Impact investing Challenge<br />			                             February 26 2011 <br />
Agora Partnerships	<br />2<br />Mission: <br />Agora aims to connect small, developing entrepreneurships in Nicaragua and ...
The Challenge<br />Develop a self-sustaining financial model for the Accelerator Program<br />Establish a market accessibl...
Financial Model Recommendation Framework<br />4<br />$$$ = costly     $$ = moderate    $ = inexpensive <br />
“ImpactXchange”<br />Agora-sponsored social media site connecting potential investors to both each other and early-stage s...
ImpactXchange Analysis<br />Builds a network<br />Benefits<br />Provides access to growth capital<br />Fosters a culture o...
ImpactXchange Profile<br />7<br />
8<br />Why Join ImpactXchange?<br />
9<br />
Financial Model Timeline<br />      Beta Phase<br />Phase I	<br />Phase II<br /> Phase III<br />2010<br />2011<br />2012<b...
ImpactXchange Profit Projections<br />11<br />Estimates refers to number of entrepreneurs; Base Case uses exhibit 7 assump...
Integrating UndergraduatesRecommendation Framework<br />12<br />$$$ = costly     $$ = moderate    $ = inexpensive <br />
“Agora Collegiate Practicum” (ACP)<br />Current Agora MBAs educate undergraduates on impact investing through on-campus or...
Agora Collegiate Practicum Analysis<br />Utilizes undergraduate potential for ideas and engagement <br />             Bene...
15<br />ACP Plan of Action<br />Long-term<br /><ul><li>Implement Youth-to-Youth mentoring
Develop student managed endowment fund and classroom component</li></li></ul><li>Recap<br />16<br />Financial Model Object...
Supplemental Slides: Key Assumptions<br />17<br />Assumed pricing increase from Phase 1 to Phase 2 for selected areas<br /...
Supplemental Slides: Financial Analysis<br />18<br />
Supplemental Slides: Other Scenario Analyses<br />19<br />
Supplemental Slides: Evaluation System<br />A way to account for both financial and social returns in investment criteria ...
Supplemental Slides: Social Benchmarking Incentive System<br />Including social incentives in term sheets<br />Benefits:<b...
Recap<br />22<br />Financial Model Objective: Create entrepreneurial environment via social media website ImpactXchange 	<...
Upcoming SlideShare
Loading in …5
×

Hilltop Challenge - Impact Consulting

392 views
342 views

Published on

Published in: Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
392
On SlideShare
0
From Embeds
0
Number of Embeds
2
Actions
Shares
0
Downloads
0
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide
  • Their Logo ICG logo
  • HIT ON THESE POINTS!
  • Hilltop Challenge - Impact Consulting

    1. 1. Impact investing Challenge<br /> February 26 2011 <br />
    2. 2. Agora Partnerships <br />2<br />Mission: <br />Agora aims to connect small, developing entrepreneurships in Nicaragua and other Central American countries with socially-conscious investors<br />The Accelerator Program provides consultation, development, education, and capital for these social enterprises to create a positive social impact and develop a culture of entrepreneurship<br />
    3. 3. The Challenge<br />Develop a self-sustaining financial model for the Accelerator Program<br />Establish a market accessible to all impact investors<br />Connect investors and entrepreneurs in a transparent environment<br />Engage undergraduate students<br />Leverage untapped human and social capital<br />Provide venues to get involved<br />3<br />
    4. 4. Financial Model Recommendation Framework<br />4<br />$$$ = costly $$ = moderate $ = inexpensive <br />
    5. 5. “ImpactXchange”<br />Agora-sponsored social media site connecting potential investors to both each other and early-stage social enterprises<br />Coordinates investors looking to pool small funds<br />Creates a social entrepreneurship community <br />Highlights Agora Accelerator Entrepreneurs as role models for upcoming entrepreneurs<br />Revenue earned through membership fees and transactions processed by Agora<br />Network effect increases revenues as site <br /> develops<br />5<br />
    6. 6. ImpactXchange Analysis<br />Builds a network<br />Benefits<br />Provides access to growth capital<br />Fosters a culture of impact entrepreneurship<br />Low traffic to site<br />Risks<br />Privacyprotection<br />6<br />
    7. 7. ImpactXchange Profile<br />7<br />
    8. 8. 8<br />Why Join ImpactXchange?<br />
    9. 9. 9<br />
    10. 10. Financial Model Timeline<br /> Beta Phase<br />Phase I <br />Phase II<br /> Phase III<br />2010<br />2011<br />2012<br />2013<br />2014<br />2015<br />2016<br />Develop<br /> site<br />Launching<br /> Year<br />Monitor engagement, traffic, and <br />investments brokered through site<br />10<br />
    11. 11. ImpactXchange Profit Projections<br />11<br />Estimates refers to number of entrepreneurs; Base Case uses exhibit 7 assumptions<br />See supplemental slides for further analysis and assumptions<br />
    12. 12. Integrating UndergraduatesRecommendation Framework<br />12<br />$$$ = costly $$ = moderate $ = inexpensive <br />
    13. 13. “Agora Collegiate Practicum” (ACP)<br />Current Agora MBAs educate undergraduates on impact investing through on-campus organization<br />Structure<br />Functions as an extension of MBA consulting teams<br />Begins with recruiting efforts by MBAs early in semester<br />Follows curriculum designed by Agora with input from MBAs<br />Develops undergrads as future impact investing consultants with MBAs as mentors<br />13<br />
    14. 14. Agora Collegiate Practicum Analysis<br />Utilizes undergraduate potential for ideas and engagement <br /> Benefits<br />Creates an entry into the impact investing industry<br />Develops a pipeline of potential investors and future MBA consultants<br />Risks<br />Administrative Obstacles<br />MBA Turnover Rate<br />14<br />
    15. 15. 15<br />ACP Plan of Action<br />Long-term<br /><ul><li>Implement Youth-to-Youth mentoring
    16. 16. Develop student managed endowment fund and classroom component</li></li></ul><li>Recap<br />16<br />Financial Model Objective: Create entrepreneurial environment via social media website ImpactXchange <br />Creates a network among investors and entrepreneurs<br />Provides access to capital<br />Fosters an impact entrepreneurship culture<br />Undergrad Engagement Objective: Partner with MBA consulting teams to develop Agora Collegiate Practicum<br />Utilizes undergraduates’ potential<br />Creates a gateway into impact investing<br />Cultivates potential MBA consultants and/or investors<br />Develop ACP participants as future impact investors using ImpactXchange<br />
    17. 17. Supplemental Slides: Key Assumptions<br />17<br />Assumed pricing increase from Phase 1 to Phase 2 for selected areas<br />* Exhibit 7 assumption<br />Average Investment per Firm: assumed 150000 average investment assumed (Q/A session), 2% growth equal to GDP<br />Incremental Transaction Fee: assumed investors WTP for ImpactXchange service is equal to current transaction fees<br />Investors adopting system: assumes growth rate equal to projected<br />Beta year: no subscription revenues in 2010 for free pilot service in order to find system bugs, receive feedback, and spread awareness of product<br />Social Metrics Subscription Rate: rate of adopting investors choosing to buy metrics<br />Estimated Development Costs: assumed 30000 yearly expenditures on social media in Phase 1 for website development. Phase 2 consists of limited development and mostly operational costs<br />No additional Costs implementation Costs<br />Exhibit 7 sensitivity Analysis<br />
    18. 18. Supplemental Slides: Financial Analysis<br />18<br />
    19. 19. Supplemental Slides: Other Scenario Analyses<br />19<br />
    20. 20. Supplemental Slides: Evaluation System<br />A way to account for both financial and social returns in investment criteria in cooperation with GIIRS<br />Showcase the advantage of investing as opposed to other non-profit opportunities<br />Benefits:<br />Measureable SROI for investors to consider<br />Accounts for investor risk, develop WTP<br />20<br />
    21. 21. Supplemental Slides: Social Benchmarking Incentive System<br />Including social incentives in term sheets<br />Benefits:<br />Growth of entrepreneurial thinking in addition to revenue growth<br />Monetary incentives for increasing social impact<br />Gives investors influence on business models<br />21<br />
    22. 22. Recap<br />22<br />Financial Model Objective: Create entrepreneurial environment via social media website ImpactXchange <br />Creates a network among investors and entrepreneurs<br />Provides access to capital<br />Fosters an impact entrepreneurship culture<br />Undergrad Engagement Objective: Partner with MBA consulting teams to develop Agora Collegiate Practicum<br />Utilizes undergraduates’ potential<br />Creates a gateway into Impact Investing<br />Cultivates potential MBA consultants and/or investors<br />Develop ACP participants as future impact investors using ImpactXchange<br />

    ×