Stanford Social Innovation Review

Part academic institution, part activist group, part think tank, ATREE crosses sectors to breed a new species of conservation agency in India.

Commercial microfinance institutions (MFIs) must calculate two bottom lines: alleviating poverty for clients and also generating profits for investors. To achieve the latter goal, some MFIs charge their impoverished clients exorbitant interest rates. The recent Banco Compartamos IPO in Mexico raises a red flag, demonstrating how easily well-intentioned MFIs and their investors can shift from microlending to microloan-sharking.

World of Good connects female artisans in poor countries with retailers (including Whole Foods Market, pictured) in the West. 

In the early, heady days of the venture philanthropy movement, its proponents touted it as revolutionary, while critics said it was just old wine in new bottles. The experiences of the Center for Venture Philanthropy show that the truth lies somewhere in between: Venture philanthropy is no miracle cure, yet it can be particularly good at building strong organizations, knitting together new networks, and shrinking the power gap between funders and grantees.

Managing Editor Eric Nee spoke with Self-Help’s founder and CEO, Martin Eakes, about the subprime loan crisis and its impact on the poor.

Critics of microfinance institutions (MFIs) ask them to choose between helping the poor or making money for investors, but this is a false choice. MFIs can have their impact and profit, too, says the author, the CEO of the Grameen Foundation. He sketches a new vision of microfinance as a platform, not a product; one that relies on high volumes, not high margins, and that uses limits on private benefit, holistic performance standards, and third-party certification to help MFIs meet both their bottom lines.

Why grassroots design will determine the winners in developing markets.
by Joshua Weissburg

Dancing Deer Bakery helps most when it keeps its eye on the bottom line.

(left): CEO Patricia Karter (right) and employees ice cookies. The company hires heavily from its surrounding low-income neighborhood of Roxbury.

TerraCycle turns what others leave behind into fertilizers and fashion.

Social enterprises combine the best of the nonprofit and for-profit worlds, but that very innovation has made it difficult for them to raise money. Philanthropists are reluctant to give grants to profit-making organizations, and commercial investors are wary of investing in organizations that are driven by a social mission. The authors explore the social enterprise capital market and offer short- and long-term solutions to this funding gap.

How the next president of the United States can spur social entrepreneurship.

How Changemakers’ “collaborative competitions” harness the wisdom of crowds.