How do we invest

What we Believe in


UBERIS Capital believes in the power of entrepreneurship to transform lives, and help address some of the world’s intractable problems, particularly around poverty and environmental threats.

We focus on rural development; our primary target is the rural poor. We strive to provide opportunities out of poverty by

supporting enterprises that bring life-changing innovation to low income rural communities.

Entrepreneurship needs investment to fuel its growth, which in balance with seeking transformational impact must also strive for financial sustainability and returns for investors, so as to ensure long term viability.

This starting point leads us to focus on a number of areas, where we feel we can have the most impact as investors and supporters of entrepreneurs and the change they can lead.

Where we Focus


We purposely focus our investments and support where it’s needed most - with entrepreneurs that are often ignored by other investors, largely due to market dysfunctions. These are entrepreneurs who work with poor communities in developing countries, whose ventures are intentionally transforming lives, and which need help to drive their early growth far beyond.

1) We focus on markets often ignored by others – the ‘Base of the economic Pyramid’ (BoP) markets. These are typically rural, with acute poverty, and underserved by businesses and investors.

Nearly half the world’s population, 2.8 billion people, lives below 2$ per day. They stay below the radar of the traditional economy focused on the mid-market. “BOP markets are often rural—especially in rapidly growing Asia—very poorly served, dominated by the informal economy, and, as a result, relatively inefficient and uncompetitive”  (The Next 4 Billion, World Resources Institute, 2007)

Within this, we operate in the developing countries of Southeast Asia, where we have the greatest experience and resources available to us, and where we know the impact ecosystem best.

2) We support those entrepreneurs who choose to serve and transform the BoP. These are Social Enterprises and Inclusive Businesses, who typically have a hard time getting funding.

They need adapted finance that is usually unavailable from commercial banks and classic equity funds. Our objective is to fill this gap. "Financiers or commercial lenders for the most part exclude social enterprises ... they do not have the knowledge and experience with this type of investee or borrower“ (Social Enterprise in Emerging Market Countries: No Free Ride, by Nicole Etchart and Loic Comolli 2013, NESsT)

3) We support ventures at an early stage in their growth, before most other investors.

Emerging economies typically suffer from the ‘missing middle problem. These economies often have many microenterprises and some large firms, but far fewer small and medium enterprises, due to highly restricted access to capital for these. “

  Mid Market BoP
Population
(includ. Asia)
1.4bn
0.6 bn
4 bn
3.5 bn
Purchaising Power
(includ. Asia)
$ 12,500 bn
$ 5,000 bn
$ 5,000 bn
$3,500 bn
Per Capital Income $3,000-$20,000 Less than $3,000
Location Mostly Urban Mostly Rural
Economy Formal Sector, Efficient Informal Sector
Market Supply Highly organised, Competitive Sporadic, Less Competitive

The Sectors we Invest in


While we consider all sectors, ventures often focus within these areas:

04

Agriculture value chain

Rural energy, water and electrification

Life changing services: health, education, finance

• Fair and inclusive supply-chains
• Innovations and models toward higher productivity

• Access to electricity and/or clean water
• Solutions leading to step changes in how households and businesses are powered

• Affordable and accessible healthcare
• Affordable education and vocational training
• Access to banking, insurance and other financial services

Market Gap


UBERIS Capital bridges the gap between investors and base of the pyramid markets in Southeast Asia. Our ultimate aim is to help the poor improve their livehoods via entrepreneurship. By promoting Social Enterprises and Inclusive Businesses serving these markets, we aim to remediate three gaps or dysfunctions:

  1. Base of the Pyramid markets are underserved → Nearly half the world’s population, 2.8 billion people, lives below 2$ per day. They stay below the radar of the traditional economy focused on the mid-market.“BOP markets are often rural—especially in rapidly growing Asia—very poorly served, dominated by the informal economy, and, as a result, relatively inefficient and uncompetitive”  (The Next 4 Billion, World Resources Institute, 2007)
  2. Social Enterprises tend to be under-funded → They need adapted finance that is usually unavailable from commercial banks and classic equity funds. Our objective is to fill this gap.""Financiers or commercial lenders for the most part exclude social enterprises ... they do not have the knowledge and experience with this type of investee or borrower“ (Social Enterprise in Emerging Market Countries: No Free Ride, by Nicole Etchart and Loic Comolli 2013, NESsT)
  3. Emerging economies typically suffer from the ‘missing middle’ problem → these economies often have many microenterprises and some large firms, but far fewer small and medium enterprises, due to highly restricted access to capital for these.

Which Ventures we support


The ventures we support are highly scalable, so as to enable rapid growth and multiply impact and beneficiaries. The ventures are also innovative and able to meet largely untapped demand from underserved markets, or to engage with smallholders and communities typically excluded from supply chains.

Our investment criteria include: