Every company needs some sort of starting capital, and there are always investors who are willing to part with their money for something in return. Some investors look for particular qualities in a business before they even think about parting with their money. Social venture capitalists are investors who put high priority on businesses that are socially and/or environmentally aware and responsible. The money that they offer as funding for startups is called social venture capital.
These days, environmental and social issues cannot be overlooked. Problems in these areas are being highlighted on a daily basis all over the world, and more and more people are becoming aware of the problems that we face today. As a result, more businesses are realizing their responsibility in terms of environmental and social issues. These businesses can be characterized by many things, one of which is having processes and policies that will ensure a lower carbon footprint. They may have energy-saving equipment installed. They may also have in-house practices required of the employees with the goal of saving energy. Recycling and other waste disposal policies can also be part of the process.
Social venture capital is not really different from other forms of capital in that the investors still want to get something out of their investment. They put in the money because they believe that the company is worth something. The main thing really is that these investors also want to do their part in giving back to society and the environment.