Four Ways to Help Ensure Your Restoration Project is Investment-Ready: Insights from Maycomb Capital
Small environmental restoration firms can use impact-linked revenue sources—sometimes called Pay for Success (PFS) contracts—to scale impact while earning revenue through measurable environmental outcomes. Yet, securing upfront capital to launch these projects can feel daunting, especially for firms new to impact investing. To demystify what funders are looking for and where to find them, we sat down with Maycomb Capital, a women-owned, leading impact private credit firm that provides flexible, mission-aligned debt to organizations that serve low-income individuals across the United States. Maycomb leverages an outcomes financing model to ensure tangible positive impact is created for communities across every single investment.
Here’s what their team shared about how environmental service providers can position themselves to attract capital for outcomes-based projects.
1. Understand what investors want
Maycomb finances outcomes-based projects that measurably improve the lives of low-income communities and other historically marginalized groups. Although they often work in sectors like early childhood, workforce development, and health equity, they welcome projects that demonstrate clear connections to environmental outcomes tied to health, like air quality improvement, flood resilience, lead service line replacement, etc.
When considering projects for due diligence, Maycomb looks for five key elements:
Measurable results that benefit underserved communities: Whether it’s cleaner air, restored waterways, or reduced flood risk, projects must demonstrate how they help low-income or historically disadvantaged populations.
Outcomes-aligned revenue sources: Borrowers must either have, or have a clear path to, funding tied to outcomes. This could come from government contracts, incentive payments, or other innovative streams.
A track record of success: Service providers need to show they have delivered meaningful results in similar contexts.
Strong leadership: Borrowers should have a management team with deep experience and an execution-oriented mindset.
Alignment with focus areas: Projects that touch on workforce development, health equity, or similar themes—even indirectly—are more likely to fit within Maycomb’s portfolio.
Both for-profit and nonprofit entities qualify. “We currently have a mix of both in our portfolio,” their team noted.
Extrapolating outside of Maycomb, these five principles are well-suited to evaluate your compatibility with any impact investor. As you gather your project materials and begin looking for investment, think about different impact investors’ focus areas and geographic or socioeconomic alignment.
2. Have clear timelines and repayment expectations
Maycomb structures its investments to reflect the flexible nature of outcomes-based projects.
Their typical product is a 7-year term loan, structured according to the needs and circumstances of the particular borrower and the populations they serve. Borrowers make repayments over time using revenue tied to short-, medium-, and long-term outcomes.
“We collaborate closely with our partners from the outset to uncover early insights--leading indicators of real outcomes in their communities. That early data empowers organizations to adapt and refine their work as needed, positioning them to achieve the results they are striving towards. — Shelby Kohn, Managing Director, Maycomb Capital
3. Avoid investors’ red flags
Small businesses and NGOs should also know what disqualifies a project upfront to avoid wasting their time pursuing investment options that aren’t the right fit. Maycomb highlighted the following red flags when evaluating proposals for their own investments:
Lack of benefit to underserved communities: Projects that don’t explicitly help low-income or historically marginalized groups won’t progress.
No outcomes-aligned revenue source (or pathway to one): Without a clear strategy to generate revenue tied to outcomes, financing becomes infeasible.
Weak evidence base: If your intervention lacks credible evidence of effectiveness, investors will pass.
Financial instability: Service providers must demonstrate that the business is in a healthy financial position, and debt is an appropriate tool to support the growth of the business.
Ineffective leadership team: Investors look for leadership teams with the capacity and experience to execute effectively.
“We lend to enterprises whose revenue is meaningfully connected to the positive outcomes they are seeking to generate in their communities. Because of this link, borrowers don’t have to choose between impact and financial performance--they go hand in hand.” — Shelby Kohn, Managing Director, Maycomb Capital
4. Seek them out
Knowing where to look for aligned investors can accelerate your capital-raising journey. Maycomb recommended several entry points:
Tap your network: Maycomb’s team often connects with potential borrowers through referrals from government partners, existing borrowers, and collaborators. If you work with a government agency, ask if they can introduce you to lenders like Maycomb.
Engage in the impact investing ecosystem: Maycomb actively participates in national networks such as Mission Investors Exchange, Impact Capital Managers, Confluence Philanthropy, and SOCAP. These organizations host forums where service providers can meet funders.
Increase your visibility: When you share your outcomes and project successes publicly, you make it easier for investors to find and engage with you.
Reach out: Do you provide a high-quality, impactful service to low-income individuals and families? Is your revenue linked to the impact you are having in your community? Connect with Maycomb Capital to see if there is an appetite to collaborate!
Final Thoughts
Environmental restoration firms new to Pay for Success contracting can navigate the landscape by focusing on clear, measurable outcomes, building a strong track record, and proactively engaging with networks like Maycomb’s.
At EPIC, we remain committed to helping environmental innovators scale their impact through creative financing approaches. Visit our Invest in Nature web page for more information on Pay for Success and other outcomes-based approaches.
This publication is for informational purposes only, and nothing contained herein constitutes an offer to sell or a solicitation of an offer to buy any interest in any investment vehicle managed by Maycomb Capital or any company in which Maycomb Capital or its affiliates have invested. Information provided reflects Maycomb Capital’s views as of a particular time and are subject to change without notice. You should obtain relevant and specific professional advice before making any investment decision. Past performance is not indicative of future results; no representation is being made that any investment or transaction will or is likely to achieve profits or losses similar to those achieved in the past, or that significant losses will be avoided.
