Attracting Private Investment to Landscape Restoration: A Roadmap
Summary
The document outlines a strategic process for landscape restoration leaders to transition from a reliance on public finance to attracting private investment. It details four essential steps: identifying and engaging the right investors based on risk tolerance and growth stage; developing a comprehensive business plan focusing on the business model, management, finance, and deal structure; establishing a legal investable entity to channel funds; and tracking financial and operating performance to provide proof of concept. The guide emphasizes that private investors, except for impact investors, prioritize financial returns over environmental benefits and compare restoration ventures against opportunities in other industries.
Key insights
- Successful attraction of private capital for landscape restoration involves a four-step process: identifying and engaging suitable investors, developing a commercial proposition with a robust business model, establishing an investable entity, and tracking financial and operating performance.
- Most landscape restoration enterprises are in early growth stages characterized by untested business models and uncertain cash flows, making them most suitable for private investors with high risk tolerance, such as venture capital firms or impact investors.
- Impact investors differ from traditional private investors by employing a "triple bottom line" approach that prioritizes people, planet, and profits, allowing them to accept higher risks for lower financial returns if social and environmental goals are met.
- Investors evaluate restoration ventures against a broad spectrum of opportunities across multiple industries, meaning projects must offer a compelling financial opportunity rather than relying on the environmental necessity of restoration to secure funding.
- A professional business plan should address four primary dimensions: the business model (how value is created and captured), management (track record and team), finance (cash flow and balance sheet), and deal structure (valuation and exit possibilities).
- Establishing a formal investable entity, such as a company, cooperative, or community association, is critical because investing in individuals involves high transaction costs and lacks legal protections for both the investor and the project.
- The use of pilot projects is essential for establishing a proof of concept, which allows restoration leaders to secure capital at a more reasonable valuation by providing evidence that the concept works in the real world.
Cite the original document
- APA
- Faruqi, S., & Landsberg, F. (2017). Attracting Private Investment to Landscape Restoration: A Roadmap. World Resources Institute. https://wriorg.s3.amazonaws.com/s3fs-public/Attracting_Private_Investment_to_Landscape_Restoration_-_A_Roadmap.pdf
- Chicago
- Faruqi, Sofia, and Florence Landsberg. Attracting Private Investment to Landscape Restoration: A Roadmap. World Resources Institute, 2017. https://wriorg.s3.amazonaws.com/s3fs-public/Attracting_Private_Investment_to_Landscape_Restoration_-_A_Roadmap.pdf.
- Wikipedia
- {{cite report |last1=Faruqi |first1=Sofia |last2=Landsberg |first2=Florence |title=Attracting Private Investment to Landscape Restoration: A Roadmap |publisher=World Resources Institute |date=February 2017 |url=https://wriorg.s3.amazonaws.com/s3fs-public/Attracting_Private_Investment_to_Landscape_Restoration_-_A_Roadmap.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{faruqi2017attracting, author = {Faruqi, Sofia and Landsberg, Florence}, title = {{Attracting Private Investment to Landscape Restoration: A Roadmap}}, institution = {World Resources Institute}, year = {2017}, month = feb, url = {https://wriorg.s3.amazonaws.com/s3fs-public/Attracting_Private_Investment_to_Landscape_Restoration_-_A_Roadmap.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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