Frequently Asked Questions
What is Righteous Causes?
Righteous Causes is a benefit corporation dedicated to helping bridge the barriers between social impact and profitability. To do this, we help to pair founders with experienced angel investors and consultants in order to help bring positive social change.
How are we different?
Righteous Causes differentiates from other incubator programs as we provide smaller amounts of capital ($10,000, $20,000, $30,000) which allows investors to dip their toe in multiple, diverse ventures and see progress and growth before investing more. For founders, we are able to not only connect them to professionals who can help execute their business needs, but also provide a way for them to pay for services without incurring debt. Furthermore, founders have true flexibility to target areas where they need the most help. Finally, as a benefit corporation, we focus on the growth of social impact entrepreneurs to help show that business can be profitable and also produce a positive social benefit.
How does it work?
Righteous Causes works to facilitate financial inclusion through our three-pronged ecosystem consisting of angel investors, founders, and consultants. Righteous Causes is able to connect founders to consultants and angel investors and act as the bridge to provide business expertise and funding all in the name of social good.
Who can be an investor?
Any accredited investor who is passionate about helping to fund startups dedicated towards achieving positive social impact can sign up to become an investor on the Righteous Causes platform.
Does Righteous Causes charge fees to investors?
Righteous Causes does not charge fees to investors. However, we do offer a subscription of $100 per month that grants access to our first-look feature which includes the ability to see new founders 2 weeks before they are available to other investors on our platform.
How does the investment process work?
The investment process works by allowing investors to access a network of vetted social impact entrepreneurs who we see as having great potential. Then, investors can choose which companies they want to invest in and receive weekly progress reports from the founders they fund. To learn more about the investment process, click here.
How does a convertible note work?
A convertible note is a short-term debt that converts into equity. Upon the closing of a round of financing, the note typically will convert into shares of preferred stock.
How much can I invest?
We allow investors to choose from three packages for each of their investments: $10,000, $20,000, and $30,000. These smaller investments allow investors to see progress and growth before investing more and also to choose multiple projects so that they can diversify their portfolios.
How do I contact the company for extra vetting and general communication?
To contact the company and/or founder, you can message them directly on our platform.
What type of companies are helped by Righteous Causes?
Righteous Causes helps pre-seed companies that are driven by a desire to enact positive social impact in society.
What does Righteous Causes look for in an applicant?
When reviewing applicants, Righteous Causes looks for great ideas with a strong social impact driven by founders with relevant expertise and a commitment to their vision. Specifically, we look for applicants that have success stories already and that would be likely funded by our investors.
What kind of services are provided?
We provide targeted help depending on each company’s individual needs that include legal, marketing, accounting, business and life coaching, and financial resource development. This way, companies can hone in on whatever they need the most work in order to advance to the next stage of growth.
What does the vetting process for consultants entail?
The vetting process for consultants entails a variety of different factors. We look at a consultant’s referrals and past experiences to ensure that they have the expertise in their field. Further, we also look for consultants that have had experiences working with startups, so that they can be the best suited for our founders.
How can I raise capital through Righteous Causes?
If accepted, a founder’s profile will appear on our website and be visible to our network of investors. Founders are able to raise capital from our investors who are passionate about social impact and can help fund a company’s next steps. For more information on how to raise, click here.
What does it cost to work with Righteous Causes?
To work with Righteous Causes, there is a $150 application fee. This is the only charge we make to founders. If accepted, in return for funding, founders will work with investors to determine an amount of equity that will be exchanged.
Where does 25% of funds raised go towards?
25% of funds raised from investors for each founder go towards our internal business development services that include coaching and accountability, fundraising efforts for our founders, and helping founders assess what areas of their business to target with our consultants.
How can I communicate with investors through Righteous Causes?
Founders can communicate with investors directly through the Righteous Causes messaging platform on our website.