Italian Venture Capital & Startups with Social and Environmental impact: Attractiveness and Opportunities

The research investigates the venture capital opportunities for startups with social and environmental impact in Italy. Starting from the existing literature, the core of the study is based on qualitative data collected through 22 interviews with key venture capital professionals. These interviews explore how investors evaluate startups, considering factors such as scalability and alignment with social or environmental objectives. The methodology provides an in-depth understanding of the various investment strategies employed by different types of investors and how they engage with startups beyond financial support, offering mentorship and strategic advice. The findings revealed a diverse landscape where most investors seek startups that not only have strong growth potential but also demonstrate a clear commitment to their mission. Investors also identified various challenges in the ecosystem, including difficulties with founder readiness, market competition, and legal frameworks, which still create friction in the investment process. Finally, the research looks at the potential for further evolution of the ecosystem, highlighting areas where improvements could strengthen the environment for impact companies. Although the sector is growing, the findings suggest that there are still significant opportunities to create a more favourable and efficient landscape for social and environmental start-ups in Italy.