| Abstract |
Impact capital is representing a new asset class, it is the new venture capital industry ready to face the institutional, structural, and cultural problems characterizing the Mediterranean region, as well as legal imperfections that must be overcome. This paper presents prominent elements shaping and fostering impact capital in the Mediterranean region such as environment, social and governance elements in the frame of sustainability, as well as a new way to connect philanthropy to investors and investors to philanthropy. Venture philanthropy is a concept getting closer to venture capital. Several philanthropic entities are using their capital following the techniques of venture capitalists in order to optimise management and use of resources It also provides a description of the congruency between Islamic finance and venture capital industry which stand for a positive factor to catalyze capital flow in the region and making value from cross-border investment deals, connecting successful business model all over the Mediterranean region and improving cultural interrelation. Impact capital is a new industry characterized by passion and broad-mindedness. Investors and entrepreneurs shall know that lack of idealism and values is proportionate to failure, since success is traced and reckoned not only with profit but also with satisfaction and peoples real needs. This paper is part of a larger project on venture capital in the Arab-Mediterranean countries and is based on information collected from various sources, including case studies, interviews, and archival data. |