An Analysis of Not-For-Profits' Initial Foray into SSE Fundraising

Abstract

The concept of impact investment through the Social Stock Exchange (SSE) came into existence with the budget speech of 2019. Not-for-Profit Organizations (NPOs) had a considerable amount of social impact before raising funds through SSE.  There is a distinction between direct donations and investing through SSE. Unlike direct donations, this method of supporting social causes is organised and comes with extra benefits, including reliability, accountability, and potential tax incentives. To date, seven companies have raised funds through SSE using the Zero Coupon Zero Principal (ZCZP) instrument.  The present research article overviews the proposed social impact together with the outcome for the objective of the issue.  It also compares the share issue expenses. Offering a transparent and organised venue for impact investments, the SSE is an innovative initiative in India.  After completion of the project, calculating the impact and outcome of SSE projects gives scope for further research.