Are you looking for both financial and social returns?

The Samridhi Fund is an approx. ₹430 crore social venture capital fund. SIDBI has envisaged the creation of the Samridhi Fund to provide capital to social enterprises which can deliver both financial and social returns.

Are you looking for both financial and social returns?

A social venture capital fund in the amount of 430 crores, The Samridhi Fund. To finance social enterprises in Bihar, Uttar Pradesh, Madhya Pradesh, Odisha, Chattisgarh, Jharkhand, Rajasthan, and West Bengal that may provide both financial and social benefits, SIDBI has envisioned the development of the Samridhi Fund.

Scheme Benefits & Highlights:

1.Investments will often be made in growth-stage businesses that already have a solid business model, an original business plan, or items and technology with the potential to achieve significant scale.

2.Samridhi offers a number of funding options, including equity and convertible instruments, to provide growth capital to businesses.

3.Typically, Samridhi offers funding in the region of INR 5 to 25 crore. Samridhi may invest amounts outside of this range in unusual circumstances, particularly where significant developmental impact can be produced.

4.Target sectors includes, but are not be limited to:

5.Water & Sanitation

6.Affordable Healthcare

7.Agriculture & Allied services

8.Clean Energy

9.Financial Inclusion (Including MFI’s)

10.Education

11.Skill Building, etc.

Process:

The funding process typically takes 3-6 months, and involves the following stages:

1. Go/No Go Decision: The Investment Committee will make a decision based on SVCL's preliminary review and the company's presentation (IC)

2. SVCL team's thorough evaluation

3. Final Investment Committee Decision

4.Due Diligence and Documentation

For further details, please click here: http://www.samridhifund.com

Eligibility:

The conditions neccessary for getting funded are as follow:

  • Be economically viable
  • Provide access to markets for the poor
  • Be socially relevant and impact the poor as customers, producers or employees
  • Increase the flow of capital to the above mentioned states
  • Focus on Environment, Social and Governance matters.

The enterprises must have plans to expand operations in any or all of the following states – Bihar, Chhattisgarh, Odisha, Uttar Pradesh, West Bengal, Madhya Pradesh, Jharkhand and Rajasthan.

  • Samridhi will not invest in any of the following businesses or activities:
  • Illegal or banned activities, including child labour.
  • Businesses dealing with hazardous chemicals, asbestos, pesticides and wastes; ozone depleting substances; and endangered or protected wildlife or wildlife products.
  • Arms and ammunition
  • Companies which have been proven to be involved in fraud and corruption.

Documents Required:

Companies seeking funding from Samridhi should provide a detailed information memorandum containing background of the company and the promoters and investors, past financials, business plan, financial projections etc.