Venture philanthropy is the application or redirection of principles of traditional venture capital financing to achieve philanthropic endeavors. Venture philanthropy applies most of the same principles of venture capital funding to invest in start-up, growth or risk-taking social ventures. It is not explicitly interested in profit but rather in making investments which promote some sort of social good. Venture philanthropy ventures generally focuses on building capital and scale. It is an umbrella term that can be used to refer shorthand to many different kinds of philanthropic investing, but notably, it is distinct from impact investing, which places more emphasis on turning a profit while nevertheless investing in ventures that address social concerns.
[source:
http://www.investopedia.com/terms/v/venture-philanthropy.asp]
Sayed Farrukh Ahmed
Assistant Professor
Faculty of Business & Economics
Daffodil International University
