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Educational Institute financing
K12 (Kindergarten through secondary education)
SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Education
Education Infrastructure
Business Model Description
Credit solutions to low-cost education institutions in the K12 segment for lower and middle-income students to expand and upgrade the quality of education and infrastructure with rapid scalability and profitability.
Expected Impact
Using digital platforms, improve ubiquitous access to K12 educational tools and course materials in vernacular languages to improve literacy and numeracy outcomes for students from lower and middle income households.
Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
20% - 25% (in IRR)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Short Term (0–5 years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
> USD 1 billion
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
Early-stage investments, especially Venture financing in the education space amounted to USD 80 million in the first six months of 2020, compared to 65 million invested throughout 2019. (1.25)
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.