Description
In such a detailed explanation around new ventures voices of the entrepreneurs.
FrancIsco ]. Alvarez
LuIs FelIpe Avella VIllegas
SurIsyono 8ayu
SvatI 8hogle
CaIo 8onatto
GuIllermo ]aIme Calderón
]oselIn Castañeda
LucIo OI OomenIco
XavIer Fargetton
GuoqIang Gao
Iván RIcardo Gómez
Hugo Hernandez
C.S. ]adhav
OavId Kasno
LuIs Fernando Laran|a
Guadalupe Latapí
CInthIa Magalhâes
GIlberto MeIrelles
Roberto Murat
CamIlo Pages
Ooug Peterson
Francesco PIazzesI
Mohan Ranbaore
8en|amIn RIpple
Mayank SekhsarIa
Steve ShI
Mano| SInha
]uan Manuel Soto
AlIredo Suárez RIvero
HaIIa Wahyu
Yucheng Yang
ZhaohuI (Anna) Yang
AUTHORS:
GIulIa ChrIstIanson
Kate Hyder
Aram Kang
CoµyrlghL 20J2 World Resources lnsLlLuLe.
1hls work ls llcensed under Lhe CreuLlve Commons
ALLrlbuLlon-NonCommerclul-NoLerlvuLlve Works 3.0
Llcense. 1o vlew u coµy of Lhe llcense, vlslL hLLµ.JJ
creuLlvecommons.orgJllcensesJby-nc-ndJ3.0J
New Ventures would like
to thank the entrepreneurs
who lent their voices to
this publication:
1hlrLeen yeurs on, Lhe µroof of our
conceµL ls demonsLruLed dully uround
Lhe world. As englnes of economlc
growLh und luboruLorles for envlron-
menLul und soclul lnnovuLlon, smull und
medlum-slzed enLerµrlses ure helµlng
Lo bulld modern economles LhuL
lmµrove µeoµle’s llves whlle conservlng
nuLurul resources.
1hls ls esµeclully Lrue ln develoµlng
counLrles where such buslnesses cun
uccounL for us muny us four ln ?ve ¡obs
und ulmosL u Lhlrd of GLP. Whlch ls why,
buck ln :§§§, WRl chose LuLln Amerlcu
und Aslu us Lhe focus of lLs µloneer-
lng New venLures µro¡ecL Lo nurLure
envlronmenLul enLreµreneurs.
1oduy, New venLures hus more Lhun
llved uµ Lo lLs nume. Our lnnovuLlve
model—helµlng enLreµreneurs bulld
solld buslness µluns und skllls, llnklng
Lhem wlLh menLors, und showcuslng
Lhem Lo lnvesLors—hus Luken rooL ln
slx counLrles. Comµunles we suµµorL
huve luunched mold-breuklng µroducLs
und buslness models, runglng from
un lndlun comµuny LhuL generuLes
u?orduble rurul elecLrlclLy from rlce
husks Lo un Amuzonlun communlLy
buslness LhuL sells µremlum Bruzll nuL
µroducLs Lo overseus murkeLs. ln Chlnu,
u New venLures comµuny hus creuLed u
vlbrunL nuLlonul murkeL for refurblshed
µhoLocoµlers, Lhereby reduclng Loxlc
elecLronlc wusLe.
ln ull, New venLures hus suµµorLed _6;
comµunles ln slx counLrles, fuclllLuLlng
US s_;; mllllon ln lnvesLmenL wlLh uver-
uge deul slzes runglng from US s
o,ooo
Lo US s_ mllllon. 1o duLe, Lhese buslnesses
huve conserved or susLulnubly culLlvuLed
(._ mllllon hecLures of lund whlle keeµlng
_._ mllllon Lons of greenhouse guses ouL
of Lhe uLmosµhere.
WlLh New venLures now µolsed Lo
scule uµ Lo Lhe nexL level, Lhe Llme ls
rlghL for WRl Lo sLeµ buck from lLs
role us coordlnuLor of Lhe counLry
cenLers ln Bruzll, Chlnu, Colomblu,
lndlu, lndoneslu, und Mexlco. AlLhough
we ure lmmensely µroud of our long
ussocluLlon, we recognlze LhuL Lhe
counLry dlrecLors huve bullL sLrong,
dlsLlncL µrogrums LhuL wlll reuch
new helghLs wlLh greuLer locul und
reglonul lndeµendence.
1hls reµorL, ulmed µrlmurlly uL lnves-
Lors und donors, ls boLh u record und u
celebruLlon of whuL New venLures hus
uchleved so fur und u sµrlngbourd Lo lLs
fuLure. 1he _: enLreµreneurs feuLured ln
Lhese µuges ure u Lruly lnsµlrlng grouµ of
lndlvlduuls. lnnovuLors rooLed ln Lhe reul
world und doers who buse Lhelr ucLlons
on dreums of u more susLulnuble fuLure.
1he reµorL mlnes Lhelr exµerlences Lo
µrovlde vuluuble lnslghLs lnLo whuL lL
Lukes Lo succeed ln Lhe ?edgllng envl-
ronmenLul smull buslness secLor. lL ulso
descrlbes ?rsLhund Lhe chullenges LhuL
cun block such comµunles’ growLh—from
µollcy burrlers und lnudequuLe humun
cuµuclLy Lo luck of uccess Lo buslness
develoµmenL suµµorL, murkeLs, und
Llmely lnvesLmenL.
1he New venLures model works, us Lhe
cuse sLudles ln Lhese µuges umµly lllus-
LruLe. WlLh Lhe LurLh’s resources ruµldly
deµleLlng, Lhe need for such susLulnuble
buslness models becomes ever more
urgenL. BuL locul enLreµreneurs cunnoL
do lL ulone. We LrusL LhuL Lhe comµelllng
volces ln Lhls reµorL wlll resonuLe wlLh
lnvesLors und donors und LhuL Lhey wlll
helµ New venLures Lo scule uµ envlron-
menLul enLreµreneurshlµ LhroughouL Lhe
emerglng world.
In ????, the World Resources Institute set out to prove a new concept:
that small and medium-sized businesses could make a profound
di?erence to the health of the planet.
FOREWORD
Andrew Steer
President and CEO,
World Resources Institute
Jamshyd Godrej
Member of Board of Directors,
World Resources Institute and WRI India
2 Nrv vrNfunrs
What role do environmental entrepreneurs play?
One of the greatest challenges of our time is achieving economic development and
prosperity in a manner that is sustainable with regard to natural resource consumption
against the backdrop of a rising global population. Environmental entrepreneurs have a
critical role to play in solving this dilemma.
Since New Ventures was founded by the World Resources Institute (WRI) in 1999, a
number of initiatives, backed by generous donors, have recognized the important role
of entrepreneurship in development and have ramped up their efforts to promote it.
Entrepreneurs and the small and medium-sized enterprises (SMEs) they often create
are central to private-sector development—stimulating the growth of the local private
sector in developing countries and helping markets to function well—a strategy to which
development practitioners and donors are increasingly turning as a means of achieving
lasting poverty reduction and economic growth.
1
INNOVATORS.
RISK-TAKERS.
DREAMERS.
DOERS.
ENTREPRENEURS.
This report is about a speciaI group of these aIready extraordinary peopIe—those who are dedicated to
creating environmentaI bene?ts through their successfuI commerciaI enterprises. These environmentaI
entrepreneurs are New Ventures’ very reason for being. Their stories give meaning to our work, their
voices bring the issues to Iife, and their words inspire action.
voicrs or fnr rNfnrrnrNruns 3
NEW VENTURES
CORE MODEL
• Identify and select promising environmental SMEs
• Provide business development services to support
the selected companies
• Showcase leading SMEs to key stakeholders and
facilitate debt and equity investments to scale businesses
• Build a local support network to help environmental
SMEs prosper
?. Private-sector development began to gain real traction in the development community
following the World Bank’s seminal report, “Voices of the Poor.” The report’s team
surveyed ??,??? poor people and asked them what they saw as their best escape
route from poverty. The answer was wages or self-employment. Narayan, D. with R.
Chambers, M. K. Shah, and P. Petesch, “Voices of the Poor,” World Bank, ????.
?. Employment ?gure from Ayyagari, M., A. Demirgüç-Kunt, and V. Maksimovic, “Small
Versus Young Firms Across the World: Contribution to Employment, Job Creation, and
Growth,” World Bank, Policy Research Working Paper No. ????, ????. GDP ?gure is a
modest estimate because it only accounts for formal SMEs; from “Scaling-Up SME
Access to Financial Services in the Developing World,” International Finance Corporation,
SME Finance Sub-Group of the G-?? Financial Inclusion Experts Group, ????.
?. We refer to the “missing middle” as the lack of investable capital targeted at
funding SMEs; it tends to range from US ???,??? to US ?? million. The Aspen
Network of Development Entrhepreneurs, a global network of organizations
that invest money and expertise to propel entrepreneurship in emerging
markets, has been in?uential in spreading the use of this term as a synonym
for the SME ?nance gap.http://www.aspeninstitute.org
?. We have focused our attention on emerging markets because of their vibrant
economies and their large and growing impact on our global environment.
SMEs contribute up to 78 percent of
employment and more than 29 percent
of GDP in developing economies.
2
Environmental SMEs—enterprises that
capitalize on commercial opportunities
while generating clear, measurable
environmental bene?ts—create even more
value. In addition to providing local jobs
and spurring growth, environmental SMEs
also provide the innovative business
models, technologies, products, and
services that can shape growth that is
both economically and environmentally
sustainable.
Despite their importance and potential,
however, the majority of environmental
SMEs in developing economies fail in
their ?rst few years of operation, mainly
due to a lack of access to ?nance, a need
for business development services, and
policy barriers that make it hard to build
or expand businesses. These SMEs are
typically too large for micro?nance but
too small for commercial ?nance, so they
fall into the so-called “missing middle.”
3
In particular, environmental SMEs tend
to have business models built around
operationalizing new technologies,
breaking into new product sectors,
and reaching previously untapped
customer segments (for example,
in rural areas), creating the type of
unfamiliar risk pro?les that ?nancial
institutions shy away from.
New Ventures was founded—and
continues to be driven—by the
conviction that when environmental
entrepreneurs are given the opportunity
to succeed, their businesses will unleash
substantial environmental and social
bene?ts and promote sustainable
economic development. Our efforts
to support these entrepreneurs form
the basis of our mission: to empower
environmental entrepreneurs in
emerging markets
4
to develop market-
based solutions that protect the Earth’s
environment and its capacity to provide
for current and future generations.
© WRI / Robin Murphy 2007
4 Nrv vrNfunrs
Demonstrated that businesses that incorporate environmental bene?ts into
their core business model can be commercially successful
FOUNDED IN 1999, NEW VENTURES HAS:
1999 2000 2002 2004 2001 2003
New Ventures
launched as a
pro|ect wIthIn WRI
FIrst Investor
Forum held In RIo
de ]aneIro, 8razIl
FIrst Investor Forum held
In MexIco CIty to explore
expansIon to other countrIes
New Ventures
ChIna started In
partnershIp wIth
LLAO ChIna, the
ChInese chapter
oI a global
network oI NGOs
and IndIvIduals
commItted to
sustaInable
development
New Ventures
MexIco Iounded
In partnershIp
wIth Fondo
MexIcano para
la ConservacIón
de la Naturaleza
A.C., a nonpro?t
promotIng the
conservatIon
oI bIodIversIty
In MexIco
New Ventures 8razIl started In
partnershIp wIth the Sâo Paulo
8usIness AdmInIstratIon School
oI Fundaçâo GetulIo Vargas, a top
8razIlIan busIness school
367 ?337?
ncw vcnvuncs nns:
Developed metrics and practices to
measure and promote the positive
environmental impacts of companies.
3,306,786
tonnes of carbon dioxide emissions reduced
or avoided from products and services
4,534,243
hectares of land conserved or
sustainably cultivated
5,788,495,460
liters of water produced, treated, or saved
from products and services
?. This ?gure includes investment facilitated during the early years of New Ventures when the program was a Latin America regional initiative.
Worked with 367 innovative enterprises
whose goods and services produce clear,
measurable environmental bene?ts,
such as clean energy, ef?cient water
use, and sustainable land use, and often
address the challenges experienced by
the world’s poor.
Helped innovative companies
build viable businesses that have
collectively received more than
US $337 million
5
in investment
capital and have held two Initial
Public Offerings (IPOs) that raised
approximately US $100 million.
Each dollar of funds granted to New
Ventures helped facilitate 28 dollars
of investment to these entrepreneurs.
NEW VENTURES
voicrs or fnr rNfnrrnrNruns S
Catalyzed action on the ground and created support networks
for environmental entrepreneurs
2005 2006
Next8IllIon launched: a Web sIte and
blog brIngIng together the communIty oI
busIness leaders, socIal entrepreneurs,
NGOs, polIcymakers, and academIcs
wantIng to explore the connectIon
between development and enterprIse
New Ventures
IndonesIa Iounded
In partnershIp wIth
Yayasan 8Ina Usaha
LIngkungan, a local
nonpro?t promotIng
communIty-based
renewable energy
InItIatIves
New Ventures IndIa started In
partnershIp wIth the CII-Sohrab|I Godre|
Green 8usIness Centre, one oI 10 centers
oI excellence oI the ConIederatIon oI
IndIan Industry
2007
New Ventures MéxIco
establIshed as an
Independent organIzatIon
2008
New Ventures ColombIa
started In partnershIp wIth
the School oI Management
at UnIversIdad de los
Andes, ColombIa’s top
busIness school
Next8IllIon en Lspañol launched
Developed and convened local support networks for
environmental entrepreneurs including:
• investment community (debt providers, angel investors,
venture capitalists, impact investors
6
)
• experienced business professionals acting as
mentors and advisers
• large companies and multinationals
• academia and business schools
• leading think tanks and nongovernmental
institutions (NGOs)
• development agencies
• government representatives and policymakers
• media
Played a signi?cant role in growing the pool of ?nancial resources for
environmental SMEs. Here are some examples:
• formation of PT Social Enterprise Indonesia, Indonesia’s frst angel
investor group focusing on social enterprise, which kicked off with a
commitment of US $2 million in investment.
• creation of Colombia’s frst angel investor network targeting
sustainable SMEs for investment. The network was spearheaded by
Bavaria, SAB Miller’s Colombian subsidiary comprising high net
worth individuals and family of?ces.
• launch of responsAbility’s US$15 million venture capital fund,
responsAbility Ventures I. The fund was responsAbility’s ?rst base
of the pyramid (BoP) fund focused on SMEs providing essential
services like energy and water to the BoP. ResponsAbility is a social
investment company with US$1 billion assets under management.
ncw vcnvuncs nns:
?. The Global Impact Investing Network (GIIN) de?nes impact investments as investments made
into companies, organizations, and funds with the intention of generating measurable social
and environmental impact along with a ?nancial return.
6 Nrv vrNfunrs
In?uenced ?nancial markets through cutting-edge research
ncw vcnvuncs nns:
Encouraged the ?ow of capital to the environmental SME sector as a whole through investor and business-targeted publications:
2009 2010
New Ventures ChIna set
up as an Independent
entIty under the InstItute
Ior LnvIronment and
Oevelopment
New Ventures |oIned the newly
launched Aspen Network oI
Oevelopment Lntrepreneurs
New Ventures became a
Global Impact InvestIng
RatIngs System (GIIRS)
LmergIng Markets PIoneer
Fund. GIIRS, a pro|ect
oI the nonpro?t 8 Lab,
Is a comprehensIve and
transparent system Ior
assessIng the socIal and
envIronmental Impact
oI companIes and Iunds
wIth a ratIngs and
analytIcs approach
In partnershIp wIth L+Co, a
nonpro?t that makes clean
energy Investments In developIng
countrIes, New Ventures developed
a toolkIt Ior entrepreneurs to
measure envIronmental Impacts
New Ventures |oIned the GIIN’s Impact
ReportIng and Investment Standards (IRIS)
advIsory commIttee and co-chaIred IRIS’s
Lnergy, Water and LnvIronment WorkIng Group.
IRIS Is a set oI metrIcs that can be used to
measure and descrIbe an organIzatIon's socIal,
envIronmental, and ?nancIal perIormance
FOUNDED IN 1999, NEW VENTURES HAS:
Power to the People: Investing in Clean Energy
for the Base of the Pyramid in India (2010)
informed investors about the market potential of
the clean energy industry serving India’s rural BoP
market by looking at opportunities, challenges,
and potential paths to growth.
On the Frontiers of Finance: Scaling up
Investment in Sustainable Small and Medium
Enterprises in Developing Countries (2009)
provided an overview of the current landscape,
lending practices, and principal challenges of
?nancial intermediaries providing capital to
environmental SMEs in developing countries.
Powering Up: The Investment Potential of
Energy Service Companies in India (2009)
provided an overview of the opportunities in energy ef?ciency, one of
the fast-growing industries in India. Consequently in 2010, the Industrial
Development Bank of India (India's fourth largest bank), approved a
new ?nancial product aimed at driving greater investment into energy
ef?ciency projects done by energy services companies.
China’s Booming Energy E?ciency
Industry (2008)
provided a snapshot of China’s energy effciency
industry and the investment landscape of this high
growth sector.
The Next 4 Billion: Market Size and
Business Strategy at the
Base of the Pyramid (2007)
produced in partnership with the International
Finance Corporation: measured the market
opportunity of the BoP using the World Bank’s
national household data.
2012 2011
New Ventures transItIoned
partnershIps In three countrIes:
• The Apex Consulting Group
began hostIng New Ventures
IndonesIa
• Sustainable Hub began hosting
New Ventures 8razIl
• Regain Paradise Research
ConsultIng Pvt Ltd began
hostIng New Ventures IndIa
New Ventures Global Investor
Forum held In partnershIp wIth the
New York UnIversIty Stern School
oI 8usIness and CItI FoundatIon
Proteak (MexIco) successIully
held an IPO on the MexIcan Stock
Lxchange (8olsa MexIcana de
Valores), the ?rst IPO Ior New
Ventures companIes
¡Lchale! a tu casa
(MexIco) and Ouro Verde
AmazûnIa (8razIl) were
the ?rst oI the New
Ventures companIes to
receIve GIIRS ratIngs
Four New Ventures IndIa companIes
were Ieatured at the UnIted NatIons
Global Compact’s RIo+zo Corporate
SustaInabIlIty Forum: “InnovatIon &
CollaboratIon Ior the Future We Want.”
One company, WaterlIIe, was selected
as a Gzo Challenge on InclusIve 8usIness
InnovatIon wInner
WRI transIerred Iull ownershIp
oI New Ventures operatIons
to Its local partners In
recognItIon oI theIr expertIse
In maIntaInIng New Ventures’
mIssIon on the ground
Next8IllIon 8rasIl
launched
NEW VENTURES
MEXICO
Founded: 2004
Managed by: New Ventures México
www.nvm.org.mx
New venLures Mexlco suµµorLs comµunles
ln boLh Lhe envlronmenLul und soclul
secLors. 1he µrogrum µrovldes buslness
menLorlng servlces Lhrough u sLruLegy
booL cumµ conducLed wlLh menLors from
Lhe SusLulnuble Mlnds NeLwork, whlch
comµrlses CLOs, senlor corµoruLe munugers,
und sLruLegy consulLunLs. 1he µrogrum hus
ulso bullL u sLrong neLwork of µurLners,
locul und lnLernuLlonul growLh cuµlLul funds,
µrlvuLe lnvesLors, buslness orgunlzuLlons,
und NGOs ln LuLln Amerlcu, und hosLs Lhe
LuLln Amerlcun lmµucL lnvesLmenL lorum.
lno;, New venLures Mexlco ulso luunched
Las Páginas Verdes, Lhe ?rsL dlrecLory
of envlronmenLul µroducLs und servlces
ln Mexlco.
1hrough lLs ucceleruLlon und µre-ucceleruLlon
µrogrums, New venLures Mexlco hus
suµµorLed more Lhun _oo comµunles LhuL,
on uveruge, ure growlng uL u _o µercenL
unnuul ruLe und huve suµµorLed Lhe creuLlon
und mulnLenunce of 6,_oo ¡obs. New
venLures Mexlco hus fuclllLuLed u LoLul of
US s§: mllllon ln lnvesLmenL und helµed
enLreµreneurs Lo be feuLured ln Expansión
Magazine, Mexlco’s leudlng buslness
muguzlne, us lLs LnLreµreneur of Lhe Yeur.
New venLures Mexlco would llke Lo
ucknowledge londo Mexlcuno µuru lu
Conservuclon de lu NuLurulezu A.C. und
Nuclonul llnuncleru for Lhelr sLruLeglc
µurLnershlµ und SecreLurlu de Lconomlu,
lunduclon AvlNA, lundemex, Hullorun
PhllunLhroµles, lnLer-Amerlcun LeveloµmenL
Bunk, PoLenclu venLures, PromoLoru Soclul
Mexlco, US Mexlco lounduLlon, lLMSA,
Nuclonul MonLe de Pledud, und BunorLe lxe
for Lhelr suµµorL.
NEW VENTURES
BRAZIL
Founded: 2002
Managed by: Sustainable Hub
www.facebook.com/NewVenturesBrasil
New venLures Bruzll selecLs und ucceleruLes
comµunles LhuL µrovlde soluLlons Lo
susLulnuble develoµmenL Lhrough hlgh-
lmµucL µroducLs und servlces. 1he comµunles
ln lLs µorLfollo lnclude u runge of secLors
from ugrlbuslness Lo hlgh-end Lechnologles.
Lurlng Lhe ucceleruLlon µrogrum, senlor
buslness execuLlves µrovlde one-on-one
menLorlng Lo selecLed comµunles whlle
lndusLry exµerLs leud workshoµs on ?nunce,
sLruLegy, oµeruLlons, und communlcuLlons.
Beyond Lhe ucceleruLlon µrogrum, New
venLures Bruzll ls formlng u communlLy
of menLors, lnvesLors, µrofessors, µrlvuLe
comµunles, und oLher orgunlzuLlons LhuL ure
commlLLed Lo u new wuy of dolng buslness.
Slnce Lhe µrogrum’s lnceµLlon lno:, New
venLures Bruzll hus suµµorLed more Lhun _o
comµunles und fuclllLuLed US s6.: mllllon ln
lnvesLmenL. ln uddlLlon Lo llnklng comµunles
wlLh lnvesLmenL from lnvesLmenL funds
und µrlvuLe comµunles, New venLures Bruzll
ulso helµs comµunles uchleve murkeL uccess
by connecLlng Lhem wlLh Loµ munugers of
corµoruLlons LhuL muy be lnLeresLed ln Lhelr
µroducLs or servlces.
New venLures Bruzll would llke Lo
ucknowledge Lulz Mulu und Lhe resL of lLs
udvlsory bourd, us well us Bunco SunLunder
Brusll, Alcou lounduLlon, ClLl lounduLlon, und
ZennsLrom PhllunLhroµles for Lhelr suµµorL.
NEW VENTURES
COLOMBIA
Founded: 2008
Managed by: School of Management at
Universidad de los Andes
www.newventurescolombia.net
New venLures Colomblu ls Lhe only
µrogrum ln Lhe counLry Lo ucceleruLe
envlronmenLul comµunles und connecL
Lhem wlLh lnvesLors. 1he New venLures
Colomblu µrogrum ls oµeruLed by Lhe
School of MunugemenL uL Unlversldud
de los Andes, one of Lhe mosL reµuLuble
ucudemlc lnsLlLuLlons ln LuLln Amerlcu.
Slnce Lhe µrogrum’s esLubllshmenL ln
o8, (o comµunles huve µurLlclµuLed und
recelved lnvesLmenL of neurly US s_ mllllon.
Luch yeur, New venLures Colomblu selecLs
µromlslng envlronmenLul comµunles
LhuL huve µoLenLlul for lnvesLmenL.
1hese comµunles µurLlclµuLe ln Lhe New
venLures AcceleruLlon Progrum whlch
µrovldes buslness develoµmenL skllls
Lo enLerµrlse leudershlµ und senlor
munugemenL. 1he ucceleruLlon µrogrum
conslsLs of 6o hours of Lrulnlng und
hours of menLorlng. AL Lhe end of
Lhe µrocess, New venLures Colomblu
comµunles ure µresenLed ln u ?nunclng
round Lo domesLlc und lnLernuLlonul
lnvesLors lnLeresLed ln green murkeLs und
envlronmenLul comµunles.
New venLures Colomblu would llke Lo
ucknowledge Lhe suµµorL of ClLlbunk
Colomblu, lunduclon Buvurlu, lunduclon
Bollvur, und Lhe MlnlsLry of Commerce,
lndusLry und 1ourlsm of Colomblu.
8 Nrv vrNfunrs
AROUND THE WORLD
N£W V£NTUÞ£5
NEW VENTURES
INDONESIA
Founded: 2005
Managed by: The Apex Consulting Group
www.new-ventures.or.id
WlLh u neLwork of locul µurLners, New
venLures lndoneslu ldenLl?es ouLsLundlng
comµunles LhuL creuLe soluLlons Lo
envlronmenLul und soclul chullenges,
sµecl?cully ln Lhe renewuble energy und
cleun Lechnology secLors. New venLures
lndoneslu hus uccess Lo un exLenslve
neLwork of menLors LhuL lnclude buslness
exµerLs ln dl?erenL ?elds boLh ln lndoneslu
und lnLernuLlonully. lL ulso hus un lnvesLor
neLwork LhuL lncludes reglonul funds und
locul und globul lnvesLors. 1hrough Lhese
neLworks, New venLures lndoneslu µrovldes
menLorlng und lnvesLmenL fuclllLuLlon
servlces Lo selecLed comµunles.
Slnceo_, New venLures lndoneslu hus
esLubllshed un l1 1rulnlng luclllLy (ln
colluboruLlon wlLh u locul unlverslLy), held
four lnvesLor forums showcuslng comµunles,
conducLed :_ ouLreuch und buslness
semlnurs uround lndoneslu uLLended by
more Lhun 8_o enLreµreneurs, selecLed _(
enLreµreneurs from :6§ uµµllcuLlons, und
fuclllLuLed LoLul lnvesLmenL of US s_._ mllllon.
New venLures lndoneslu would llke Lo
ucknowledge ClLl lounduLlon und HP Globul
Soclul lnnovuLlon for Lhelr suµµorL.
NEW VENTURES
INDIA
Founded: 2006
Managed by: Regain Paradise Research
Consulting Pvt Ltd
www.nvindia.biz
New venLures lndlu µrovldes buslness
menLorlng, lnvesLmenL fuclllLuLlon,
und uccess Lo murkeLs servlces for
envlronmenLul enLreµreneurs. Sµecl?cully,
Lhe µrogrum works closely wlLh comµunles
LhuL µrovlde cleun energy uccess ln rurul
ureus und hus worked wlLh muny of lndlu’s
mosL successful envlronmenLul SMLs,
such us Husk Power SysLems, SusLulnLech,
vuyuGrld, und GreenllghL PluneL.
Recognlzlng LhuL uccess Lo murkeLs cun
be crlLlcul for comµunles, Lhe µrogrum hus
conducLed numerous workshoµs for cleun
energy uccess comµunles Lo connecL wlLh
lurge comµunles und for energy e?clency
comµunles Lo work wlLh commerclul reul
esLuLe develoµers. 1he New venLures
lndlu neLwork of menLors und couches
lncludes senlor buslness execuLlves und
successful enLreµreneurs, und Lhe New
venLures lndlun Green lnvesLor NeLwork
lncludes boLh “lmµucL-?rsL” und “?nunclul-
?rsL” lnvesLors lnvesLlng ln envlronmenLul
enLreµreneurs.
Slnceo6, New venLures lndlu hus worked
wlLh (8 comµunles und fuclllLuLed u LoLul
of US s_§ mllllon of lnvesLmenL.
New venLures lndlu would llke Lo
ucknowledge 1lL und NuduLhur S. Rughuvun
CenLre for LnLreµreneurlul Leurnlng for
Lhelr conLlnued µurLnershlµ und U.S.
Agency for lnLernuLlonul LeveloµmenL, U.K.
lorelgn und CommonweulLh O?ce, Cll-
Sohrub¡l Godre¡ Green Buslness CenLre und
ClLl lounduLlon for Lhelr suµµorL.
NEW VENTURES
CHINA
Founded: 2003
Managed by: Institute for Environment
and Development
www.new-ventures.org.cn
New venLures Chlnu µrovldes buslness
menLorlng und lnvesLmenL fuclllLuLlon
servlces Lo envlronmenLul SMLs ln u wlde
runge of lndusLry secLors, wlLh u sµecl?c
focus on energy e?clency und conservuLlon.
1hese secLors ure crlLlcul Lo reuchlng Lhe
susLulnuble economlc develoµmenL LurgeLs
seL ln Lhe governmenL’s ::Lh llve-Yeur Plun.
New venLures Chlnu µrovldes suµµorL
Lhrough lLs neLwork of menLors (leuders
from domesLlc und lnLernuLlonul consulLuncy
?rms, bunks, und unlverslLles) und lnvesLors
(domesLlc und lnLernuLlonul bunks und locul
und lnLernuLlonul µrlvuLe equlLy und venLure
cuµlLul funds).
ln::, ln µurLnershlµ wlLh Lhe lnformuLlon
CenLer of Lhe MlnlsLry of lndusLry und
lnformuLlon 1echnology und Slnu’s
LnvlronmenLul Chunnel (u leudlng Chlnese
Web µorLul), New venLures Chlnu luunched
lLs Green SMLs lmµucL Role Model
lnlLluLlve, feuLurlng besL µrucLlces for
envlronmenLul SMLs ln Chlnu, µrovldlng
µollcy recommenduLlons Lo governmenL, und
µromoLlng Lhe conceµL of “green lnvesLmenL”
umong Chlnese lnvesLors.
Slnce lLs esLubllshmenL, New venLures
Chlnu hus worked wlLh more Lhun _oo
envlronmenLul SMLs, 6o of whlch were
selecLed for Lhe ucceleruLlon µrogrum.
New venLures Chlnu hus fuclllLuLed u LoLul
US s:;8 mllllon of lnvesLmenL ln more Lhun
comµunles.
New venLures Chlnu would llke Lo
ucknowledge Shell Comµunles ln Chlnu,
ClLl lounduLlon, und Alcou lounduLlon for
Lhelr suµµorL.
voicrs or fnr rNfnrrnrNruns 9
CREATING GREATER IMPACT THROUGH A FOR-PROFIT BUSINESS MODEL
FRANCESCO PIAZZESI
Founder and ???,
¡Échale! a tu casa (Mexico)
¡Échale! a tu casa works with low-income
communities to help them self-build
new homes using environmentally
friendly building materials.
We started as a naïve NGO, thinking
that going to the community and
providing them with the production
equipment would be enough. As an
NGO, it was heart-wrenching, but we
weren’t creating an impact…. So we said
we have to spin to another thing. We
have to spin to have more impact. So
we switched from an NGO to a social
business…. The ?rst huge challenge
was, and still is [to respond to skeptics
who ask], how come you want to charge
people for the homes [you are build-
ing]? How come you are exploiting the
poorest people? We are not exploiting
them; we are getting them onto the
train of economic development. The
only way to solve the problem of the
base of the pyramid is to put them onto
the economy train….
LUIS FELIPE AVELLA
VILLEGAS
Founder and ???,
Factoría Quinoa (Colombia)
Factoría Quinoa helps small producers in the
Andean region cultivate fair-trade quinoa
by providing them with high productivity
quinoa seeds and technical support.
When I did my master’s with NGOs
[in rural communities], I saw millions
of dollars and euros go nowhere. With
good ideas, with good feelings, with
good people, but going nowhere….
The communities are still as poor as
they are.... That’s the main reason I got
out of the university, and I am here, in
a for-pro?t business, trying to create
concrete changes.
1. WHAT MOTIVATES ENVIRONMENTAL
ENTREPRENEURS?
V
O
I
C
E
S
O
F
T
H
E
E
N
T
R
E
P
R
E
N
E
U
R
S
A note on our
methodoIogy
New venLures sLu?
lnLervlewed _:
enLreµreneurs from our slx
counLrles of oµeruLlon who
huve been suµµorLed by
New venLures slnce :§§§.
We chose enLreµreneurs
LhuL reµresenL u runge
of lndusLrles, economlc
secLors, und envlronmenLul
bene?Ls ln one of our seven
cuLegorles of envlronmenLul
lnLenL. blodlverslLy
conservuLlon, energy und
fuel e?clency, nuLurul
resources conservuLlon,
µolluLlon µrevenLlon und
wusLe munugemenL, wuLer
resources munugemenL,
susLulnuble energy, und
susLulnuble lund use.
BENJAMIN RIPPLE
Founder and co-???,
Big Tree Farms (Indonesia)
Big Tree Farms is a natural food
manufacturing and trading company for
Indonesian traditional foodstu?s.
We didn't feel that the “jack-of-all-trades”
style of an NGO—which was and still is
prevalent here in Indonesia and much of
Southeast Asia—was effective in meeting
the needs of small farmers and giving
them sound advice on how to develop
their products and how to relate to and
navigate the value chain.... I've seen very
similar veins of miscommunication or poor
communication to farmers about what they
should be doing…because project timelines
are too short, and NGOs are driven by the
need to show returns on the philanthropy
that goes into the program.
HAIFA WAHYU
Co-founder and ???, Dyna Energy (Indonesia)
Dyna Energy provides clean and reliable energy
to large enterprises and local communities
in isolated regions of Indonesia.
At ?rst we didn't intend to establish a
company. We were part of a government
research institute…. [But then we thought,]
it will be easier in the private sector to deal
with our ?nancials (for example, audits and
bank loans) since we'd be more indepen-
dent…. We could better develop the com-
mercialization of the technology outside of
the complicated government bureaucracy.
Haifa Wahyu
voicrs or fnr rNfnrrnrNruns 11
BEING GREEN PRESENTS BUSINESS OPPORTUNITIES
ALFREDO SUÁREZ RIVERO
Founder and ???, AliBio (Mexico)
AliBio develops biotech products for
environmentally sustainable agriculture,
aquaculture, and water treatment.
I see that there is demand in the market
that will start driving environmental
projects and products. I think there’s an
environmental movement, and this is
not going to stop. It’s not going to go
backwards; it’s going to go forwards. So,
therefore, that is a huge opportunity for
these projects.
MOHAN RANBAORE
Co-founder and executive director,
Waterlife (India)
Waterlife tackles the acute lack of safe drinking
water in India through community water systems.
We saw a huge opportunity to do
something because the majority of people
in India are not getting potable water….
The only requirement was that one had
to work very hard; and if we came up with
the right business model we could really
make the most of this opportunity.
JUAN MANUEL SOTO
Founder and ???, Acción Verde (Colombia)
Acción Verde provides "green shares," the planting
of a tree and its guaranteed maintenance for three
years, neutralizing customers' carbon footprint.
I realized there was a business
opportunity in reforestation.... I thought
that it might be a good business
initiative if we marketed the idea that,
by planting trees, you could save the
planet.... The Colombian forest sector
is very incipient. In my opinion it’s
actually just starting off. And I’d been
working for some time and I realized
there’s a good opportunity to be in the
sector as it develops...nobody else had
gone into that sector.
BURNING WITH A UNIQUE VISION
STEVE SHI
Founder and marketing director,
Pearl Hydrogen (China)
Pearl Hydrogen is a developer of low-cost
hydrogen power fuel cells for small
and medium power applications.
Before we started Pearl Hydrogen, we were
three guys working in different fuel cell
companies, but we had the same opinion on
fuel cells. We believed they are more than
a toy for engineers, we believed fuel cells
can be best commercialized in some niche
market rather than in cars or buses.
CAIO BONATTO
Co-founder and ???, Tecverde (Brazil)
Tecverde produces energy-e?cient,
low-cost wood frame housing.
My father has a construction company,
and since I was a child I started to work
with him…. At the university with some
friends, we realized that the challenge
of change would be for the next
generation. It wouldn't be my father or
other construction workers that would
change the way they were constructing.
The construction environment in Brazil
isn't so innovative, so we started to
think about how we could change the
market. Our goal was to bring more
sustainability and more industrialization
for our markets.
HUGO HERNANDEZ
???, Vidrios Marte (Mexico)
Vidrios Marte brings energy-e?cient
window panes to the construction
industry across Mexico.
I knew that I had to be in recycling...
and then I saw this niche, I saw it in
Germany—some machines that were
producing insulated glass [for energy-
ef?cient window panes]. And I said, “Why
isn’t this done in Mexico?” and [others
said] “It’s because nobody asked for it.”
“Yes,” I said, “but it’s energy-saving, and it
has all these bene?ts, and we should start
doing it.” And they said “Well if you want,
go ahead.” And so that’s what I did.
Hugo Hernandez
"I realized there’s a good opportunity to
be in the sector as it develops."
1. WHAT MOTlVAT£5 £NVlÞONM£NTAL £NTÞ£ÞÞ£N£UÞ5?
12 Nrv vrNfunrs
DRIVEN BY A DESIRE TO IMPROVE THE WORLD
MAYANK SEKHSARIA
Co-founder, Greenlight Planet (India)
Greenlight Planet designs and distributes
solar-powered lanterns to low-income
rural customers in India and Africa.
We saw the need, there being such
a big problem in [lack of] access to
electricity. We had a solution in mind.
We knew we could help solve a good
part of the problem.
ZHAOHUI YANG
Co-founder and ???,
Beijing Green Channel (China)
Beijing Green Channel manufactures and
distributes reverse vending machines that
help increase the recycling of plastic bottles,
aluminum cans, and other recyclables.
I started Green Channel to increase
the younger generation’s awareness to
protect the Earth. I’m chasing the dream of
improving China to a greener, greater, and
more sustainable, innovative country that
can rock the world.
FRANCESCO PIAZZESI
Founder and ???, ¡Échale! a tu casa (Mexico)
¡Échale! a tu casa works with low-income
communities to help them self-build new homes
using environmentally friendly building materials.
We can’t have a sustainable society if we
don’t have a sustainable home. Home is the
base of absolutely everything. That’s why
we were sensitive to the people without a
home and produced equipment to construct
adobe brick houses in the community. We
said we have to do something for the other
part of the population to have a home,
which is the dream of everybody.
“We said we have
to do something
for the other part
of the population
to have a home,
which is the dream
of everybody.”
1. WHAT MOTlVAT£5 £NVlÞONM£NTAL £NTÞ£ÞÞ£N£UÞ5?
FINANCING IS A HUGE HURDLE
XAVIER FARGETTON
Co-founder, ArcaNatura (Colombia)
ArcaNatura provides veterinary products
made from natural ingredients sourced
from the Colombian ecosystem.
If I wanted to present a project to an
investment fund here, I’d ?nd two, maybe
three. But the size of the operation we have
here really depends on the money that
we can ?nd here because, when we go
to investors in France and say “Invest
in Colombia,” they say “OK...why
Colombia?” And it’s the same thing
in the United States. The investment
funds ask for the entrepreneurs to be
different, but they [the fund managers]
are actually very conservative.
Xavier Fargetton
2. WHAT CHALLENGES HAVE TO BE OVERCOME?
Zhaohui Yang
voicrs or fnr rNfnrrnrNruns 13
LUIS FERNANDO LARANJA
Founder and executive director,
Ouro Verde Amazônia (Brazil)
Ouro Verde Amazônia works with village
communities to protect the Amazon rainforest by
producing and selling premium Brazil nut products.
The ?rst challenge was capital because
it’s not easy to get a loan from traditional
banks for start-up companies, and so it was
very dif?cult to ?nd working capital in the
beginning for my business.
C.S. JADHAV
Director of marketing,
Nandan Cleantec (India)
Nandan Cleantec develops clean energy by
helping small farmers cultivate jatropha
for biofuel production on degraded
marginal lands that they own.
The investors are hesitant to invest in the
sector. They still are waiting for the ?rst
commercial-scale production [of jatropha
biofuel]. So that's one challenge we have
in India: the mood itself in the investment
community. They’re very skeptical; they're
going very slowly now.
LUIS FELIPE AVELLA VILLEGAS
Founder and ???,
Factoría Quinoa (Colombia)
Factoría Quinoa helps small producers in the
Andean region cultivate fair-trade quinoa
by providing them with high productivity
quinoa seeds and technical support.
The world of impact investment is
so slow compared to the world of
traditional investors. And this is not
good for creating results and supporting
companies like ours...because when the
company is in this stage of growth, we
need to move quickly with everyone in
the chain. The investor can’t say to us,
“I really like your product, I love your
project, but I want to wait maybe one or
two years.” Because that does not work.
LIMITED MARKETS LIMIT BUSINESS
MOHAN RANBAORE
Co-founder and executive director,
Waterlife (India)
Waterlife tackles the acute lack of safe drinking
water in India through community water systems.
Our biggest challenge stems from the fact
that our primary customer is the govern-
ment. There’s no clear buyer. The person
who drinks the water is the last customer.
He has very different knowledge and expec-
tations. He has little say in the decisions of
buying the water. Usually the customer is
clearly de?ned, but…the political decisions
affect our market. People were not paying
for water, so why would they start paying?
We had to change people’s mind-sets.
DAVID KASNO
Founder and director,
Maraton Kencana (Indonesia)
Maraton Kencana produces furniture
by using waste like coconut shells from
the food and industrial sector.
In the beginning, we made furniture
from teak; but during that time we could
not compete with the market because
you had to buy from a company owned
by the government, and the pricing
was expensive. The other option was to
illegally source for raw materials, and we
weren’t going to do that.
GUADALUPE LATAPÍ
Founder and director of product development,
Aires de Campo (Mexico)
Aires de Campo is a leader in the branding
and commercialization of more than ???
organic products through diverse specialized
sales centers called BioCentros.
To change [Walmart’s] attitude is
to convince the buyers that great
quality products are going to have a
higher price. It’s to convince them that
behind the price, you’re helping small
producers and communities.... [We
want them] just to give us a chance
to show them that there is a market
in Mexico that is willing to pay a
higher price, and there’s this growing
consciousness of consumption.
Guadalupe Latapí
2. WHAT CHALL£NC£5 HAV£ TO B£ OV£ÞCOM£?
14 Nrv vrNfunrs
HUMAN CAPITAL FORMS THE BASE OF A SUCCESSFUL BUSINESS
CAIO BONATTO
Co-founder and ???,
Tecverde (Brazil)
Tecverde produces energy-e?cient,
low-cost wood frame housing.
One of the most important things is
a great team. And when we talk about
the team, it's not just the people that
work with you inside your of?ce but the
people that work with you outside your
of?ce—your social network, the people
that really believe in your company and
make some efforts to help you. And we
realize that it's those people that make
your company a success.
MANOJ SINHA
Co-founder, Husk Power Systems (India)
Husk Power Systems provides a?ordable
electricity to rural Indian villages by building and
operating small-scale biomass gasi?cation power
plants that convert rice husks into electricity.
When you’re sitting in the United States,
a Fortune 500 company doesn’t have to
recruit high school graduates, train them
for six months.... We need to recruit people
for the power plant from untrained systems
that don’t even know what it means to go to
work…. Absolutely the government should
step in, and hopefully other nonpro?t
organizations will too.
SVATI BHOGLE
Founder and managing director,
Sustaintech (India)
Sustaintech produces and distributes
a fuel-e?cient wood burning stove
for commercial kitchens.
It is challenging to put together a good
team. We have trouble attracting enough
high quality human capital, fnding people
who will buy into the idea…. We need to ?nd
more high quality people who will buy into
our philosophy.
DAVID KASNO
Founder and director,
Maraton Kencana (Indonesia)
Maraton Kencana produces furniture
by using waste from the food and in-
dustrial sector like coconut shells.
If you need someone with a university educa-
tion, it is dif?cult. I tried to hire an accoun-
tant who graduated from the local university,
and I was surprised that the person didn’t
know the basics of accounting.... It's hard
to convince university graduates from big
universities to come to our company. They
want to work with a big company in a big
city. They don’t want to work with us very
long because, as soon as they get offered a
job in a big company, they will go.
Svati Bhogle
WINNING RESPECT AND ACCEPTANCE IS A LONG ROAD
GUOQIANG GAO
Founder and ???, Ecostar (China)
Ecostar remanufactures photocopy machines using
exclusive technology and sells the refurbished
copiers to o?ce and printing markets.
At the beginning (in the ?rst 20 years), the
perception of this kind of business was
far from being glori?ed in the eyes of the
government, employees, and customers.
The society had a misunderstanding of
recycled products. Customs treated us
like smuggling suspects. The Trade and
Industry Bureau investigated us, and there
was no support from ?nancial institutions.
(We did not begin to get bank loans
until 2009.) Basically, there was a lack of
support and acknowledgement from the
whole society.
2. WHAT CHALL£NC£5 HAV£ TO B£ OV£ÞCOM£?
Guoqiang Gao
voicrs or fnr rNfnrrnrNruns 1S
ALFREDO SUÁREZ RIVERO
Founder and ???, AliBio (Mexico)
AliBio develops biotech products for
environmentally sustainable agriculture,
aquaculture, and water treatment.
The major challenge that AliBio has is to
be recognized. A Mexican company doing
biotechnology? That sounds weird.... Our
biggest challenge right now is to prove
that AliBio is doing the microbiology and
handling the microbiology like no other
company is doing it worldwide.
HAIFA WAHYU
Co-founder and ???,
Dyna Energy (Indonesia)
Dyna Energy provides clean and reliable energy
to large enterprises and local communities
in isolated regions of Indonesia.
Renewable energy technology isn’t new;
it’s really an old technology that people
have been using since the beginning
of time. So when we try to introduce
renewable energy technology to the
customers or the users, they don’t
respect this technology.
“The perception
of this kind of
business was
far from being
glori?ed in the
eyes of the
government,
employees, and
customers.”
POLICY BARRIERS HAMPER BUSINESS
GILBERTO MEIRELLES
Founder and director,
Estação Resgate (Brazil)
Estação Resgate converts construction
waste into new raw materials that can
then be employed in construction sites.
In my business segment [recycling], laws
and oversight by the government are
essential, but the lack of law enforcement
today hinders the production chain.
CINTHIA MAGALHÃES
Director of marketing, DryWash (Brazil)
DryWash produces an innovative line of
water-free vehicle cleaning solutions.
In Brazil, small and medium companies
have a lot of dif?culty. I don't know if
you have already heard about the cost of
living in Brazil. The taxes here are very
very tough, which means that we have a
lot of problems in developing small and
medium companies because we have
a lot of taxes. It's been very dif?cult to
grow a responsible company and pay
all the taxes.
FRANCESCO PIAZZESI
Founder and ???,
¡Échale! a tu casa (Mexico)
¡Échale! a tu casa works with low-income
communities to help them self-build new homes
using environmentally friendly building materials.
The problem with [a housing] subsidy
is that today it’s there; tomorrow it’s not.
Today there are no more subsidies, and
we don’t know in the next administration
if we will have them because no one
knows what is going to happen exactly....
If the subsidy does not exist, we have to
extend the terms of credit; and that is the
main problem.
Francesco Piazzesi
2. WHAT CHALL£NC£5 HAV£ TO B£ OV£ÞCOM£?
16 Nrv vrNfunrs
2. WHAT CHALL£NC£5 HAV£ TO B£ OV£ÞCOM£?
THERE’S NO AVOIDING RISK
DISTRIBUTION CHALLENGES MAKE IT HARD TO REACH SCALE
STEVE SHI
Founder and marketing director,
Pearl Hydrogen (China)
Pearl Hydrogen is a developer of low-cost
hydrogen power fuel cells for small
and medium power applications.
The biggest challenge we are facing is
the downturn in the world economy. More
than one-half of our partners changed
their minds—some cancelled, and some
delayed—on the project. The downturn of
the economy makes the demands for our
new products lower and lower.
LUIS FELIPE AVELLA VILLEGAS
Founder and ???,
Factoría Quinoa (Colombia)
Factoría Quinoa helps small producers in the
Andean region cultivate fair-trade quinoa
by providing them with high productivity
quinoa seeds and technical support.
We have been studying risk. The exchange
rate of the dollar and peso is very variable
because there is a lot of money that has been
entering Colombia due to exports. So there
is a danger for us as exporters that the peso
will gain value compared to the dollar.
"Once we had solved technology and
a?ordability problems we realized
the problem was how do we go to the
village to sell the product?"
MAYANK SEKHSARIA
Co-founder, Greenlight Planet (India)
Greenlight Planet designs and distributes
solar-powered lanterns to low-income
rural customers in India and Africa.
Once we had solved technology and afford-
ability problems, we realized the problem
was how do we go to the village to sell the
product? The biggest challenge was and
remains distribution. How do you go to
the last 50 km? We have the solution [the
product]. How do we scale it up, replicate it,
grow faster?
JOSELIN CASTAÑEDA
Project manager, Ikoportex (Colombia)
Ikoportex commercializes recycled styrofoam
products for the construction industry.
We need our own system of transporta-
tion and cars that are more ef?cient
because the bottleneck point of any
process of expanded materials is volume.
A truck transports a maximum of 200 to
300 kilos. And, in general, all this use of
gas to transport 300 kilos, environmen-
tally, isn’t correct. But in this moment we
don’t have another option.
Luis Felipe
Avella Villegas
Mayank Sekhsaria
voicrs or fnr rNfnrrnrNruns 17
THE IMPORTANCE OF MORAL SUPPORT
3. HOW ARE ACCELERATORS PROVIDING SOLUTIONS?
OrgunlzuLlons LhuL µrovlde buslness develoµmenL servlces (Lechnlcul usslsLunce) Lo enLreµreneurs wlLh Lhe goul of ucceleruLlng Lhe
growLh of Lhelr comµunles ure ofen referred Lo us AcceleruLors. 1he quoLes below re?ecL enLreµreneurs’ lnvolvemenL ln Lhe New
venLures µrogrum buL reveul lnslghLs for ull AcceleruLors.
HUGO HERNANDEZ
???, Vidrios Marte (Mexico)
Vidrios Marte brings energy-e?cient
window panes to the construction
industry across Mexico.
I feel that I have been environmentally
conscious...since I was a kid. And
sometimes you feel that you are by
yourself, and by getting to New Ventures,
[they] said, “Hey, no, this is a wave, and
I’m riding on it. And I’ve got some other
people that are not crazy as well. We’re
in this together.” So we ?nd a lot of
common subject matter and people, and
just being around all these people, all this
knowledge, helps.
SURISYONO BAYU
Founder, Tiga Sehati (Indonesia)
Tiga Sehati produces paving material from
recycled furniture and copper slag.
New Ventures Indonesia has a very rich
portfolio of companies with access to raw
materials, but there’s no market for the
products. So creating a special network for
the portfolio of companies, especially for
small businesses, is important.
JUAN MANUEL SOTO
Founder, Acción Verde (Colombia)
Acción Verde provides "green shares," the
planting of a tree and its guaranteed
maintenance for three years, neutralizing
customers' carbon footprint.
During the acceleration program, they
present you with case examples where
you see a guy who can come to the
audience and say, “I’ve been through
what you’re going through, and I’ve
succeeded. It’ll be hard work and tears
and band-aids and whatever, but you’ll
come through it all and this is how it
all broke out.” And you’re basically
presented with cases that lift your spirit,
and it’s actually very important when
you don’t know what’s going to happen
a month, six months ahead, ?nding
someone who says “Hold on. Stay with it.
Keep your shirt on. Don’t worry.”
LUCIO DI DOMENICO
Founder and president,
Descarte Certo (Brazil)
Descarte Certo collects, recycles, and manages
waste from old electronic products to minimize
and properly dispose of electronic waste.
Even after almost four years, I maintain
relationships with New Ventures. Why?
Because they step in, and I can count
on them with the needs I have in my
business now. So in the challenges I'm
facing now, I'm sure I can count on New
Ventures people.
Surisyono Bayu
LEARNING AND GROWING
FROM NEW PERSPECTIVES
MOHAN RANBAORE
Co-founder and executive director,
Waterlife (India)
Waterlife tackles the acute lack of safe drinking
water in India through community water systems.
Working with New Ventures helped make
our network larger. We were able to talk
with different people, get new ideas, learn
how others are solving problems.... This
kind of partnership that we have with New
Ventures helps us understand how similar
things are happening in different markets.
New Ventures helps enlarge your vision and
teaches you something different.
ROBERTO MURAT
Founder and managing partner,
BioVentures Brasil (Brazil)
BioVentures Brasil produces aviation
biofuel and biochemical products
from the Jatropha curcas plant.
What interested us about the New Ventures
acceleration program is that the workshops
really put us entrepreneurs in the position
of thinking about strategic things. Because
of the daily work, we don’t spend time think-
ing about these things. So the program puts
into perspective your own company.
Mohan Ranbaore
18 Nrv vrNfunrs
2. HOW AÞ£ ACC£L£ÞATOÞ5 ÞÞOVlDlNC 5OLUTlON5?
MENTORS PROVIDE VALUABLE INSIGHT
FRANCISCO J. ALVAREZ
Founder and managing director,
Green Technologies (Mexico)
Green Technologies manufactures a product
that could save up to ?? percent of water use
in the agricultural and gardening sectors.
The mentors asked very challenging
questions. They challenged my
experience. I would polish my
presentation and talk to New
Ventures Mexico mentors, and they
would challenge me even further. I
think mentoring is important to any
entrepreneur whether he’s 20 or 50.
As an individual, we can only see so
much, and we might think we have
everything in line; but whenever we
run it by a mentor who’s an engineer,
executive, marketing expert…we open
our minds and have to be open to
those critiques. If an entrepreneur
wants to make his company a
successful one and to grow, mentoring
is essential.
SVATI BHOGLE
Founder and managing director,
Sustaintech (India)
Sustaintech promotes a fuel-e?cient wood
burning stove for commercial kitchens.
One thing that New Ventures did that
was very critical was that we had a
mentor—a ?nancial consultant—who
worked with us for three months. He
developed a strong ?nancial model
for us. He told us, “Don’t chase big
money at this time.” Before him, we
thought that we had to ask for large
amounts of money; it seemed like
investors wanted to make million
dollar investments. Instead, he told
us, “Start small, ?nd small amounts of
money, prove yourself. Then go for the
big money.”
DEVELOPING SOLID BUSINESS AND SUSTAINABILITY PLANS
CAMILO PAGES
Co-founder and director of marketing
and sales, Sistema Biobolsa (Mexico)
Sistema Biobolsa develops, installs,
and services biodigestors for small and
medium farms that convert organic
waste to biogas and biofertilizers.
Our biggest experience with New
Ventures is the acceleration program
where we developed a strategy plan,
following the format they gave us. That
helped us to crunch some numbers and
to structure our plan and our strategies.
BENJAMIN RIPPLE
Founder and co-???,
Big Tree Farms (Indonesia)
Big Tree Farms is a natural food
manufacturing and trading company for
Indonesian traditional foodstu?s.
They helped us really hone our business
plan and helped us to clarify—from a
mass of information that we were trying
to provide—the key aspects of our
business that investors wanted to see. So
they really took a thesis and were able to
help us distill it down to two minutes to
provide in an elevator with an investor.
GUILLERMO JAIME CALDERÓN
Founder and ???, Grupo MIA (Mexico)
Grupo MIA builds energy-e?cient, low-cost
housing for rural populations in Mexico.
The ?rst thing we did with New Ventures
was a sustainability report. What we found
out doing this was that we have a lot of
information inside information [about our
environmental impacts], and we have a lot
of experience; but what we do not have is
all this information in just one place. So
putting this together with this methodology
allowed us to see very clearly what we had
to do to grow up faster. For us, this sustain-
ability report added a lot of value.
JOSELIN CASTAÑEDA
Project manager, Ikoportex (Colombia)
Ikoportex commercializes recycled styrofoam
products for the construction industry.
I had an erroneous concept of our water
use. I thought, “we don’t use a lot of water
for our product because we use rainwater
and this seemed very good,” but they made
it very clear to me that I still need to have
a treatment process. And how much gas
do we use? I didn’t realize that I should
measure the harms as much as the bene?ts
that I’m having. So I started monitoring—
produce this much, recycle this much, use
these many liters of water—and it was a very
interesting process.
"They helped us really hone our
business plan and clarify the
key aspects of our business that
investors wanted to see."
voicrs or fnr rNfnrrnrNruns 19
POSITIONING ENTREPRENEURS TO ATTRACT INVESTMENT
GUADALUPE LATAPÍ
Founder and director of product development,
Aires de Campo (Mexico)
Aires de Campo is a leader in the branding
and commercialization of more than ???
organic products through diverse specialized
sales centers called BioCentros.
They did a wonderful job demonstrating
how to present your company and gather-
ing all the right investors and showing you
that there are different kinds of investors
and what really is better for you or would be
better for you: to have a private investor or
government-funded money or company or
family money?
C.S. JADHAV
Director of marketing, Nandan Cleantec (India)
Nandan Cleantec fosters reliable access
to clean energy by helping small farmers
cultivate jatropha for biofuel production on
degraded marginal lands that they own.
I think because of New Ventures we
were internationally exposed to different
organizations.... Through New Ventures, we
were given an international platform. And
the ?rst debt [investment in] the company
came through New Ventures. That was the
frst capital we required.
GUOQIANG GAO
Founder and ???, Ecostar (China)
Ecostar remanufactures photocopy
machines using exclusive technology
and sells the refurbished copiers to
o?ce and printing markets.
New Ventures organized some
workshops where Ecostar got to
connect with investors, for example
the Global Investor Forum in New
York where Ecostar was showcased and
introduced to international investors.
IVÁN RICARDO GÓMEZ
Founder and general manager,
Gaia Vitare (Colombia)
Gaia Vitare is the ?rst company in Colombia
to o?er the collection, treatment, and disposal
of waste electrical and electronic equipment.
We saw New Ventures as an
opportunity to strengthen our
negotiation process. This help was very
important [when we later went through
a negotiation with an investor]…
and even though the process didn’t
result in any agreement, because at
the end we didn’t want to do business
with them, we had the tools to know
not to do it.
Iván Ricardo Gómez
OPENING DOORS TO KEY
STAKEHOLDERS AND BUSINESS
OPPORTUNITIES
GUILLERMO JAIME CALDERÓN
Founder and ???, Grupo MIA (Mexico)
Grupo MIA builds energy-e?cient, low-cost
housing for rural populations in Mexico.
New Ventures is very active in terms of
positioning the brand of MIA in different
forums. For example New Ventures
recommended us to one of the most
respected magazines in Mexico...for an
interview…. Every time that New Ventures
sees the opportunity to put us in the right
forum, they do it.
CINTHIA MAGALHÃES
Director of marketing, DryWash (Brazil)
DryWash produces an innovative line of
water-free vehicle cleaning solutions.
We expanded to India through New
Ventures because the sponsor of the project
knew DryWash through New Ventures....
Our master franchiser in India knew
DryWash through a New Ventures business
plan competition, so that's how he found us.
Cinthia Magalhães
2. HOW AÞ£ ACC£L£ÞATOÞ5 ÞÞOVlDlNC 5OLUTlON5?
20 Nrv vrNfunrs
OPENING DOORS TO KEY STAKEHOLDERS AND BUSINESS OPPORTUNITIES (CONTINUED)
FRANCISCO J. ALVAREZ
Founder and managing director,
Green Technologies (Mexico)
Green Technologies manufactures a product
that could save up to ?? percent of water use
in the agricultural and gardening sectors.
In the larger picture, success for us would
be to solve national and international
environmental challenges that will help
address climate change, population
growth, and water scarcity…which is the
main reason why we got involved in this.
STEVE SHI
Founder and marketing director,
Pearl Hydrogen (China)
Pearl Hydrogen is a developer of low-cost
hydrogen power fuel cells for small
and medium power applications.
Pearl Hydrogen will be a successful
company [when we are able] to in?uence
the industry. You know, now in the fuel
cell industry, there's no company that can
make money worldwide. Pearl Hydrogen
hopes to be the ?rst one.
ROBERTO MURAT
Founder and managing partner,
BioVentures Brasil (Brazil)
BioVentures Brasil produces aviation
biofuel and biochemical products
from the Jatropha curcas plant.
Success would be to prove that our concept
works not only economically in terms of
pro?t, but also in terms of the innovation
that we are bringing. It means that the value
chain that we propose works.
GILBERTO MEIRELLES
Founder and director,
Estação Resgate (Brazil)
Estação Resgate converts construction
waste into new raw materials that can
then be employed in construction sites.
Success comes when the DNA of
sustainability from the entrepreneur is
passed to the company and staff. So the
speech is no longer just a concept, it
becomes our reality.
YUCHENG YANG
Founder and ???,
Sinen En-tech (China)
Sinen En-tech produces energy-saving
condensed water treatment technologies
for industrial boiler systems.
New Ventures has helped us with
connections from different directions,
including investors, government agencies,
the media, and impact measurement
organizations such as GIIRS.
DOUG PETERSON
???, VayuGrid (India)
VayuGrid focuses on renewable energy
solutions, using non-edible oil seeds
as biofuels for diesel engines.
New Ventures helped connect us to
other companies that ?t well with our
business model and round out what we
also need as a company. For instance, we
collaborate with other companies [we met
through New Ventures] to either expand
what we offer, bring them in as a partner,
or discover new business opportunities
for VayuGrid itself. As an entrepreneur,
you get so busy dealing with day-to-day
issues, so having groups like New Ven-
tures come in and pull people together
is extremely valuable because otherwise
you just don’t have time to make those
connections.
4. WHAT DOES SUCCESS LOOK LIKE?
Gilberto Meirelles
2. HOW AÞ£ ACC£L£ÞATOÞ5 ÞÞOVlDlNC 5OLUTlON5?
voicrs or fnr rNfnrrnrNruns 21
JOSELIN CASTAÑEDA
Project manager, Ikoportex (Colombia)
Ikoportex commercializes recycled styrofoam
products for the construction industry.
I look to three things. It ought to be a
very pro?table business.... It ought to be
a business that respects the environment
and generates a [new] culture around the
use of styrofoam.... It should be a clean
process. That’s where we need to go. The
machines should be clean.... And it ought
to generate social pro?tability throughout
the entire supply chain of recycling
styrofoam. [The employees] ought to have
an optimum quality of life through the
chain of this process.
MANOJ SINHA
Co-founder,
Husk Power Systems (India)
Husk Power Systems provides a?ordable
electricity to rural Indian villages by building and
operating small-scale biomass gasi?cation power
plants that convert rice husks into electricity.
We want to provide very high quality
power to people in the rural part of the
world, people who make less than three
dollars per day, and instill a digni?ed life
that they all deserve by providing them
with the ability not only to light their
houses but also to power the tools to
generate extra cash.
HUGO HERNANDEZ
???, Vidrios Marte (Mexico)
Vidrios Marte brings energy-e?cient
window panes to the construction
industry across Mexico.
When I don’t have to push insulated
glass as a novelty. When we take out
the word "green," that’s success. It’s a
standard? Good.
DOUG PETERSON
???, VayuGrid (India)
VayuGrid focuses on renewable energy
solutions, using non-edible oil seeds
as biofuels for diesel engines.
If we meet our ?nancial targets, that
means that we’re making an impact both
with small farmers and on the renewable
energy side. My view is that our business
can’t be successful if we’re reliant
on government subsidies and donor
contributions and grants. We have to be
successful based on a pro?t model, and I
think we’re well on the way to validating
our success on the pro?t model.
ZHAOHUI YANG
Co-founder and ???,
Beijing Green Channel (China)
Beijing Green Channel manufactures and
distributes reverse vending machines
that help increase the recycling of
plastic bottles, aluminum cans, and
other recyclable materials.
Cultivate an internal green culture of
caring for the Earth and in?uence more
and more people.... Sell a green dream,
brand, and global green icon.
YUCHENG YANG
Founder and ???,
Sinen En-tech (China)
Sinen En-tech produces energy-saving
condensed water treatment technologies
for industrial boiler systems.
Success in our eyes is that, aside
from commercial success, we are also
considered a company that takes care
of its employees, helps create positive
environmental impacts, and does
business with our customers and partners
with integrity and honesty.
LUIS FERNANDO LARANJA
Founder and executive director,
Ouro Verde Amazônia (Brazil)
Ouro Verde Amazônia works with village
communities to protect the Amazon rainforest by
producing and selling premium Brazil nut products.
I think we did a very good job with local
communities in the Amazon, so creating a
fair relationship with natural communities of
the Amazon and paying a really good price
for the products is success for me now.
MAYANK SEKHSARIA
Co-founder, Greenlight Planet (India)
Greenlight Planet designs and distributes
solar-powered lanterns to low-income
rural customers in India and Africa.
When we started, the goal was to bring
electricity. Then light. Then distribution.
Now the challenge is much bigger than
electricity or light. If we’re able to bring
productivity to the rural developing world,
then we would be successful.
Luis Fernando
Laranja
4. WHAT DO£5 5UCC£55 LOOk Llk£?
They are also businesses that are ahead
of their time but face signi?cant barriers
that often prevent them from realizing
their full potential. Many of the entrepre-
neurs cited similar challenges: accessing
fnance, attracting and maintaining quality
human capital, tackling limited markets
and mind-sets, overcoming unsupportive
policies, coping with risk and uncer-
tainty, and distributing their products
and services.
Business accelerators have stepped in
to try and help entrepreneurs overcome
these challenges, each with a slightly nu-
anced approach. New Ventures occupies
a unique niche among accelerators, with
its speci?c focus on SMEs that provide
environmental bene?ts along with social
ones. New Ventures has concentrated on
the ?nance piece of the puzzle, so it built
its model around helping entrepreneurs
develop solid business plans and skills,
linking entrepreneurs to networks of
mentors and supporters, and showcasing
entrepreneurs to investors.
What we heard from these entrepreneurs
was that these services were extremely
valuable to them. When we asked, “Do
you feel that New Ventures helped your
business?” The answer was always a
resounding, “Yes.” The earlier pages
captured highlights of what they valued
most: gaining moral support, learning
and growing from new perspectives and
insightful mentors, getting guidance in
developing solid business plans, attracting
investment, and opening doors to new
opportunities.
Between the lines is another message:
There is much more to be done. The barri-
ers that prevent environmental entrepre-
neurs from scaling up their businesses are
far from gone, but as our Earth’s resources
become increasingly constrained, our
future well-being will depend more than
ever on the success of these entrepreneurs.
They are passionate and determined to
achieve their visions. Their voices will
inspire New Ventures as it moves forward,
?lled with the hope that these voices will
resonate loudly with others—donors, inves-
tors, policymakers, corporations, interna-
tional development institutions—and that
environmental entrepreneurs will achieve
success on a massive scale.
CONCLUSION
Listening to these entrepreneurs, reading their words, it is cIear that they are driven by
a shared desire to run successfuI businesses that protect the £arth’s environment and
improve peopIe's everyday Iives. These are businesses that wiII thrive in a worId with
mounting environmentaI chaIIenges and growing popuIations.
FUNDERS
This report was made possible through
the generous support of Citi Foundation.
Citi Foundation has been New Ventures’
longest standing supporter.
The Citi Foundation is committed
to the economIc empowerment and
?nancIal InclusIon oI IndIvIduals and
IamIlIes, partIcularly those In need, In
the communItIes where we work so that
they can Improve theIr standard oI lIvIng.
Globally, the CItI FoundatIon targets Its
strategIc gIvIng to prIorIty Iocus areas:
MIcro?nance, LnterprIse Oevelopment,
Youth LducatIon and LIvelIhoods, and
Financial Capability and Asset Building. The
CItI FoundatIon works wIth Its partners In
MIcro?nance and LnterprIse Oevelopment
to support envIronmental programs
and InnovatIons.
New Ventures would like to gratefully
acknowledge the following organizations
that have supported the program
throughout the years
CURRENT FUNDERS
Alcoa FoundatIon
Aspen Network oI Oevelopment Lntrepreneurs
CItI FoundatIon
Morgan Stanley
WInrock InternatIonal
Zennstr6m PhIlanthropIes
PAST FUNDERS
A8N AMRO FoundatIon
Centre Ior Oevelopment FInance
Oeutsche 8ank AmerIcas FoundatIon
FundacIón AVINA
The Horace W. Goldsmith Foundation
ICICI FoundatIon
Inter-AmerIcan Oevelopment 8ank
InternatIonal FInance CorporatIon
MacArthur FoundatIon
NatIonal FIsh and WIldlIIe FoundatIon
Netherlands MInIstry oI ForeIgn A?aIrs
RockeIeller FoundatIon
The Summit Foundation
UPS FoundatIon
U.K. ForeIgn and Commonwealth O?ce
U.S. Agency Ior InternatIonal Oevelopment
U.S. Oepartment oI State
Our work would not be possible without the support of
funders who believe in the power of entrepreneurship to
address environmental challenges.
For Iurther InIormatIon about
New Ventures, please vIsIt the
local center Web sItes or the
New Ventures pro|ect page on
www.wrI.org.
FUNDERS
doc_667286637.pdf
In such a detailed explanation around new ventures voices of the entrepreneurs.
FrancIsco ]. Alvarez
LuIs FelIpe Avella VIllegas
SurIsyono 8ayu
SvatI 8hogle
CaIo 8onatto
GuIllermo ]aIme Calderón
]oselIn Castañeda
LucIo OI OomenIco
XavIer Fargetton
GuoqIang Gao
Iván RIcardo Gómez
Hugo Hernandez
C.S. ]adhav
OavId Kasno
LuIs Fernando Laran|a
Guadalupe Latapí
CInthIa Magalhâes
GIlberto MeIrelles
Roberto Murat
CamIlo Pages
Ooug Peterson
Francesco PIazzesI
Mohan Ranbaore
8en|amIn RIpple
Mayank SekhsarIa
Steve ShI
Mano| SInha
]uan Manuel Soto
AlIredo Suárez RIvero
HaIIa Wahyu
Yucheng Yang
ZhaohuI (Anna) Yang
AUTHORS:
GIulIa ChrIstIanson
Kate Hyder
Aram Kang
CoµyrlghL 20J2 World Resources lnsLlLuLe.
1hls work ls llcensed under Lhe CreuLlve Commons
ALLrlbuLlon-NonCommerclul-NoLerlvuLlve Works 3.0
Llcense. 1o vlew u coµy of Lhe llcense, vlslL hLLµ.JJ
creuLlvecommons.orgJllcensesJby-nc-ndJ3.0J
New Ventures would like
to thank the entrepreneurs
who lent their voices to
this publication:
1hlrLeen yeurs on, Lhe µroof of our
conceµL ls demonsLruLed dully uround
Lhe world. As englnes of economlc
growLh und luboruLorles for envlron-
menLul und soclul lnnovuLlon, smull und
medlum-slzed enLerµrlses ure helµlng
Lo bulld modern economles LhuL
lmµrove µeoµle’s llves whlle conservlng
nuLurul resources.
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counLrles where such buslnesses cun
uccounL for us muny us four ln ?ve ¡obs
und ulmosL u Lhlrd of GLP. Whlch ls why,
buck ln :§§§, WRl chose LuLln Amerlcu
und Aslu us Lhe focus of lLs µloneer-
lng New venLures µro¡ecL Lo nurLure
envlronmenLul enLreµreneurs.
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llved uµ Lo lLs nume. Our lnnovuLlve
model—helµlng enLreµreneurs bulld
solld buslness µluns und skllls, llnklng
Lhem wlLh menLors, und showcuslng
Lhem Lo lnvesLors—hus Luken rooL ln
slx counLrles. Comµunles we suµµorL
huve luunched mold-breuklng µroducLs
und buslness models, runglng from
un lndlun comµuny LhuL generuLes
u?orduble rurul elecLrlclLy from rlce
husks Lo un Amuzonlun communlLy
buslness LhuL sells µremlum Bruzll nuL
µroducLs Lo overseus murkeLs. ln Chlnu,
u New venLures comµuny hus creuLed u
vlbrunL nuLlonul murkeL for refurblshed
µhoLocoµlers, Lhereby reduclng Loxlc
elecLronlc wusLe.
ln ull, New venLures hus suµµorLed _6;
comµunles ln slx counLrles, fuclllLuLlng
US s_;; mllllon ln lnvesLmenL wlLh uver-
uge deul slzes runglng from US s
o,oooLo US s_ mllllon. 1o duLe, Lhese buslnesses
huve conserved or susLulnubly culLlvuLed
(._ mllllon hecLures of lund whlle keeµlng
_._ mllllon Lons of greenhouse guses ouL
of Lhe uLmosµhere.
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scule uµ Lo Lhe nexL level, Lhe Llme ls
rlghL for WRl Lo sLeµ buck from lLs
role us coordlnuLor of Lhe counLry
cenLers ln Bruzll, Chlnu, Colomblu,
lndlu, lndoneslu, und Mexlco. AlLhough
we ure lmmensely µroud of our long
ussocluLlon, we recognlze LhuL Lhe
counLry dlrecLors huve bullL sLrong,
dlsLlncL µrogrums LhuL wlll reuch
new helghLs wlLh greuLer locul und
reglonul lndeµendence.
1hls reµorL, ulmed µrlmurlly uL lnves-
Lors und donors, ls boLh u record und u
celebruLlon of whuL New venLures hus
uchleved so fur und u sµrlngbourd Lo lLs
fuLure. 1he _: enLreµreneurs feuLured ln
Lhese µuges ure u Lruly lnsµlrlng grouµ of
lndlvlduuls. lnnovuLors rooLed ln Lhe reul
world und doers who buse Lhelr ucLlons
on dreums of u more susLulnuble fuLure.
1he reµorL mlnes Lhelr exµerlences Lo
µrovlde vuluuble lnslghLs lnLo whuL lL
Lukes Lo succeed ln Lhe ?edgllng envl-
ronmenLul smull buslness secLor. lL ulso
descrlbes ?rsLhund Lhe chullenges LhuL
cun block such comµunles’ growLh—from
µollcy burrlers und lnudequuLe humun
cuµuclLy Lo luck of uccess Lo buslness
develoµmenL suµµorL, murkeLs, und
Llmely lnvesLmenL.
1he New venLures model works, us Lhe
cuse sLudles ln Lhese µuges umµly lllus-
LruLe. WlLh Lhe LurLh’s resources ruµldly
deµleLlng, Lhe need for such susLulnuble
buslness models becomes ever more
urgenL. BuL locul enLreµreneurs cunnoL
do lL ulone. We LrusL LhuL Lhe comµelllng
volces ln Lhls reµorL wlll resonuLe wlLh
lnvesLors und donors und LhuL Lhey wlll
helµ New venLures Lo scule uµ envlron-
menLul enLreµreneurshlµ LhroughouL Lhe
emerglng world.
In ????, the World Resources Institute set out to prove a new concept:
that small and medium-sized businesses could make a profound
di?erence to the health of the planet.
FOREWORD
Andrew Steer
President and CEO,
World Resources Institute
Jamshyd Godrej
Member of Board of Directors,
World Resources Institute and WRI India
2 Nrv vrNfunrs
What role do environmental entrepreneurs play?
One of the greatest challenges of our time is achieving economic development and
prosperity in a manner that is sustainable with regard to natural resource consumption
against the backdrop of a rising global population. Environmental entrepreneurs have a
critical role to play in solving this dilemma.
Since New Ventures was founded by the World Resources Institute (WRI) in 1999, a
number of initiatives, backed by generous donors, have recognized the important role
of entrepreneurship in development and have ramped up their efforts to promote it.
Entrepreneurs and the small and medium-sized enterprises (SMEs) they often create
are central to private-sector development—stimulating the growth of the local private
sector in developing countries and helping markets to function well—a strategy to which
development practitioners and donors are increasingly turning as a means of achieving
lasting poverty reduction and economic growth.
1
INNOVATORS.
RISK-TAKERS.
DREAMERS.
DOERS.
ENTREPRENEURS.
This report is about a speciaI group of these aIready extraordinary peopIe—those who are dedicated to
creating environmentaI bene?ts through their successfuI commerciaI enterprises. These environmentaI
entrepreneurs are New Ventures’ very reason for being. Their stories give meaning to our work, their
voices bring the issues to Iife, and their words inspire action.
voicrs or fnr rNfnrrnrNruns 3
NEW VENTURES
CORE MODEL
• Identify and select promising environmental SMEs
• Provide business development services to support
the selected companies
• Showcase leading SMEs to key stakeholders and
facilitate debt and equity investments to scale businesses
• Build a local support network to help environmental
SMEs prosper
?. Private-sector development began to gain real traction in the development community
following the World Bank’s seminal report, “Voices of the Poor.” The report’s team
surveyed ??,??? poor people and asked them what they saw as their best escape
route from poverty. The answer was wages or self-employment. Narayan, D. with R.
Chambers, M. K. Shah, and P. Petesch, “Voices of the Poor,” World Bank, ????.
?. Employment ?gure from Ayyagari, M., A. Demirgüç-Kunt, and V. Maksimovic, “Small
Versus Young Firms Across the World: Contribution to Employment, Job Creation, and
Growth,” World Bank, Policy Research Working Paper No. ????, ????. GDP ?gure is a
modest estimate because it only accounts for formal SMEs; from “Scaling-Up SME
Access to Financial Services in the Developing World,” International Finance Corporation,
SME Finance Sub-Group of the G-?? Financial Inclusion Experts Group, ????.
?. We refer to the “missing middle” as the lack of investable capital targeted at
funding SMEs; it tends to range from US ???,??? to US ?? million. The Aspen
Network of Development Entrhepreneurs, a global network of organizations
that invest money and expertise to propel entrepreneurship in emerging
markets, has been in?uential in spreading the use of this term as a synonym
for the SME ?nance gap.http://www.aspeninstitute.org
?. We have focused our attention on emerging markets because of their vibrant
economies and their large and growing impact on our global environment.
SMEs contribute up to 78 percent of
employment and more than 29 percent
of GDP in developing economies.
2
Environmental SMEs—enterprises that
capitalize on commercial opportunities
while generating clear, measurable
environmental bene?ts—create even more
value. In addition to providing local jobs
and spurring growth, environmental SMEs
also provide the innovative business
models, technologies, products, and
services that can shape growth that is
both economically and environmentally
sustainable.
Despite their importance and potential,
however, the majority of environmental
SMEs in developing economies fail in
their ?rst few years of operation, mainly
due to a lack of access to ?nance, a need
for business development services, and
policy barriers that make it hard to build
or expand businesses. These SMEs are
typically too large for micro?nance but
too small for commercial ?nance, so they
fall into the so-called “missing middle.”
3
In particular, environmental SMEs tend
to have business models built around
operationalizing new technologies,
breaking into new product sectors,
and reaching previously untapped
customer segments (for example,
in rural areas), creating the type of
unfamiliar risk pro?les that ?nancial
institutions shy away from.
New Ventures was founded—and
continues to be driven—by the
conviction that when environmental
entrepreneurs are given the opportunity
to succeed, their businesses will unleash
substantial environmental and social
bene?ts and promote sustainable
economic development. Our efforts
to support these entrepreneurs form
the basis of our mission: to empower
environmental entrepreneurs in
emerging markets
4
to develop market-
based solutions that protect the Earth’s
environment and its capacity to provide
for current and future generations.
© WRI / Robin Murphy 2007
4 Nrv vrNfunrs
Demonstrated that businesses that incorporate environmental bene?ts into
their core business model can be commercially successful
FOUNDED IN 1999, NEW VENTURES HAS:
1999 2000 2002 2004 2001 2003
New Ventures
launched as a
pro|ect wIthIn WRI
FIrst Investor
Forum held In RIo
de ]aneIro, 8razIl
FIrst Investor Forum held
In MexIco CIty to explore
expansIon to other countrIes
New Ventures
ChIna started In
partnershIp wIth
LLAO ChIna, the
ChInese chapter
oI a global
network oI NGOs
and IndIvIduals
commItted to
sustaInable
development
New Ventures
MexIco Iounded
In partnershIp
wIth Fondo
MexIcano para
la ConservacIón
de la Naturaleza
A.C., a nonpro?t
promotIng the
conservatIon
oI bIodIversIty
In MexIco
New Ventures 8razIl started In
partnershIp wIth the Sâo Paulo
8usIness AdmInIstratIon School
oI Fundaçâo GetulIo Vargas, a top
8razIlIan busIness school
367 ?337?
ncw vcnvuncs nns:
Developed metrics and practices to
measure and promote the positive
environmental impacts of companies.
3,306,786
tonnes of carbon dioxide emissions reduced
or avoided from products and services
4,534,243
hectares of land conserved or
sustainably cultivated
5,788,495,460
liters of water produced, treated, or saved
from products and services
?. This ?gure includes investment facilitated during the early years of New Ventures when the program was a Latin America regional initiative.
Worked with 367 innovative enterprises
whose goods and services produce clear,
measurable environmental bene?ts,
such as clean energy, ef?cient water
use, and sustainable land use, and often
address the challenges experienced by
the world’s poor.
Helped innovative companies
build viable businesses that have
collectively received more than
US $337 million
5
in investment
capital and have held two Initial
Public Offerings (IPOs) that raised
approximately US $100 million.
Each dollar of funds granted to New
Ventures helped facilitate 28 dollars
of investment to these entrepreneurs.
NEW VENTURES
voicrs or fnr rNfnrrnrNruns S
Catalyzed action on the ground and created support networks
for environmental entrepreneurs
2005 2006
Next8IllIon launched: a Web sIte and
blog brIngIng together the communIty oI
busIness leaders, socIal entrepreneurs,
NGOs, polIcymakers, and academIcs
wantIng to explore the connectIon
between development and enterprIse
New Ventures
IndonesIa Iounded
In partnershIp wIth
Yayasan 8Ina Usaha
LIngkungan, a local
nonpro?t promotIng
communIty-based
renewable energy
InItIatIves
New Ventures IndIa started In
partnershIp wIth the CII-Sohrab|I Godre|
Green 8usIness Centre, one oI 10 centers
oI excellence oI the ConIederatIon oI
IndIan Industry
2007
New Ventures MéxIco
establIshed as an
Independent organIzatIon
2008
New Ventures ColombIa
started In partnershIp wIth
the School oI Management
at UnIversIdad de los
Andes, ColombIa’s top
busIness school
Next8IllIon en Lspañol launched
Developed and convened local support networks for
environmental entrepreneurs including:
• investment community (debt providers, angel investors,
venture capitalists, impact investors
6
)
• experienced business professionals acting as
mentors and advisers
• large companies and multinationals
• academia and business schools
• leading think tanks and nongovernmental
institutions (NGOs)
• development agencies
• government representatives and policymakers
• media
Played a signi?cant role in growing the pool of ?nancial resources for
environmental SMEs. Here are some examples:
• formation of PT Social Enterprise Indonesia, Indonesia’s frst angel
investor group focusing on social enterprise, which kicked off with a
commitment of US $2 million in investment.
• creation of Colombia’s frst angel investor network targeting
sustainable SMEs for investment. The network was spearheaded by
Bavaria, SAB Miller’s Colombian subsidiary comprising high net
worth individuals and family of?ces.
• launch of responsAbility’s US$15 million venture capital fund,
responsAbility Ventures I. The fund was responsAbility’s ?rst base
of the pyramid (BoP) fund focused on SMEs providing essential
services like energy and water to the BoP. ResponsAbility is a social
investment company with US$1 billion assets under management.
ncw vcnvuncs nns:
?. The Global Impact Investing Network (GIIN) de?nes impact investments as investments made
into companies, organizations, and funds with the intention of generating measurable social
and environmental impact along with a ?nancial return.
6 Nrv vrNfunrs
In?uenced ?nancial markets through cutting-edge research
ncw vcnvuncs nns:
Encouraged the ?ow of capital to the environmental SME sector as a whole through investor and business-targeted publications:
2009 2010
New Ventures ChIna set
up as an Independent
entIty under the InstItute
Ior LnvIronment and
Oevelopment
New Ventures |oIned the newly
launched Aspen Network oI
Oevelopment Lntrepreneurs
New Ventures became a
Global Impact InvestIng
RatIngs System (GIIRS)
LmergIng Markets PIoneer
Fund. GIIRS, a pro|ect
oI the nonpro?t 8 Lab,
Is a comprehensIve and
transparent system Ior
assessIng the socIal and
envIronmental Impact
oI companIes and Iunds
wIth a ratIngs and
analytIcs approach
In partnershIp wIth L+Co, a
nonpro?t that makes clean
energy Investments In developIng
countrIes, New Ventures developed
a toolkIt Ior entrepreneurs to
measure envIronmental Impacts
New Ventures |oIned the GIIN’s Impact
ReportIng and Investment Standards (IRIS)
advIsory commIttee and co-chaIred IRIS’s
Lnergy, Water and LnvIronment WorkIng Group.
IRIS Is a set oI metrIcs that can be used to
measure and descrIbe an organIzatIon's socIal,
envIronmental, and ?nancIal perIormance
FOUNDED IN 1999, NEW VENTURES HAS:
Power to the People: Investing in Clean Energy
for the Base of the Pyramid in India (2010)
informed investors about the market potential of
the clean energy industry serving India’s rural BoP
market by looking at opportunities, challenges,
and potential paths to growth.
On the Frontiers of Finance: Scaling up
Investment in Sustainable Small and Medium
Enterprises in Developing Countries (2009)
provided an overview of the current landscape,
lending practices, and principal challenges of
?nancial intermediaries providing capital to
environmental SMEs in developing countries.
Powering Up: The Investment Potential of
Energy Service Companies in India (2009)
provided an overview of the opportunities in energy ef?ciency, one of
the fast-growing industries in India. Consequently in 2010, the Industrial
Development Bank of India (India's fourth largest bank), approved a
new ?nancial product aimed at driving greater investment into energy
ef?ciency projects done by energy services companies.
China’s Booming Energy E?ciency
Industry (2008)
provided a snapshot of China’s energy effciency
industry and the investment landscape of this high
growth sector.
The Next 4 Billion: Market Size and
Business Strategy at the
Base of the Pyramid (2007)
produced in partnership with the International
Finance Corporation: measured the market
opportunity of the BoP using the World Bank’s
national household data.
2012 2011
New Ventures transItIoned
partnershIps In three countrIes:
• The Apex Consulting Group
began hostIng New Ventures
IndonesIa
• Sustainable Hub began hosting
New Ventures 8razIl
• Regain Paradise Research
ConsultIng Pvt Ltd began
hostIng New Ventures IndIa
New Ventures Global Investor
Forum held In partnershIp wIth the
New York UnIversIty Stern School
oI 8usIness and CItI FoundatIon
Proteak (MexIco) successIully
held an IPO on the MexIcan Stock
Lxchange (8olsa MexIcana de
Valores), the ?rst IPO Ior New
Ventures companIes
¡Lchale! a tu casa
(MexIco) and Ouro Verde
AmazûnIa (8razIl) were
the ?rst oI the New
Ventures companIes to
receIve GIIRS ratIngs
Four New Ventures IndIa companIes
were Ieatured at the UnIted NatIons
Global Compact’s RIo+zo Corporate
SustaInabIlIty Forum: “InnovatIon &
CollaboratIon Ior the Future We Want.”
One company, WaterlIIe, was selected
as a Gzo Challenge on InclusIve 8usIness
InnovatIon wInner
WRI transIerred Iull ownershIp
oI New Ventures operatIons
to Its local partners In
recognItIon oI theIr expertIse
In maIntaInIng New Ventures’
mIssIon on the ground
Next8IllIon 8rasIl
launched
NEW VENTURES
MEXICO
Founded: 2004
Managed by: New Ventures México
www.nvm.org.mx
New venLures Mexlco suµµorLs comµunles
ln boLh Lhe envlronmenLul und soclul
secLors. 1he µrogrum µrovldes buslness
menLorlng servlces Lhrough u sLruLegy
booL cumµ conducLed wlLh menLors from
Lhe SusLulnuble Mlnds NeLwork, whlch
comµrlses CLOs, senlor corµoruLe munugers,
und sLruLegy consulLunLs. 1he µrogrum hus
ulso bullL u sLrong neLwork of µurLners,
locul und lnLernuLlonul growLh cuµlLul funds,
µrlvuLe lnvesLors, buslness orgunlzuLlons,
und NGOs ln LuLln Amerlcu, und hosLs Lhe
LuLln Amerlcun lmµucL lnvesLmenL lorum.
ln
o;, New venLures Mexlco ulso luunchedLas Páginas Verdes, Lhe ?rsL dlrecLory
of envlronmenLul µroducLs und servlces
ln Mexlco.
1hrough lLs ucceleruLlon und µre-ucceleruLlon
µrogrums, New venLures Mexlco hus
suµµorLed more Lhun _oo comµunles LhuL,
on uveruge, ure growlng uL u _o µercenL
unnuul ruLe und huve suµµorLed Lhe creuLlon
und mulnLenunce of 6,_oo ¡obs. New
venLures Mexlco hus fuclllLuLed u LoLul of
US s§: mllllon ln lnvesLmenL und helµed
enLreµreneurs Lo be feuLured ln Expansión
Magazine, Mexlco’s leudlng buslness
muguzlne, us lLs LnLreµreneur of Lhe Yeur.
New venLures Mexlco would llke Lo
ucknowledge londo Mexlcuno µuru lu
Conservuclon de lu NuLurulezu A.C. und
Nuclonul llnuncleru for Lhelr sLruLeglc
µurLnershlµ und SecreLurlu de Lconomlu,
lunduclon AvlNA, lundemex, Hullorun
PhllunLhroµles, lnLer-Amerlcun LeveloµmenL
Bunk, PoLenclu venLures, PromoLoru Soclul
Mexlco, US Mexlco lounduLlon, lLMSA,
Nuclonul MonLe de Pledud, und BunorLe lxe
for Lhelr suµµorL.
NEW VENTURES
BRAZIL
Founded: 2002
Managed by: Sustainable Hub
www.facebook.com/NewVenturesBrasil
New venLures Bruzll selecLs und ucceleruLes
comµunles LhuL µrovlde soluLlons Lo
susLulnuble develoµmenL Lhrough hlgh-
lmµucL µroducLs und servlces. 1he comµunles
ln lLs µorLfollo lnclude u runge of secLors
from ugrlbuslness Lo hlgh-end Lechnologles.
Lurlng Lhe ucceleruLlon µrogrum, senlor
buslness execuLlves µrovlde one-on-one
menLorlng Lo selecLed comµunles whlle
lndusLry exµerLs leud workshoµs on ?nunce,
sLruLegy, oµeruLlons, und communlcuLlons.
Beyond Lhe ucceleruLlon µrogrum, New
venLures Bruzll ls formlng u communlLy
of menLors, lnvesLors, µrofessors, µrlvuLe
comµunles, und oLher orgunlzuLlons LhuL ure
commlLLed Lo u new wuy of dolng buslness.
Slnce Lhe µrogrum’s lnceµLlon ln
o:, NewvenLures Bruzll hus suµµorLed more Lhun _o
comµunles und fuclllLuLed US s6.: mllllon ln
lnvesLmenL. ln uddlLlon Lo llnklng comµunles
wlLh lnvesLmenL from lnvesLmenL funds
und µrlvuLe comµunles, New venLures Bruzll
ulso helµs comµunles uchleve murkeL uccess
by connecLlng Lhem wlLh Loµ munugers of
corµoruLlons LhuL muy be lnLeresLed ln Lhelr
µroducLs or servlces.
New venLures Bruzll would llke Lo
ucknowledge Lulz Mulu und Lhe resL of lLs
udvlsory bourd, us well us Bunco SunLunder
Brusll, Alcou lounduLlon, ClLl lounduLlon, und
ZennsLrom PhllunLhroµles for Lhelr suµµorL.
NEW VENTURES
COLOMBIA
Founded: 2008
Managed by: School of Management at
Universidad de los Andes
www.newventurescolombia.net
New venLures Colomblu ls Lhe only
µrogrum ln Lhe counLry Lo ucceleruLe
envlronmenLul comµunles und connecL
Lhem wlLh lnvesLors. 1he New venLures
Colomblu µrogrum ls oµeruLed by Lhe
School of MunugemenL uL Unlversldud
de los Andes, one of Lhe mosL reµuLuble
ucudemlc lnsLlLuLlons ln LuLln Amerlcu.
Slnce Lhe µrogrum’s esLubllshmenL ln
o8, (o comµunles huve µurLlclµuLed undrecelved lnvesLmenL of neurly US s_ mllllon.
Luch yeur, New venLures Colomblu selecLs
µromlslng envlronmenLul comµunlesLhuL huve µoLenLlul for lnvesLmenL.
1hese comµunles µurLlclµuLe ln Lhe New
venLures AcceleruLlon Progrum whlch
µrovldes buslness develoµmenL skllls
Lo enLerµrlse leudershlµ und senlor
munugemenL. 1he ucceleruLlon µrogrum
conslsLs of 6o hours of Lrulnlng und
hours of menLorlng. AL Lhe end ofLhe µrocess, New venLures Colomblu
comµunles ure µresenLed ln u ?nunclng
round Lo domesLlc und lnLernuLlonul
lnvesLors lnLeresLed ln green murkeLs und
envlronmenLul comµunles.
New venLures Colomblu would llke Lo
ucknowledge Lhe suµµorL of ClLlbunk
Colomblu, lunduclon Buvurlu, lunduclon
Bollvur, und Lhe MlnlsLry of Commerce,
lndusLry und 1ourlsm of Colomblu.
8 Nrv vrNfunrs
AROUND THE WORLD
N£W V£NTUÞ£5
NEW VENTURES
INDONESIA
Founded: 2005
Managed by: The Apex Consulting Group
www.new-ventures.or.id
WlLh u neLwork of locul µurLners, New
venLures lndoneslu ldenLl?es ouLsLundlng
comµunles LhuL creuLe soluLlons Lo
envlronmenLul und soclul chullenges,
sµecl?cully ln Lhe renewuble energy und
cleun Lechnology secLors. New venLures
lndoneslu hus uccess Lo un exLenslve
neLwork of menLors LhuL lnclude buslness
exµerLs ln dl?erenL ?elds boLh ln lndoneslu
und lnLernuLlonully. lL ulso hus un lnvesLor
neLwork LhuL lncludes reglonul funds und
locul und globul lnvesLors. 1hrough Lhese
neLworks, New venLures lndoneslu µrovldes
menLorlng und lnvesLmenL fuclllLuLlon
servlces Lo selecLed comµunles.
Slnce
o_, New venLures lndoneslu husesLubllshed un l1 1rulnlng luclllLy (ln
colluboruLlon wlLh u locul unlverslLy), held
four lnvesLor forums showcuslng comµunles,
conducLed :_ ouLreuch und buslness
semlnurs uround lndoneslu uLLended by
more Lhun 8_o enLreµreneurs, selecLed _(
enLreµreneurs from :6§ uµµllcuLlons, und
fuclllLuLed LoLul lnvesLmenL of US s_._ mllllon.
New venLures lndoneslu would llke Lo
ucknowledge ClLl lounduLlon und HP Globul
Soclul lnnovuLlon for Lhelr suµµorL.
NEW VENTURES
INDIA
Founded: 2006
Managed by: Regain Paradise Research
Consulting Pvt Ltd
www.nvindia.biz
New venLures lndlu µrovldes buslness
menLorlng, lnvesLmenL fuclllLuLlon,
und uccess Lo murkeLs servlces for
envlronmenLul enLreµreneurs. Sµecl?cully,
Lhe µrogrum works closely wlLh comµunles
LhuL µrovlde cleun energy uccess ln rurul
ureus und hus worked wlLh muny of lndlu’s
mosL successful envlronmenLul SMLs,
such us Husk Power SysLems, SusLulnLech,
vuyuGrld, und GreenllghL PluneL.
Recognlzlng LhuL uccess Lo murkeLs cun
be crlLlcul for comµunles, Lhe µrogrum hus
conducLed numerous workshoµs for cleun
energy uccess comµunles Lo connecL wlLh
lurge comµunles und for energy e?clency
comµunles Lo work wlLh commerclul reul
esLuLe develoµers. 1he New venLures
lndlu neLwork of menLors und couches
lncludes senlor buslness execuLlves und
successful enLreµreneurs, und Lhe New
venLures lndlun Green lnvesLor NeLwork
lncludes boLh “lmµucL-?rsL” und “?nunclul-
?rsL” lnvesLors lnvesLlng ln envlronmenLul
enLreµreneurs.
Slnce
o6, New venLures lndlu hus workedwlLh (8 comµunles und fuclllLuLed u LoLul
of US s_§ mllllon of lnvesLmenL.
New venLures lndlu would llke Lo
ucknowledge 1lL und NuduLhur S. Rughuvun
CenLre for LnLreµreneurlul Leurnlng for
Lhelr conLlnued µurLnershlµ und U.S.
Agency for lnLernuLlonul LeveloµmenL, U.K.
lorelgn und CommonweulLh O?ce, Cll-
Sohrub¡l Godre¡ Green Buslness CenLre und
ClLl lounduLlon for Lhelr suµµorL.
NEW VENTURES
CHINA
Founded: 2003
Managed by: Institute for Environment
and Development
www.new-ventures.org.cn
New venLures Chlnu µrovldes buslness
menLorlng und lnvesLmenL fuclllLuLlon
servlces Lo envlronmenLul SMLs ln u wlde
runge of lndusLry secLors, wlLh u sµecl?c
focus on energy e?clency und conservuLlon.
1hese secLors ure crlLlcul Lo reuchlng Lhe
susLulnuble economlc develoµmenL LurgeLs
seL ln Lhe governmenL’s ::Lh llve-Yeur Plun.
New venLures Chlnu µrovldes suµµorL
Lhrough lLs neLwork of menLors (leuders
from domesLlc und lnLernuLlonul consulLuncy
?rms, bunks, und unlverslLles) und lnvesLors
(domesLlc und lnLernuLlonul bunks und locul
und lnLernuLlonul µrlvuLe equlLy und venLure
cuµlLul funds).
ln
::, ln µurLnershlµ wlLh Lhe lnformuLlonCenLer of Lhe MlnlsLry of lndusLry und
lnformuLlon 1echnology und Slnu’s
LnvlronmenLul Chunnel (u leudlng Chlnese
Web µorLul), New venLures Chlnu luunched
lLs Green SMLs lmµucL Role Model
lnlLluLlve, feuLurlng besL µrucLlces for
envlronmenLul SMLs ln Chlnu, µrovldlng
µollcy recommenduLlons Lo governmenL, und
µromoLlng Lhe conceµL of “green lnvesLmenL”
umong Chlnese lnvesLors.
Slnce lLs esLubllshmenL, New venLures
Chlnu hus worked wlLh more Lhun _oo
envlronmenLul SMLs, 6o of whlch were
selecLed for Lhe ucceleruLlon µrogrum.
New venLures Chlnu hus fuclllLuLed u LoLul
US s:;8 mllllon of lnvesLmenL ln more Lhun
comµunles.New venLures Chlnu would llke Lo
ucknowledge Shell Comµunles ln Chlnu,
ClLl lounduLlon, und Alcou lounduLlon for
Lhelr suµµorL.
voicrs or fnr rNfnrrnrNruns 9
CREATING GREATER IMPACT THROUGH A FOR-PROFIT BUSINESS MODEL
FRANCESCO PIAZZESI
Founder and ???,
¡Échale! a tu casa (Mexico)
¡Échale! a tu casa works with low-income
communities to help them self-build
new homes using environmentally
friendly building materials.
We started as a naïve NGO, thinking
that going to the community and
providing them with the production
equipment would be enough. As an
NGO, it was heart-wrenching, but we
weren’t creating an impact…. So we said
we have to spin to another thing. We
have to spin to have more impact. So
we switched from an NGO to a social
business…. The ?rst huge challenge
was, and still is [to respond to skeptics
who ask], how come you want to charge
people for the homes [you are build-
ing]? How come you are exploiting the
poorest people? We are not exploiting
them; we are getting them onto the
train of economic development. The
only way to solve the problem of the
base of the pyramid is to put them onto
the economy train….
LUIS FELIPE AVELLA
VILLEGAS
Founder and ???,
Factoría Quinoa (Colombia)
Factoría Quinoa helps small producers in the
Andean region cultivate fair-trade quinoa
by providing them with high productivity
quinoa seeds and technical support.
When I did my master’s with NGOs
[in rural communities], I saw millions
of dollars and euros go nowhere. With
good ideas, with good feelings, with
good people, but going nowhere….
The communities are still as poor as
they are.... That’s the main reason I got
out of the university, and I am here, in
a for-pro?t business, trying to create
concrete changes.
1. WHAT MOTIVATES ENVIRONMENTAL
ENTREPRENEURS?
V
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A note on our
methodoIogy
New venLures sLu?
lnLervlewed _:
enLreµreneurs from our slx
counLrles of oµeruLlon who
huve been suµµorLed by
New venLures slnce :§§§.
We chose enLreµreneurs
LhuL reµresenL u runge
of lndusLrles, economlc
secLors, und envlronmenLul
bene?Ls ln one of our seven
cuLegorles of envlronmenLul
lnLenL. blodlverslLy
conservuLlon, energy und
fuel e?clency, nuLurul
resources conservuLlon,
µolluLlon µrevenLlon und
wusLe munugemenL, wuLer
resources munugemenL,
susLulnuble energy, und
susLulnuble lund use.
BENJAMIN RIPPLE
Founder and co-???,
Big Tree Farms (Indonesia)
Big Tree Farms is a natural food
manufacturing and trading company for
Indonesian traditional foodstu?s.
We didn't feel that the “jack-of-all-trades”
style of an NGO—which was and still is
prevalent here in Indonesia and much of
Southeast Asia—was effective in meeting
the needs of small farmers and giving
them sound advice on how to develop
their products and how to relate to and
navigate the value chain.... I've seen very
similar veins of miscommunication or poor
communication to farmers about what they
should be doing…because project timelines
are too short, and NGOs are driven by the
need to show returns on the philanthropy
that goes into the program.
HAIFA WAHYU
Co-founder and ???, Dyna Energy (Indonesia)
Dyna Energy provides clean and reliable energy
to large enterprises and local communities
in isolated regions of Indonesia.
At ?rst we didn't intend to establish a
company. We were part of a government
research institute…. [But then we thought,]
it will be easier in the private sector to deal
with our ?nancials (for example, audits and
bank loans) since we'd be more indepen-
dent…. We could better develop the com-
mercialization of the technology outside of
the complicated government bureaucracy.
Haifa Wahyu
voicrs or fnr rNfnrrnrNruns 11
BEING GREEN PRESENTS BUSINESS OPPORTUNITIES
ALFREDO SUÁREZ RIVERO
Founder and ???, AliBio (Mexico)
AliBio develops biotech products for
environmentally sustainable agriculture,
aquaculture, and water treatment.
I see that there is demand in the market
that will start driving environmental
projects and products. I think there’s an
environmental movement, and this is
not going to stop. It’s not going to go
backwards; it’s going to go forwards. So,
therefore, that is a huge opportunity for
these projects.
MOHAN RANBAORE
Co-founder and executive director,
Waterlife (India)
Waterlife tackles the acute lack of safe drinking
water in India through community water systems.
We saw a huge opportunity to do
something because the majority of people
in India are not getting potable water….
The only requirement was that one had
to work very hard; and if we came up with
the right business model we could really
make the most of this opportunity.
JUAN MANUEL SOTO
Founder and ???, Acción Verde (Colombia)
Acción Verde provides "green shares," the planting
of a tree and its guaranteed maintenance for three
years, neutralizing customers' carbon footprint.
I realized there was a business
opportunity in reforestation.... I thought
that it might be a good business
initiative if we marketed the idea that,
by planting trees, you could save the
planet.... The Colombian forest sector
is very incipient. In my opinion it’s
actually just starting off. And I’d been
working for some time and I realized
there’s a good opportunity to be in the
sector as it develops...nobody else had
gone into that sector.
BURNING WITH A UNIQUE VISION
STEVE SHI
Founder and marketing director,
Pearl Hydrogen (China)
Pearl Hydrogen is a developer of low-cost
hydrogen power fuel cells for small
and medium power applications.
Before we started Pearl Hydrogen, we were
three guys working in different fuel cell
companies, but we had the same opinion on
fuel cells. We believed they are more than
a toy for engineers, we believed fuel cells
can be best commercialized in some niche
market rather than in cars or buses.
CAIO BONATTO
Co-founder and ???, Tecverde (Brazil)
Tecverde produces energy-e?cient,
low-cost wood frame housing.
My father has a construction company,
and since I was a child I started to work
with him…. At the university with some
friends, we realized that the challenge
of change would be for the next
generation. It wouldn't be my father or
other construction workers that would
change the way they were constructing.
The construction environment in Brazil
isn't so innovative, so we started to
think about how we could change the
market. Our goal was to bring more
sustainability and more industrialization
for our markets.
HUGO HERNANDEZ
???, Vidrios Marte (Mexico)
Vidrios Marte brings energy-e?cient
window panes to the construction
industry across Mexico.
I knew that I had to be in recycling...
and then I saw this niche, I saw it in
Germany—some machines that were
producing insulated glass [for energy-
ef?cient window panes]. And I said, “Why
isn’t this done in Mexico?” and [others
said] “It’s because nobody asked for it.”
“Yes,” I said, “but it’s energy-saving, and it
has all these bene?ts, and we should start
doing it.” And they said “Well if you want,
go ahead.” And so that’s what I did.
Hugo Hernandez
"I realized there’s a good opportunity to
be in the sector as it develops."
1. WHAT MOTlVAT£5 £NVlÞONM£NTAL £NTÞ£ÞÞ£N£UÞ5?
12 Nrv vrNfunrs
DRIVEN BY A DESIRE TO IMPROVE THE WORLD
MAYANK SEKHSARIA
Co-founder, Greenlight Planet (India)
Greenlight Planet designs and distributes
solar-powered lanterns to low-income
rural customers in India and Africa.
We saw the need, there being such
a big problem in [lack of] access to
electricity. We had a solution in mind.
We knew we could help solve a good
part of the problem.
ZHAOHUI YANG
Co-founder and ???,
Beijing Green Channel (China)
Beijing Green Channel manufactures and
distributes reverse vending machines that
help increase the recycling of plastic bottles,
aluminum cans, and other recyclables.
I started Green Channel to increase
the younger generation’s awareness to
protect the Earth. I’m chasing the dream of
improving China to a greener, greater, and
more sustainable, innovative country that
can rock the world.
FRANCESCO PIAZZESI
Founder and ???, ¡Échale! a tu casa (Mexico)
¡Échale! a tu casa works with low-income
communities to help them self-build new homes
using environmentally friendly building materials.
We can’t have a sustainable society if we
don’t have a sustainable home. Home is the
base of absolutely everything. That’s why
we were sensitive to the people without a
home and produced equipment to construct
adobe brick houses in the community. We
said we have to do something for the other
part of the population to have a home,
which is the dream of everybody.
“We said we have
to do something
for the other part
of the population
to have a home,
which is the dream
of everybody.”
1. WHAT MOTlVAT£5 £NVlÞONM£NTAL £NTÞ£ÞÞ£N£UÞ5?
FINANCING IS A HUGE HURDLE
XAVIER FARGETTON
Co-founder, ArcaNatura (Colombia)
ArcaNatura provides veterinary products
made from natural ingredients sourced
from the Colombian ecosystem.
If I wanted to present a project to an
investment fund here, I’d ?nd two, maybe
three. But the size of the operation we have
here really depends on the money that
we can ?nd here because, when we go
to investors in France and say “Invest
in Colombia,” they say “OK...why
Colombia?” And it’s the same thing
in the United States. The investment
funds ask for the entrepreneurs to be
different, but they [the fund managers]
are actually very conservative.
Xavier Fargetton
2. WHAT CHALLENGES HAVE TO BE OVERCOME?
Zhaohui Yang
voicrs or fnr rNfnrrnrNruns 13
LUIS FERNANDO LARANJA
Founder and executive director,
Ouro Verde Amazônia (Brazil)
Ouro Verde Amazônia works with village
communities to protect the Amazon rainforest by
producing and selling premium Brazil nut products.
The ?rst challenge was capital because
it’s not easy to get a loan from traditional
banks for start-up companies, and so it was
very dif?cult to ?nd working capital in the
beginning for my business.
C.S. JADHAV
Director of marketing,
Nandan Cleantec (India)
Nandan Cleantec develops clean energy by
helping small farmers cultivate jatropha
for biofuel production on degraded
marginal lands that they own.
The investors are hesitant to invest in the
sector. They still are waiting for the ?rst
commercial-scale production [of jatropha
biofuel]. So that's one challenge we have
in India: the mood itself in the investment
community. They’re very skeptical; they're
going very slowly now.
LUIS FELIPE AVELLA VILLEGAS
Founder and ???,
Factoría Quinoa (Colombia)
Factoría Quinoa helps small producers in the
Andean region cultivate fair-trade quinoa
by providing them with high productivity
quinoa seeds and technical support.
The world of impact investment is
so slow compared to the world of
traditional investors. And this is not
good for creating results and supporting
companies like ours...because when the
company is in this stage of growth, we
need to move quickly with everyone in
the chain. The investor can’t say to us,
“I really like your product, I love your
project, but I want to wait maybe one or
two years.” Because that does not work.
LIMITED MARKETS LIMIT BUSINESS
MOHAN RANBAORE
Co-founder and executive director,
Waterlife (India)
Waterlife tackles the acute lack of safe drinking
water in India through community water systems.
Our biggest challenge stems from the fact
that our primary customer is the govern-
ment. There’s no clear buyer. The person
who drinks the water is the last customer.
He has very different knowledge and expec-
tations. He has little say in the decisions of
buying the water. Usually the customer is
clearly de?ned, but…the political decisions
affect our market. People were not paying
for water, so why would they start paying?
We had to change people’s mind-sets.
DAVID KASNO
Founder and director,
Maraton Kencana (Indonesia)
Maraton Kencana produces furniture
by using waste like coconut shells from
the food and industrial sector.
In the beginning, we made furniture
from teak; but during that time we could
not compete with the market because
you had to buy from a company owned
by the government, and the pricing
was expensive. The other option was to
illegally source for raw materials, and we
weren’t going to do that.
GUADALUPE LATAPÍ
Founder and director of product development,
Aires de Campo (Mexico)
Aires de Campo is a leader in the branding
and commercialization of more than ???
organic products through diverse specialized
sales centers called BioCentros.
To change [Walmart’s] attitude is
to convince the buyers that great
quality products are going to have a
higher price. It’s to convince them that
behind the price, you’re helping small
producers and communities.... [We
want them] just to give us a chance
to show them that there is a market
in Mexico that is willing to pay a
higher price, and there’s this growing
consciousness of consumption.
Guadalupe Latapí
2. WHAT CHALL£NC£5 HAV£ TO B£ OV£ÞCOM£?
14 Nrv vrNfunrs
HUMAN CAPITAL FORMS THE BASE OF A SUCCESSFUL BUSINESS
CAIO BONATTO
Co-founder and ???,
Tecverde (Brazil)
Tecverde produces energy-e?cient,
low-cost wood frame housing.
One of the most important things is
a great team. And when we talk about
the team, it's not just the people that
work with you inside your of?ce but the
people that work with you outside your
of?ce—your social network, the people
that really believe in your company and
make some efforts to help you. And we
realize that it's those people that make
your company a success.
MANOJ SINHA
Co-founder, Husk Power Systems (India)
Husk Power Systems provides a?ordable
electricity to rural Indian villages by building and
operating small-scale biomass gasi?cation power
plants that convert rice husks into electricity.
When you’re sitting in the United States,
a Fortune 500 company doesn’t have to
recruit high school graduates, train them
for six months.... We need to recruit people
for the power plant from untrained systems
that don’t even know what it means to go to
work…. Absolutely the government should
step in, and hopefully other nonpro?t
organizations will too.
SVATI BHOGLE
Founder and managing director,
Sustaintech (India)
Sustaintech produces and distributes
a fuel-e?cient wood burning stove
for commercial kitchens.
It is challenging to put together a good
team. We have trouble attracting enough
high quality human capital, fnding people
who will buy into the idea…. We need to ?nd
more high quality people who will buy into
our philosophy.
DAVID KASNO
Founder and director,
Maraton Kencana (Indonesia)
Maraton Kencana produces furniture
by using waste from the food and in-
dustrial sector like coconut shells.
If you need someone with a university educa-
tion, it is dif?cult. I tried to hire an accoun-
tant who graduated from the local university,
and I was surprised that the person didn’t
know the basics of accounting.... It's hard
to convince university graduates from big
universities to come to our company. They
want to work with a big company in a big
city. They don’t want to work with us very
long because, as soon as they get offered a
job in a big company, they will go.
Svati Bhogle
WINNING RESPECT AND ACCEPTANCE IS A LONG ROAD
GUOQIANG GAO
Founder and ???, Ecostar (China)
Ecostar remanufactures photocopy machines using
exclusive technology and sells the refurbished
copiers to o?ce and printing markets.
At the beginning (in the ?rst 20 years), the
perception of this kind of business was
far from being glori?ed in the eyes of the
government, employees, and customers.
The society had a misunderstanding of
recycled products. Customs treated us
like smuggling suspects. The Trade and
Industry Bureau investigated us, and there
was no support from ?nancial institutions.
(We did not begin to get bank loans
until 2009.) Basically, there was a lack of
support and acknowledgement from the
whole society.
2. WHAT CHALL£NC£5 HAV£ TO B£ OV£ÞCOM£?
Guoqiang Gao
voicrs or fnr rNfnrrnrNruns 1S
ALFREDO SUÁREZ RIVERO
Founder and ???, AliBio (Mexico)
AliBio develops biotech products for
environmentally sustainable agriculture,
aquaculture, and water treatment.
The major challenge that AliBio has is to
be recognized. A Mexican company doing
biotechnology? That sounds weird.... Our
biggest challenge right now is to prove
that AliBio is doing the microbiology and
handling the microbiology like no other
company is doing it worldwide.
HAIFA WAHYU
Co-founder and ???,
Dyna Energy (Indonesia)
Dyna Energy provides clean and reliable energy
to large enterprises and local communities
in isolated regions of Indonesia.
Renewable energy technology isn’t new;
it’s really an old technology that people
have been using since the beginning
of time. So when we try to introduce
renewable energy technology to the
customers or the users, they don’t
respect this technology.
“The perception
of this kind of
business was
far from being
glori?ed in the
eyes of the
government,
employees, and
customers.”
POLICY BARRIERS HAMPER BUSINESS
GILBERTO MEIRELLES
Founder and director,
Estação Resgate (Brazil)
Estação Resgate converts construction
waste into new raw materials that can
then be employed in construction sites.
In my business segment [recycling], laws
and oversight by the government are
essential, but the lack of law enforcement
today hinders the production chain.
CINTHIA MAGALHÃES
Director of marketing, DryWash (Brazil)
DryWash produces an innovative line of
water-free vehicle cleaning solutions.
In Brazil, small and medium companies
have a lot of dif?culty. I don't know if
you have already heard about the cost of
living in Brazil. The taxes here are very
very tough, which means that we have a
lot of problems in developing small and
medium companies because we have
a lot of taxes. It's been very dif?cult to
grow a responsible company and pay
all the taxes.
FRANCESCO PIAZZESI
Founder and ???,
¡Échale! a tu casa (Mexico)
¡Échale! a tu casa works with low-income
communities to help them self-build new homes
using environmentally friendly building materials.
The problem with [a housing] subsidy
is that today it’s there; tomorrow it’s not.
Today there are no more subsidies, and
we don’t know in the next administration
if we will have them because no one
knows what is going to happen exactly....
If the subsidy does not exist, we have to
extend the terms of credit; and that is the
main problem.
Francesco Piazzesi
2. WHAT CHALL£NC£5 HAV£ TO B£ OV£ÞCOM£?
16 Nrv vrNfunrs
2. WHAT CHALL£NC£5 HAV£ TO B£ OV£ÞCOM£?
THERE’S NO AVOIDING RISK
DISTRIBUTION CHALLENGES MAKE IT HARD TO REACH SCALE
STEVE SHI
Founder and marketing director,
Pearl Hydrogen (China)
Pearl Hydrogen is a developer of low-cost
hydrogen power fuel cells for small
and medium power applications.
The biggest challenge we are facing is
the downturn in the world economy. More
than one-half of our partners changed
their minds—some cancelled, and some
delayed—on the project. The downturn of
the economy makes the demands for our
new products lower and lower.
LUIS FELIPE AVELLA VILLEGAS
Founder and ???,
Factoría Quinoa (Colombia)
Factoría Quinoa helps small producers in the
Andean region cultivate fair-trade quinoa
by providing them with high productivity
quinoa seeds and technical support.
We have been studying risk. The exchange
rate of the dollar and peso is very variable
because there is a lot of money that has been
entering Colombia due to exports. So there
is a danger for us as exporters that the peso
will gain value compared to the dollar.
"Once we had solved technology and
a?ordability problems we realized
the problem was how do we go to the
village to sell the product?"
MAYANK SEKHSARIA
Co-founder, Greenlight Planet (India)
Greenlight Planet designs and distributes
solar-powered lanterns to low-income
rural customers in India and Africa.
Once we had solved technology and afford-
ability problems, we realized the problem
was how do we go to the village to sell the
product? The biggest challenge was and
remains distribution. How do you go to
the last 50 km? We have the solution [the
product]. How do we scale it up, replicate it,
grow faster?
JOSELIN CASTAÑEDA
Project manager, Ikoportex (Colombia)
Ikoportex commercializes recycled styrofoam
products for the construction industry.
We need our own system of transporta-
tion and cars that are more ef?cient
because the bottleneck point of any
process of expanded materials is volume.
A truck transports a maximum of 200 to
300 kilos. And, in general, all this use of
gas to transport 300 kilos, environmen-
tally, isn’t correct. But in this moment we
don’t have another option.
Luis Felipe
Avella Villegas
Mayank Sekhsaria
voicrs or fnr rNfnrrnrNruns 17
THE IMPORTANCE OF MORAL SUPPORT
3. HOW ARE ACCELERATORS PROVIDING SOLUTIONS?
OrgunlzuLlons LhuL µrovlde buslness develoµmenL servlces (Lechnlcul usslsLunce) Lo enLreµreneurs wlLh Lhe goul of ucceleruLlng Lhe
growLh of Lhelr comµunles ure ofen referred Lo us AcceleruLors. 1he quoLes below re?ecL enLreµreneurs’ lnvolvemenL ln Lhe New
venLures µrogrum buL reveul lnslghLs for ull AcceleruLors.
HUGO HERNANDEZ
???, Vidrios Marte (Mexico)
Vidrios Marte brings energy-e?cient
window panes to the construction
industry across Mexico.
I feel that I have been environmentally
conscious...since I was a kid. And
sometimes you feel that you are by
yourself, and by getting to New Ventures,
[they] said, “Hey, no, this is a wave, and
I’m riding on it. And I’ve got some other
people that are not crazy as well. We’re
in this together.” So we ?nd a lot of
common subject matter and people, and
just being around all these people, all this
knowledge, helps.
SURISYONO BAYU
Founder, Tiga Sehati (Indonesia)
Tiga Sehati produces paving material from
recycled furniture and copper slag.
New Ventures Indonesia has a very rich
portfolio of companies with access to raw
materials, but there’s no market for the
products. So creating a special network for
the portfolio of companies, especially for
small businesses, is important.
JUAN MANUEL SOTO
Founder, Acción Verde (Colombia)
Acción Verde provides "green shares," the
planting of a tree and its guaranteed
maintenance for three years, neutralizing
customers' carbon footprint.
During the acceleration program, they
present you with case examples where
you see a guy who can come to the
audience and say, “I’ve been through
what you’re going through, and I’ve
succeeded. It’ll be hard work and tears
and band-aids and whatever, but you’ll
come through it all and this is how it
all broke out.” And you’re basically
presented with cases that lift your spirit,
and it’s actually very important when
you don’t know what’s going to happen
a month, six months ahead, ?nding
someone who says “Hold on. Stay with it.
Keep your shirt on. Don’t worry.”
LUCIO DI DOMENICO
Founder and president,
Descarte Certo (Brazil)
Descarte Certo collects, recycles, and manages
waste from old electronic products to minimize
and properly dispose of electronic waste.
Even after almost four years, I maintain
relationships with New Ventures. Why?
Because they step in, and I can count
on them with the needs I have in my
business now. So in the challenges I'm
facing now, I'm sure I can count on New
Ventures people.
Surisyono Bayu
LEARNING AND GROWING
FROM NEW PERSPECTIVES
MOHAN RANBAORE
Co-founder and executive director,
Waterlife (India)
Waterlife tackles the acute lack of safe drinking
water in India through community water systems.
Working with New Ventures helped make
our network larger. We were able to talk
with different people, get new ideas, learn
how others are solving problems.... This
kind of partnership that we have with New
Ventures helps us understand how similar
things are happening in different markets.
New Ventures helps enlarge your vision and
teaches you something different.
ROBERTO MURAT
Founder and managing partner,
BioVentures Brasil (Brazil)
BioVentures Brasil produces aviation
biofuel and biochemical products
from the Jatropha curcas plant.
What interested us about the New Ventures
acceleration program is that the workshops
really put us entrepreneurs in the position
of thinking about strategic things. Because
of the daily work, we don’t spend time think-
ing about these things. So the program puts
into perspective your own company.
Mohan Ranbaore
18 Nrv vrNfunrs
2. HOW AÞ£ ACC£L£ÞATOÞ5 ÞÞOVlDlNC 5OLUTlON5?
MENTORS PROVIDE VALUABLE INSIGHT
FRANCISCO J. ALVAREZ
Founder and managing director,
Green Technologies (Mexico)
Green Technologies manufactures a product
that could save up to ?? percent of water use
in the agricultural and gardening sectors.
The mentors asked very challenging
questions. They challenged my
experience. I would polish my
presentation and talk to New
Ventures Mexico mentors, and they
would challenge me even further. I
think mentoring is important to any
entrepreneur whether he’s 20 or 50.
As an individual, we can only see so
much, and we might think we have
everything in line; but whenever we
run it by a mentor who’s an engineer,
executive, marketing expert…we open
our minds and have to be open to
those critiques. If an entrepreneur
wants to make his company a
successful one and to grow, mentoring
is essential.
SVATI BHOGLE
Founder and managing director,
Sustaintech (India)
Sustaintech promotes a fuel-e?cient wood
burning stove for commercial kitchens.
One thing that New Ventures did that
was very critical was that we had a
mentor—a ?nancial consultant—who
worked with us for three months. He
developed a strong ?nancial model
for us. He told us, “Don’t chase big
money at this time.” Before him, we
thought that we had to ask for large
amounts of money; it seemed like
investors wanted to make million
dollar investments. Instead, he told
us, “Start small, ?nd small amounts of
money, prove yourself. Then go for the
big money.”
DEVELOPING SOLID BUSINESS AND SUSTAINABILITY PLANS
CAMILO PAGES
Co-founder and director of marketing
and sales, Sistema Biobolsa (Mexico)
Sistema Biobolsa develops, installs,
and services biodigestors for small and
medium farms that convert organic
waste to biogas and biofertilizers.
Our biggest experience with New
Ventures is the acceleration program
where we developed a strategy plan,
following the format they gave us. That
helped us to crunch some numbers and
to structure our plan and our strategies.
BENJAMIN RIPPLE
Founder and co-???,
Big Tree Farms (Indonesia)
Big Tree Farms is a natural food
manufacturing and trading company for
Indonesian traditional foodstu?s.
They helped us really hone our business
plan and helped us to clarify—from a
mass of information that we were trying
to provide—the key aspects of our
business that investors wanted to see. So
they really took a thesis and were able to
help us distill it down to two minutes to
provide in an elevator with an investor.
GUILLERMO JAIME CALDERÓN
Founder and ???, Grupo MIA (Mexico)
Grupo MIA builds energy-e?cient, low-cost
housing for rural populations in Mexico.
The ?rst thing we did with New Ventures
was a sustainability report. What we found
out doing this was that we have a lot of
information inside information [about our
environmental impacts], and we have a lot
of experience; but what we do not have is
all this information in just one place. So
putting this together with this methodology
allowed us to see very clearly what we had
to do to grow up faster. For us, this sustain-
ability report added a lot of value.
JOSELIN CASTAÑEDA
Project manager, Ikoportex (Colombia)
Ikoportex commercializes recycled styrofoam
products for the construction industry.
I had an erroneous concept of our water
use. I thought, “we don’t use a lot of water
for our product because we use rainwater
and this seemed very good,” but they made
it very clear to me that I still need to have
a treatment process. And how much gas
do we use? I didn’t realize that I should
measure the harms as much as the bene?ts
that I’m having. So I started monitoring—
produce this much, recycle this much, use
these many liters of water—and it was a very
interesting process.
"They helped us really hone our
business plan and clarify the
key aspects of our business that
investors wanted to see."
voicrs or fnr rNfnrrnrNruns 19
POSITIONING ENTREPRENEURS TO ATTRACT INVESTMENT
GUADALUPE LATAPÍ
Founder and director of product development,
Aires de Campo (Mexico)
Aires de Campo is a leader in the branding
and commercialization of more than ???
organic products through diverse specialized
sales centers called BioCentros.
They did a wonderful job demonstrating
how to present your company and gather-
ing all the right investors and showing you
that there are different kinds of investors
and what really is better for you or would be
better for you: to have a private investor or
government-funded money or company or
family money?
C.S. JADHAV
Director of marketing, Nandan Cleantec (India)
Nandan Cleantec fosters reliable access
to clean energy by helping small farmers
cultivate jatropha for biofuel production on
degraded marginal lands that they own.
I think because of New Ventures we
were internationally exposed to different
organizations.... Through New Ventures, we
were given an international platform. And
the ?rst debt [investment in] the company
came through New Ventures. That was the
frst capital we required.
GUOQIANG GAO
Founder and ???, Ecostar (China)
Ecostar remanufactures photocopy
machines using exclusive technology
and sells the refurbished copiers to
o?ce and printing markets.
New Ventures organized some
workshops where Ecostar got to
connect with investors, for example
the Global Investor Forum in New
York where Ecostar was showcased and
introduced to international investors.
IVÁN RICARDO GÓMEZ
Founder and general manager,
Gaia Vitare (Colombia)
Gaia Vitare is the ?rst company in Colombia
to o?er the collection, treatment, and disposal
of waste electrical and electronic equipment.
We saw New Ventures as an
opportunity to strengthen our
negotiation process. This help was very
important [when we later went through
a negotiation with an investor]…
and even though the process didn’t
result in any agreement, because at
the end we didn’t want to do business
with them, we had the tools to know
not to do it.
Iván Ricardo Gómez
OPENING DOORS TO KEY
STAKEHOLDERS AND BUSINESS
OPPORTUNITIES
GUILLERMO JAIME CALDERÓN
Founder and ???, Grupo MIA (Mexico)
Grupo MIA builds energy-e?cient, low-cost
housing for rural populations in Mexico.
New Ventures is very active in terms of
positioning the brand of MIA in different
forums. For example New Ventures
recommended us to one of the most
respected magazines in Mexico...for an
interview…. Every time that New Ventures
sees the opportunity to put us in the right
forum, they do it.
CINTHIA MAGALHÃES
Director of marketing, DryWash (Brazil)
DryWash produces an innovative line of
water-free vehicle cleaning solutions.
We expanded to India through New
Ventures because the sponsor of the project
knew DryWash through New Ventures....
Our master franchiser in India knew
DryWash through a New Ventures business
plan competition, so that's how he found us.
Cinthia Magalhães
2. HOW AÞ£ ACC£L£ÞATOÞ5 ÞÞOVlDlNC 5OLUTlON5?
20 Nrv vrNfunrs
OPENING DOORS TO KEY STAKEHOLDERS AND BUSINESS OPPORTUNITIES (CONTINUED)
FRANCISCO J. ALVAREZ
Founder and managing director,
Green Technologies (Mexico)
Green Technologies manufactures a product
that could save up to ?? percent of water use
in the agricultural and gardening sectors.
In the larger picture, success for us would
be to solve national and international
environmental challenges that will help
address climate change, population
growth, and water scarcity…which is the
main reason why we got involved in this.
STEVE SHI
Founder and marketing director,
Pearl Hydrogen (China)
Pearl Hydrogen is a developer of low-cost
hydrogen power fuel cells for small
and medium power applications.
Pearl Hydrogen will be a successful
company [when we are able] to in?uence
the industry. You know, now in the fuel
cell industry, there's no company that can
make money worldwide. Pearl Hydrogen
hopes to be the ?rst one.
ROBERTO MURAT
Founder and managing partner,
BioVentures Brasil (Brazil)
BioVentures Brasil produces aviation
biofuel and biochemical products
from the Jatropha curcas plant.
Success would be to prove that our concept
works not only economically in terms of
pro?t, but also in terms of the innovation
that we are bringing. It means that the value
chain that we propose works.
GILBERTO MEIRELLES
Founder and director,
Estação Resgate (Brazil)
Estação Resgate converts construction
waste into new raw materials that can
then be employed in construction sites.
Success comes when the DNA of
sustainability from the entrepreneur is
passed to the company and staff. So the
speech is no longer just a concept, it
becomes our reality.
YUCHENG YANG
Founder and ???,
Sinen En-tech (China)
Sinen En-tech produces energy-saving
condensed water treatment technologies
for industrial boiler systems.
New Ventures has helped us with
connections from different directions,
including investors, government agencies,
the media, and impact measurement
organizations such as GIIRS.
DOUG PETERSON
???, VayuGrid (India)
VayuGrid focuses on renewable energy
solutions, using non-edible oil seeds
as biofuels for diesel engines.
New Ventures helped connect us to
other companies that ?t well with our
business model and round out what we
also need as a company. For instance, we
collaborate with other companies [we met
through New Ventures] to either expand
what we offer, bring them in as a partner,
or discover new business opportunities
for VayuGrid itself. As an entrepreneur,
you get so busy dealing with day-to-day
issues, so having groups like New Ven-
tures come in and pull people together
is extremely valuable because otherwise
you just don’t have time to make those
connections.
4. WHAT DOES SUCCESS LOOK LIKE?
Gilberto Meirelles
2. HOW AÞ£ ACC£L£ÞATOÞ5 ÞÞOVlDlNC 5OLUTlON5?
voicrs or fnr rNfnrrnrNruns 21
JOSELIN CASTAÑEDA
Project manager, Ikoportex (Colombia)
Ikoportex commercializes recycled styrofoam
products for the construction industry.
I look to three things. It ought to be a
very pro?table business.... It ought to be
a business that respects the environment
and generates a [new] culture around the
use of styrofoam.... It should be a clean
process. That’s where we need to go. The
machines should be clean.... And it ought
to generate social pro?tability throughout
the entire supply chain of recycling
styrofoam. [The employees] ought to have
an optimum quality of life through the
chain of this process.
MANOJ SINHA
Co-founder,
Husk Power Systems (India)
Husk Power Systems provides a?ordable
electricity to rural Indian villages by building and
operating small-scale biomass gasi?cation power
plants that convert rice husks into electricity.
We want to provide very high quality
power to people in the rural part of the
world, people who make less than three
dollars per day, and instill a digni?ed life
that they all deserve by providing them
with the ability not only to light their
houses but also to power the tools to
generate extra cash.
HUGO HERNANDEZ
???, Vidrios Marte (Mexico)
Vidrios Marte brings energy-e?cient
window panes to the construction
industry across Mexico.
When I don’t have to push insulated
glass as a novelty. When we take out
the word "green," that’s success. It’s a
standard? Good.
DOUG PETERSON
???, VayuGrid (India)
VayuGrid focuses on renewable energy
solutions, using non-edible oil seeds
as biofuels for diesel engines.
If we meet our ?nancial targets, that
means that we’re making an impact both
with small farmers and on the renewable
energy side. My view is that our business
can’t be successful if we’re reliant
on government subsidies and donor
contributions and grants. We have to be
successful based on a pro?t model, and I
think we’re well on the way to validating
our success on the pro?t model.
ZHAOHUI YANG
Co-founder and ???,
Beijing Green Channel (China)
Beijing Green Channel manufactures and
distributes reverse vending machines
that help increase the recycling of
plastic bottles, aluminum cans, and
other recyclable materials.
Cultivate an internal green culture of
caring for the Earth and in?uence more
and more people.... Sell a green dream,
brand, and global green icon.
YUCHENG YANG
Founder and ???,
Sinen En-tech (China)
Sinen En-tech produces energy-saving
condensed water treatment technologies
for industrial boiler systems.
Success in our eyes is that, aside
from commercial success, we are also
considered a company that takes care
of its employees, helps create positive
environmental impacts, and does
business with our customers and partners
with integrity and honesty.
LUIS FERNANDO LARANJA
Founder and executive director,
Ouro Verde Amazônia (Brazil)
Ouro Verde Amazônia works with village
communities to protect the Amazon rainforest by
producing and selling premium Brazil nut products.
I think we did a very good job with local
communities in the Amazon, so creating a
fair relationship with natural communities of
the Amazon and paying a really good price
for the products is success for me now.
MAYANK SEKHSARIA
Co-founder, Greenlight Planet (India)
Greenlight Planet designs and distributes
solar-powered lanterns to low-income
rural customers in India and Africa.
When we started, the goal was to bring
electricity. Then light. Then distribution.
Now the challenge is much bigger than
electricity or light. If we’re able to bring
productivity to the rural developing world,
then we would be successful.
Luis Fernando
Laranja
4. WHAT DO£5 5UCC£55 LOOk Llk£?
They are also businesses that are ahead
of their time but face signi?cant barriers
that often prevent them from realizing
their full potential. Many of the entrepre-
neurs cited similar challenges: accessing
fnance, attracting and maintaining quality
human capital, tackling limited markets
and mind-sets, overcoming unsupportive
policies, coping with risk and uncer-
tainty, and distributing their products
and services.
Business accelerators have stepped in
to try and help entrepreneurs overcome
these challenges, each with a slightly nu-
anced approach. New Ventures occupies
a unique niche among accelerators, with
its speci?c focus on SMEs that provide
environmental bene?ts along with social
ones. New Ventures has concentrated on
the ?nance piece of the puzzle, so it built
its model around helping entrepreneurs
develop solid business plans and skills,
linking entrepreneurs to networks of
mentors and supporters, and showcasing
entrepreneurs to investors.
What we heard from these entrepreneurs
was that these services were extremely
valuable to them. When we asked, “Do
you feel that New Ventures helped your
business?” The answer was always a
resounding, “Yes.” The earlier pages
captured highlights of what they valued
most: gaining moral support, learning
and growing from new perspectives and
insightful mentors, getting guidance in
developing solid business plans, attracting
investment, and opening doors to new
opportunities.
Between the lines is another message:
There is much more to be done. The barri-
ers that prevent environmental entrepre-
neurs from scaling up their businesses are
far from gone, but as our Earth’s resources
become increasingly constrained, our
future well-being will depend more than
ever on the success of these entrepreneurs.
They are passionate and determined to
achieve their visions. Their voices will
inspire New Ventures as it moves forward,
?lled with the hope that these voices will
resonate loudly with others—donors, inves-
tors, policymakers, corporations, interna-
tional development institutions—and that
environmental entrepreneurs will achieve
success on a massive scale.
CONCLUSION
Listening to these entrepreneurs, reading their words, it is cIear that they are driven by
a shared desire to run successfuI businesses that protect the £arth’s environment and
improve peopIe's everyday Iives. These are businesses that wiII thrive in a worId with
mounting environmentaI chaIIenges and growing popuIations.
FUNDERS
This report was made possible through
the generous support of Citi Foundation.
Citi Foundation has been New Ventures’
longest standing supporter.
The Citi Foundation is committed
to the economIc empowerment and
?nancIal InclusIon oI IndIvIduals and
IamIlIes, partIcularly those In need, In
the communItIes where we work so that
they can Improve theIr standard oI lIvIng.
Globally, the CItI FoundatIon targets Its
strategIc gIvIng to prIorIty Iocus areas:
MIcro?nance, LnterprIse Oevelopment,
Youth LducatIon and LIvelIhoods, and
Financial Capability and Asset Building. The
CItI FoundatIon works wIth Its partners In
MIcro?nance and LnterprIse Oevelopment
to support envIronmental programs
and InnovatIons.
New Ventures would like to gratefully
acknowledge the following organizations
that have supported the program
throughout the years
CURRENT FUNDERS
Alcoa FoundatIon
Aspen Network oI Oevelopment Lntrepreneurs
CItI FoundatIon
Morgan Stanley
WInrock InternatIonal
Zennstr6m PhIlanthropIes
PAST FUNDERS
A8N AMRO FoundatIon
Centre Ior Oevelopment FInance
Oeutsche 8ank AmerIcas FoundatIon
FundacIón AVINA
The Horace W. Goldsmith Foundation
ICICI FoundatIon
Inter-AmerIcan Oevelopment 8ank
InternatIonal FInance CorporatIon
MacArthur FoundatIon
NatIonal FIsh and WIldlIIe FoundatIon
Netherlands MInIstry oI ForeIgn A?aIrs
RockeIeller FoundatIon
The Summit Foundation
UPS FoundatIon
U.K. ForeIgn and Commonwealth O?ce
U.S. Agency Ior InternatIonal Oevelopment
U.S. Oepartment oI State
Our work would not be possible without the support of
funders who believe in the power of entrepreneurship to
address environmental challenges.
For Iurther InIormatIon about
New Ventures, please vIsIt the
local center Web sItes or the
New Ventures pro|ect page on
www.wrI.org.
FUNDERS
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