The Equitable Economy Fund was spun out from Start.coop to convene a community of investors looking to accelerate cooperatively-owned and shared ownership companies, while also providing a financial return. Investment in the fund buys a diversified portfolio of multiple cooperatives and shared ownership companies, with focused follow-on capital to the best companies.

Why a fund for co-operative and shared ownership?

Economic inequality is at an all time high, and wealth is increasingly concentrated among business owners and investors. In addition, systemic racism makes it prohibitively difficult for Black, indigenous, and people of color (BIPOC) to start businesses and build wealth. A new generation of entrepreneurs, both white and BIPOC, wants to build transformative and scalable businesses that align with their values and share the wealth generated by entrepreneurship to combat – rather than perpetuate – economic and race-based inequality.

Based on interviews with hundreds of entrepreneurs, access to capital is one of the greatest hurdles facing cooperative businesses. Existing investment vehicles are not generally designed to accommodate shared ownership and most investors hold misperceptions and/or are unfamiliar with cooperatives and other shared ownership businesses. The resulting undercapitalization of these businesses impedes their growth. The Fund allows investors to participate in the growth of these undercapitalized businesses.