There is a clear and persistent financing gap for high growth companies that are aligned with the Sustainable Development Goals. These businesses often have firm purchase orders and qualified customers but face delays and shortfalls in working capital that prevent them from fulfilling demand at the required pace. Traditional credit can be slow to arrange and is frequently secured against hard assets that many modern and asset light enterprises do not hold. At the same time many impact-oriented investors experience fee drag and long and uncertain liquidity timelines in conventional private market funds.​

Raffles SDG Fund addresses these issues through a hybrid approach that combines short tenor trade finance with the optionality of equity participation at the pre listing stage. The structure aims to generate near term cash yields from procurement and receivables cycles while reserving the potential for capital gains through equity conversion when an issuer advances toward a public listing. This design seeks to reduce downside risk through cash flow coverage and to preserve upside through participation in long term value creation. As principal is repaid and gains are realised the capital is recycled into new transactions so that both impact and portfolio capacity compound over time. This provides a transparent pathway from working capital fulfilment to public market readiness while aligning the interests of investors and issuers.