NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

By Matthew Forti & Claire McGuinness

A fly on the wall at the coffee chats and meet-ups of social changemakers would hear a common lamentation: The social sector’s funding pipeline pales in comparison to the private sector. New private sector enterprises have a well-established conveyor belt, from angel investment to venture capital to private equity to public (stock) markets, rewarding the most successful with ever larger injections of capital. As a result, generally-speaking, adequately-resourced enterprises end up collectively meeting the market demand in a given industry.