Top 4 impact crowdfunding sites for 2022

Written by Lori Campbell on 27th Jan 2022

Crowdfunding can be an exciting way to get involved with funding environmental businesses with the hope of getting something back. The following platforms offer equity stakes in early-stage businesses in return for cash, often in the form of an an annual yield – like an interest rate.

Crowdfunding is higher risk than other types of investment, meaning you probably shouldn’t stake your pension on it, but there’s always the chance you’ll pick a winner for yourself and for the environment.

Triodos Crowdfunding

Triodos launched its peer-to-peer crowd-funding site, Triodos Crowdfunding, in February 2018, becoming the first bank to do so. The pioneering sustainable bank has already raised more than £167 million for more than 70 impact projects across 43 organisations.

The website features a handpicked selection of environmental and social impact projects from solar projects to wood recycling initiatives to local breweries. There is currently a six per cent sustainable bond offer by sustainable veterinary enterprise Animal Trust Vets CIC. The money raised will fund the organisation’s growth and enable more pet owners, particularly those with a low income, to access affordable care for their animals.

Triodos also has its own Innovative Finance ISA (IFISA), helping you to keep gains tax free – as well as Good.

Ethex

Investing doesn’t get more grass-roots impact than the projects funded by Ethex. Together with its sister platform Energise Africa – a pioneering project providing solar panels for rural communities throughout Africa – Ethex has funnelled more than £100 million into 200+ environmental and social impact projects through 25,000 investors.

The site regularly features new offers. Currently it has a shares offer with homelessness charity Greater Change with a forecast three to 10 per cent return, and a 15-year unsecured bond offer with community energy organisation Heart of England with a forecast four per cent return.

Like Triodos, Ethex offers an IFISA for eligible bonds.


The Good Guide to the IFISA


Crowdcube

Crowdcube has helped hundreds of well-known companies secure investment, including Nutmeg, Mindful Chef and Moneybox. Crowdcube also supports a range of renewable energy and small social start-ups – from innovative plastic recycling firms to apps helping businesses reduce waste and energy efficient AI on farms. Fund the future here.

One current offer is to buy shares in Devon-based EMotive, for the development of an all-electric off road vehicle.

Abundance 

Abundance is focussed on raising capital for larger-scale renewable energy infrastructure, having raised around £121.4 million for 49 projects since 2012, which have also paid out more than £38.5 million in returns for faithful investors. The platform features a range of projects – from biomass reactors to wind farms to tidal wave projects with many targeting annual returns in excess of five per cent.

Timeframes vary, however projects can be very long term – up to 20 years, for example. Like all of the above options, only long term investors dedicated to doing good with their money should apply.

It is currently offering a five-year investment with electric vehicle company Iduna 2, to help it expand its charging infrastructure across the North West.

Or you could back Islington Council to build a cleaner, greener, healthier community. The five-year investment offers 1.55 per cent fixed interest per year.

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