Q: What is an Impact Enterprise (IE)?
A: An Impact Enterprise (IE) is a non-profit or for-profit organization that uses business methods to achieve a social or environmental mission that benefits a poor, underserved or otherwise disadvantaged group or population.
Q: What costs are involved for the IE?
A: The costs will vary according to the IE’s needs, but the maximum value of support for a IE under ACTS is US $15,000, of which the IE pays around US $1,500 upfront and then around US $11,250 if the IE succeeds in raising capital within 12 months. The remaining US $2,250 is provided as a subsidy by ACTS (paid directly to the technical assistance partner (TAP)). IEs also receive a wholly subsidized IIX impact assessment valued at US $10,000 for a full suite of services, including impact framework, summary & narrative. If the IE does not raise capital within 12 months, then it is no longer liable to pay the second installment (US $11,250).
Q: What costs are involved for the TAPs?
A: There are no financial costs involved for the TAP as it receives 25 percent payment upfront and the remaining 75 percent first as an advance from ACTS, and ultimately from the IE upon successful capital raise. If the IE fails to raise capital within 12 months of receiving technical assistance, it is no longer liable to pay the TAP and the TAP is also no longer liable to repay ACTS. During the capital raising period, the TAP will have the liability of the ACTS reimbursable advance on its balance sheet, although this will net off against a promissory note issued by the IE for the same amount.
Q: What is an IIX Impact Assessment (IA)?
A: IIX’s IA allows for an IE to understand the social and environmental impact that they create, while establishing a reliable and transparent way of measuring that impact.
Q: Who is ACTS supported by?
A: IIX ACTS is supported by USAID, the Rockefeller Foundation, the JPMorgan Chase Foundation and Bank of America Merrill Lynch Charitable Foundation.
Q: Does the IE still have to pay back the loan if they do not raise capital?
A: If the IE does not raise any capital within 12 months of the completion of the TA, it will no longer be required to pay the TAP for the outstanding fees. The IE is meanwhile required to provide a short status update to ACTS and the TAP every 2 months during the capital raising period.