CAN Invest - Early Intervention Fund
Funding for social enterprises to deliver outcomes in East London
The Early Intervention Fund is a new fund launched by CAN to accelerate positive early intervention impact on communities and individuals in London.
Meet our Investees and see their case studies.
We are now accepting applications... apply now!
Why has the fund been launched?
Young people and their families living in London face a range of significant challenges. For instance, local boroughs report very high levels of deprivation and some of the worst situations in the country in terms of:
- poor education
- ill health
- poverty and child development
The Voluntary, Charity and Social Enterprise Sector (VCSE) has a long history of engaging communities and supporting people to address these issues.
CAN and this social investment fund aims to help VCSEs on these challenges, via an early intervention agenda.
We are doing this to help young people in London to address potential challenges before they become serious problems and to help them achieve their full potential in life.
Who is involved in the fund?
CAN's Early Intervention Fund is delivered in partnership with UBS.
Funding London are also a co-investor to the Fund, providing match funding of £500,000.
What is the fund for?
The fund will provide loans and business support to VCSE organisations who deliver innovative, demonstrably effective products and services in the ‘early intervention’ space for the benefit of children and young people. We have defined Early Intervention (EI) as:
“programmes that support targeted action to prevent social cost and personal harm for children and young people.”
How could the loan be used?
Loans are available between £5,000 – £100,000 depending on the needs and capacities of the specific organisation and can be suitable for aiding organisations in a number of scenarios, such as;
- Working capital / cash flow - to help organisations manage ‘payment in arrears’ style contracts.
- Growth finance - to help organisations pilot a project for later expansion
- Early Intervention outcomes - to help facilitate payment by results contracts, mini SIBs, or other similar work
What are the objectives of CAN?
CAN Invest believe there is a disconnection between the requirement for funds and the way in which most social investors look to provide them. The current market consists mainly of secured loans ranging between £150,000 – 250,000 with high rates of
8 – 11%.
With this fund CAN Invest aim to provide straightforward smaller value and unsecured loans at a maximum of 4%. This offers VCSEs the opportunity to; improve their cash flow, pilot new projects, scale their operations whilst safely 'testing the waters' of the emerging social investment market.
CAN are keen to offer as many loans as possible to suitable organisations, but will also offer support and due-diligence to understand whether it is an appropriate option for each organisation respectively. CAN endeavour to ensure each organisation is not put into a financial situation that will be detrimental to their operations.
Specifics of the loan:
|Location of impact:||
London: City of London, Hackney, Barking and Dagenham, Havering, Newham, Redbridge, Tower Hamlets, Waltham Forest, Greenwich, Lewisham, Bexley, Hammersmith and Fulham, Ealing, Brent, Enfield and Haringey
|Funding size:||between £5,000 and £100, 000|
|Type of fund:||Loan fund|
|Interest rates:||Variable and linked to outcomes, maximum 4%|