TLDR: Impact-First Venture Fund for Mesoamerica Social Enterprises
Key Points:
- Atta Impact Capital launched a fund for “missing middle” social enterprises in Mesoamerica, receiving $1 million in grants.
- The fund aims to invest in revenue-generating social enterprises led by women, addressing a financing gap in the region.
Atta Impact Capital, a Costa Rica-based investor, has launched an early-stage venture capital fund to support “missing middle” social enterprises in the Mesoamerica region, covering central and southern Mexico, Guatemala, Belize, El Salvador, and parts of Honduras, Nicaragua, and Costa Rica. Seeded with $1 million in recoverable grants from IDB Lab and Fundacion CRUSA, the Mesoamerican Catalytic Fund aims to address the financing gap faced by social enterprises in the region.
The fund plans to provide equity checks ranging from $50,000 to $150,000 to up to 10 social enterprises, with a focus on women-led businesses. It will use a redeemable equity structure that allows founders to repurchase shares over time at a predetermined price, providing a unique exit strategy for the region. Additionally, the fund will offer technical assistance to help enterprises refine their pitches and secure funding.
Atta Impact Capital is also seeking additional philanthropic capital to cover operating costs and is looking to validate models for managing funds that are typically too small to sustain traditional management fees. The fund aims to catalyze additional investment in the region’s social enterprises and increase levels of investment readiness among business owners.
In addition to the launch of the Mesoamerican Catalytic Fund, other impact investments in Latin America this week include a digital microlender in Mexico securing $120 million in debt, a Chilean health tech startup raising $1.7 million, and a Colombian climate action policy receiving a $150 million loan. These investments highlight the growing impact ecosystem in the region and the potential for positive social and environmental change.
