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CoPeace: A Pioneering Impact-Focused Holding Company

March 23rd, 2022

 

Cutting Edge is pleased to occasionally present a guest blog in our monthly newsletter. The following 

is contributed by CoPeace, a Cutting Edge Client since 2017. Short for “Companies of Peace,” CoPeace is currently conducting a Regulation Crowdfunding offering on WeFunder as well as a Rule 506(c) offering on our sister portal SVX.US.com

CoPeace is a unique impact-focused holding company that evolved from a simple question: 

Why not create a Berkshire Hathaway-type investment vehicle composed solely of companies committed to putting as much emphasis on social and environmental impact as financial performance? 

Why not indeed. 

CoPeace’s marketing strategy has focused on positioning two primary product differentiators in the minds of potential investors: 

  1. An investment option that allows investors to align their values with their investments; and 
  2. A vehicle that democratizes the investment process, so people from all demographic groups, not just wealthy accredited investors, can invest directly in impact companies. 

“The dominant system prioritizes profits over people and planet.That’s not working for the vast majority of the world’s population, or the planet itself,” says CoPeace founder and CEO Craig Jonas. “Our idea was to take the Berkshire Hathaway approach, put the environment and society on equal footing with profits, and provide inclusive access across all demographic groups.” 

CoPeace believes everyone should have the opportunity to build wealth while positively impacting society and the environment. Hence, the Certified B-Corp and Public Benefit Corporation’s push to democratize investing. No matter what demographic group one may fall in, CoPeace wants to help people grow their money for good. 

This philosophy has led CoPeace to take what they call a bifurcated approach to capital raises. The company utilizes dual raises in order to reach both retail and accredited investors.The company conducts Regulation CF equity crowdfunding offerings that are attractive and accessible for younger and non-traditional investors. The current crowdfunding campaign allows the company to sell up to $5 million worth of shares to the public. Shares are priced at $14.00 USD each with a minimum investment of $140 (10 shares). Moreover, CoPeace delivers crowdfunding investors actual company shares, not a SAFE or other contingent right to acquire shares in the future, as many companies in the crowdfunding space do.

For more traditional and accredited investors, CoPeace has a concurrent Reg D 506(c) raise and is planning a Reg A raise for later this year. 

Mission-driven investors are looking for return on impact along with financial return on investment. To that end, today’s investors are no longer content with funds that support fossil fuels, tobacco, guns, and companies with unfair labor or trade practices. CoPeace’s impact investing model allows mission-driven investors to put their money toward causes they care about, while still having the opportunity to earn competitive financial returns. 

It’s important to note that impact investing is far from a fad. According to the US SIF Foundation, sustainable investing in the U.S. continues to expand at a healthy pace. U.S.-domiciled assets under management using sustainable investing strategies increased to $17.1 trillion at the beginning of 2020, up from $12 trillion at the start of 2018, a 42 percent rise. 

And given that Millennials and GenZers are huge drivers of the move toward impact investing, the coming “Great Wealth Transfer” from Baby Boomers to Millennials suggests that the potential for exponential growth in the impact investing sector over the next decade is significant. 

To that point, a study by Coldwell Banker Global Luxury concludes that by 2030, Millennials will hold five times as much wealth as they have today and are expected to inherit over $68 trillion from Baby Boomers over the next 30 years. 

Years ago, Warren Buffet said, “Good profits are simply not inconsistent with good behavior.” 

He was right then and he’s right today. 

Craig Jonas is the founder and CEO of CoPeace, a “modernized Berkshire Hathaway” holding company that creates inclusive, socially and environmentally impactful wealth for all people. A lifelong entrepreneur with a history of success across the fields of business, academics, and athletics; Craig has over 30 years of experience in management with a passion for team-building and drawing individuals with big ideas together. Craig founded CoPeace in 2018, put together a highly-talented team and board, and quickly helped CoPeace achieve Certified B Corp. and Public Benefit Corporation (PBC) status.