Bridging philanthropy and investment to support young impactful enterprises
R&Co4Generations has embarked on a new phase of its strategy, Venture Philanthropy – bridging philanthropy with investment. This new dynamic tool enables the foundation to amplify its capacity to make a difference by using investment profits to continue its mission of supporting social and environmental causes, locally and globally.
In collaboration with Five Arrows, R&Co4Generations is backing pioneering social or environmental purpose startups with self-sustainable business models addressing youth unemployment, biodiversity protection and climate change.
R&Co4Generations benefits from the support of a dedicated pro bono network primarily in Paris and London, including colleagues from Global Advisory. They lend their time and expertise to identify and analyse potential companies that could benefit from funds, professional guidance and connections.
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An “impact first” investment strategy lies between donating to an association and traditional equity investment in a company. Our objective with the R&Co4Generations foundation is to be able to support these innovative companies by providing them with the necessary financial resources, advising them and allowing them to benefit from the Rothschild & Co group network to help them develop.
I am proud to be part of this new tool for R&Co4Generations that fosters cross-collaboration, skills development and networking for our colleagues while driving tangible change for a sustainable future.”
Mireille Klitting, Rothschild & Co Partner, Five Arrows
Our investment strategy
Equity investments are set up to support the development of innovative startups and deployed in compliance with several criteria. The company needs to:
- have a strong environmental or social impact as part of its core business
- be innovative, whether technological or methodological
- show scalability opportunities and growth potential
- respond to one or more of the UN Sustainable Development Goals R&Co4Generations has aligned with.
Our investments
To date, we have made four equity investments to support young companies with high potential for impact:
Earthwake is transforming plastic waste into fuel using mobile pyrolysis ovens known as Chrysalis, which are packaged in containers. This innovative approach helps address the problem of plastic pollution while providing a sustainable source of energy. Chrysalis was selected among the Solar Impulse Foundation’s “1000 solutions to change the world”.
Investment: 2022
Impact KPIs:
- Will soon recycle 1.3kg of plastic waste into 1L of fuel
- Each unit will be able to value 70 tonnes of plastic waste per year
Video is in French with no English subtitles
Biscornu is a French catering enterprise that proudly embraces social responsibility by providing employment opportunities for young adults with disabilities. Their culinary creations are crafted with a sustainable touch, utilising partially downgraded fruits and vegetables rescued from food waste.
Investment: 2023
Impact KPIs:
- 20 full-time staff with a developmental disability employed (2023)
- + 40 people with a developmental disability employed for 400 events (2023)
Video is in French with no English subtitles
Stokelp is a comprehensive software as a solution (SaaS) dedicated to minimising food waste within the food industry. This innovative platform empowers manufacturers to maximise the value of their surplus food inventory, encompassing a wide range of items such as fruits, vegetables, meat, and more, by facilitating their resale to fellow industry players who require them. Additionally, Stokelp enhances transaction transparency, ensuring a more efficient and accountable food supply chain. Investment: 2023
Impact KPIs*:
- 4,080 tonnes of CO₂ saved
- 6,037 tonnes of raw materials saved since the launch of the platform
*since the launch of the business
Video is in French with no English subtitles
Redemption Roasters is the UK's leading impact-led specialty coffee business with a unique social mission. The social enterprise specialises in coffee roasting and operates as both a wholesaler and coffee chain, training and employing prison leavers to break the stigma associated with hiring individuals with criminal records. Having supported over 1,500 prison leavers, Redemption Roasters has achieved a reoffending rate 2x lower than the national average. (source)
Investment: 2023
Impact KPIs:
- 30 prison leavers employed in 10 coffee shops (2023)
- 1,175 hours of training provided to 195 prison residents taking part in the prison academy (2023)
Video is in English with no French subtitles
Our pro bono network
Our Venture Philanthropy is supported by Rothschild & Co teams who take part in investment projects on a pro bono basis.
They contribute to sourcing projects, conducting due diligence, finalising investments and supporting, challenging and advising portfolio companies during the investment period.
Watch this video to hear from some of our UK members' recent experiences with the Redemption Roasters collaboration.
Click on each location to meet our pro bono network
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Our ambition to mobilise an additional financial tool, strategically aligning our investment strategy with our primary mission — to empower future generations and protect the environment — is an integral extension of R&Co4Generations. Our Venture philanthropy strategy is a comprehensive and impactful approach that combines financial resources, expertise, and collaborative efforts to create a tangible impact in addressing critical social and environmental challenges.”
Claire Kramme, Executive Director, R&Co4Generations