TLDR:
- New Ventures, led by Rodrigo Villar, is focusing on niche impact investing with specialized financing vehicles for specific challenges.
- The organization runs accelerators in Latin America, has a lending facility, and manages thematic venture funds.
Rodrigo Villar of New Ventures is celebrating 20 years of impact in Madrid. Many impact fund managers aim for scale by raising larger funds, but New Ventures is specializing in niche impact investing. The organization’s new Empodera Fund is raising capital to provide flexible funding for healthcare solutions for women across Latin America. Viwala, New Ventures’ lending facility, offers financing for transgender-led companies in Mexico, and ventures conserving oceans and coral reefs. The first thematic fund by New Ventures Capital has invested in startups with tech solutions for youth wellbeing. Villar believes that focusing on specific problems rather than the impact investing industry itself can break barriers and have a deeper impact.
New Ventures originally started in Mexico City and raised over $60 million before selling its revenue-based finance fund manager to Deetken Impact in 2021. The organization now runs about a dozen accelerators each year in various cities, supporting around 250 companies annually. Villar emphasizes the need for intentionality in impact investing and believes the industry should move beyond private equity funds to create a more complex ecosystem. By going niche, New Ventures can design specialized funds with the right size, people, mechanisms, and LPs to address specific problems in a better way.
Villar highlights the importance of innovation and partnership to meet the needs of the growing market for social and environmental entrepreneurs in Latin America. He stresses the significance of developing a more robust financial infrastructure beyond just funds, including debt facilitators and warranties. Additionally, Villar calls for the consolidation of the impact investment ecosystem in the region to support larger projects and achieve greater scale. New Ventures is aiming to build a family of funds tailored to specific niches and deepen their impact in various industries.
