index.

The SCI is one means to a satisfying and significant end. The key to global peace and prosperity lies in the hands of tomorrow's youth and it is important that we give them a chance to explore their talent and maximize their potential. Providing access to primary education and a basic standard of living is paramount to achieving that dream. By accelerating the flow of funds towards social causes and base of the pyramid markets, the SCI will be instrumental in achieving that dream and eventually in bringing a smile to the face of every child in this world.
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