Chintan Panchal was featured in Inc. as a leading expert in the impact investing space. They discussed the many advantages and challenges of impact investing.
Chintan explains, “Many opportunities out there may be great financial investments, but the financial return doesn’t tie in with the social return, while others are the inverse. Once you recognize how these objectives play together, you can work to find alignment to make a worthwhile investment.” The key is to make sure that all parties involved have a genuine interest in both the social good and financial success of any deal.
It’s also critical to make sure that impact fuels the business. Panchal continues, “Are the economic and social goals in lockstep and therefore built into the business model? Or is impact the engine that drives the business, as it is in the case of clean energy production? The more critical that a company’s impact is to its own financial success, the more clear it is that impact is in a company’s DNA.” If the impact is closely linked with business performance, then it’s more likely that the company will deliver on both fronts.
Read the full article here.