15 Feb Do charity CEOs appreciate social finance?
Pioneers Post, the social enterprise magazine, reported this week that 56% of Charity CEOs do not think that repayable financing sources would benefit their organisations. How to interpret this figure? It suggests that over 40% of Charity CEOs think social finance would be beneficial which, for a relatively young form of financing and an arguably conservative breed of CEO, is meaningful.
The article doesn’t touch on why these CEOs don’t think social finance works for their organisations. It’s likely that many charitable organisations simply don’t have a model that could sustain repayable finance, whilst others may simply not have the risk appetite. What’s perhaps more interesting is the call by one particular CEO for the industry to recognise that social finance is not a “silver bullet” and to acknowledge that other important investments can be made, for example in accumulation of key skills.