Impact Engine is a venture capital and private equity investment firm focused on growing companies that generate positive outcomes in education, health, economic empowerment, and environmental sustainability. They focus on underprivileged groups of people, in their own words: “Businesses… that are founded by and/or create opportunity for people historically underserved by existing markets can be categorized as having people-based impact. The potential to create income through jobs, business ownership, and services that increase the likelihood of gainful employment can create lasting change for individuals and their communities”.
Impact Engine’s mission is to bring more capital to a market where financial returns are linked to positive social and environmental impacts. They manage funds for institutions and individuals that invest in for-profit, positive-impact businesses in private markets. They do both Venture Capital and Private Equity investing.
Impact Engine was launched in 2012 with the goal of recognising entrepreneurs starting businesses with the potential to drive both good financial returns and positive social impact. Impact Engine raised two accelerator funds in 2013 and 2014, all centred on investing in early stage companies. In total, Impact Engine invested in a portfolio of 23 companies.
In 2015, Impact Engine changed its investment strategy and raised a $10 million venture fund that invested in 22 companies. In 2018, they started operating as a public benefit corporation and investing from their second venture fund. They also launched a new product focused on supporting emerging impact private equity funds.
In 2018, Impact Engine raised the capital from 32 unnamed investors as part of a new $25 million fund, according to an SEC filing.