Foss & Company and our investors are committed to moving the needle toward a more sustainable and just future. Undertaking the implementation of ESG tax credit programs can appear challenging, but Foss & Company can help corporations and institutional investors through the process with direct investment transactions or through our tax equity investment funds.
ESG investing is the integration of environmental, social, and corporate governance factors into the investment process. Using ESG criteria, corporate investors and fund sponsors are able to select companies and projects with suitable attributes that align with the investor’s voluntary ESG commitments.
Tax equity investments are an underutilized strategy for boosting ESG performance and reducing ESG risk exposure. Transactions that pair the tax credits generated by a qualifying investment with the financing associated with that investment enables corporate investors to put their capital to work in funds, organizations, companies, or projects that seek to generate a positive, measurable social or environmental impact alongside a financial return.
Federal and state governments offer tax credits to promote public private partnerships, incentivizing investment capital to flow to domestic programs that benefit society, the nation and communities, such as:
As social and environmental factors become more tangible, a strong ESG proposition can safeguard a company’s long-term success. According to global consulting firm McKinsey & Company, a strong ESG proposition creates company value in five essential ways:*