Kate Barr provides an excellent overview of the L3C business structure, just now going live in VT. The structure is expressly designed to qualify for mission aligned investments ("program related investments") by foundations. The purpose is to use patient, low return, or no return, philanthropic capital to entice market investors to build businesses that serve social purposes. An example, perhaps, might be a store selling locally grown fresh food in the inner city, thereby helping farmers and consumers, while also providing jobs. Would a community foundation consider investing in a deal life that? Could it be offered through Donor Advised Funds as an investment? Could a church in the inner city take up a collection, give to the Donor Advised Fund and so "have some skin in the game," even if they could not qualify as accredited investors to buy the securities? c.f Reg D.