Beacon is a long-term commitment to changing investment to work better for SMEs led by women and diverse teams. Most of these businesses are not the ‘blitz-scaling’ (often cash-incinerating) companies targeted by traditional VC firms – and that’s not a problem, it’s an opportunity. Beacon aims to contribute to closing the gender financing gap by providing appropriate capital and support to sustainable, moderate growth companies which are not a good fit for the traditional VC model and severely underserved by banks. In doing so, Beacon hopes to shine a light on alternative models and entrepreneurial success.
Portfolio Focus
Asset class
Blended Finance
Private Credit
Technical Assistance
Impact theme
Equity, Representation & Justice
Gender Equity
Climate & Environmental Sustainability
Climate Adaptation & Resilience
Economic Opportunity & Inclusion
Investment geographies
Asia
Key people
Shuyin Tang
Founder and CEO
Fund I
Raised: $25 millionSingapore, Singapore
Asset class:Blended Finance
+2
Impact theme:Equity, Representation & Justice
+5
Investment geographies:Asia
About the fund
Singapore and Vietnam-based Beacon Fund launched in 2019 to address financing gaps for women-led small and mid-sized businesses in Southeast Asia. The women-led firm makes debt investments of $500,000 to $2 million to companies supporting frontline job creation and security, food systems, climate resilience and other impact themes. It invests in Vietnam with plans to expand to Indonesia and the Philippines.
“These businesses often have solid cash flows and profitability, given that they have had to fund their growth organically over time, but tend to be overlooked by most investors,” the Beacon team explains.
Beacon is among the first gender-lens funds in the region and is dedicated to supporting 100% women-owned and run companies. It often includes impact-linked terms to incentivize portfolio companies to deepen their impact, such as frontline job preservation.
The firm raised $25 million for its open-ended fund in 2019 and 2020, and has so far backed eight companies. It’s back in the market to fundraise with the hopes of doubling its coffers this year.
It is also raising a $5 million technical assistance facility to support portfolio companies in meeting impact targets, adopting technology, innovating on their products, and boosting their own climate resilience.
