EXECUTIVE SUMMARY
“People investing in people”
SWAYAM
Mission
Swayam will ensure that financial constraints never stop bright and motivated students from pursuing higher
education.
Social Problem and Market Opportunity
International organizations such as UNESCO have led studies which have shown that of all individuals
eligible to enter higher education, only 24% actually enroll. This is a worldwide issue, but it is felt acutely
in developing countries such as India (where the percentage is as low as 10.5%) and China (7.5%). Often,
lack of funding is at the root of the problem. For India to be able to catch up with the worldwide average of
24%, over 35 million more of its students would need access to funding.
As for those students who are lucky enough to secure loans that allow them to pursue higher education,
many of them fear that they will be crippled by high repayment amounts which might not be commensurate
with their actual earnings.
Swayam’s Solution and Social Return on Investment
Swayam is a pioneer in peer-to-peer social investing. It offers ordinary people the opportunity to become
Angel investors in the education of talented individuals, in exchange for a share of those beneficiaries’
future income. Under the terms of a Future Income Contract (FIC), the students, called Swayam Fellows,
return a pre-specified percentage of their income over a certain number of years to Swayam, once they
graduate and start earning. Swayam then channels these funds back to the Angels who funded those
students’ education, as returns on their investment.
Once promising young individuals are given the means to fund their education through Swayam, their
quality of life will greatly improve. Studies have shown the most notable benefits to be higher lifetime
income, increased personal and professional mobility, and enhanced quality of life for the beneficiary’s
family. Furthermore, our FICs assure students that their repayment amounts will be commensurate with
their financial means, what