Entrepreneurship in Belgium : Marc Verhaeren and Funds for Good

Welcome to The Bulletin’s series, Entrepreneurship in Belgium. Every month,  Brussels-based communications specialist Meg Stringer will interview an entrepreneur working in Belgium – whether established or just starting out.

Name: Marc Verhaeren
Nationality: Belgian
Age: 42
Location: Brussels
Sector: Finance

Not all bankers believe that “greed is good” like Wall Street villains Gordon Gekko and Jordan Belfort. Marc Verhaeren is an entrepreneur who has come up with a new form of finance with a philanthropic edge. Marc spoke to communications specialist Meg Stringer about his latest venture, Funds for Good.

How does Funds for Good work?
Marc Verhaeren: We offer people exclusive investment opportunities with social impact. We give 10% of our revenue and 50% of our profits to charitable organisations, especially those that support aspiring entrepreneurs in Belgium. We make these charitable gifts, not our investors. Their profit is their own.

You are voluntarily giving away part of your profit. What’s the catch?
My two partners (Nicolas Crochet and Patrick Somerhausen) and I realised that we could distinguish our company with our commitment to philanthropy. We have a niche business that stands in sharp contrast to the predatory image that many people have of bankers, especially after the financial crisis. Our clients feel good about their investment and proud of their affiliation with us. We also feel good about our work. How many people can say that today? 

What makes your investments exclusive?
First, Bank de Luxembourg Investments (BLI), one of Europe’s most respected banks, manages all of our investments. We have an award-winning asset manager with BLI that has produced consistent returns of 5 to 8% net per year. Second, and most importantly, we carefully select and adapt the asset allocation over time, spreading it over 23 different sub-strategies. This unique product is only available through Funds For Good.  

What is your role in the company?
We have a great product, and my most important job is to go out there and sell it. I do everything from addressing conferences of 150+ potential investors to making cold calls to insurance agents. 

Why did you start your business in Belgium?
This business works precisely because our clients appreciate the social investment we make in Belgium – often in their own communities. Also, contrary to public opinion, Belgium is actually a great place to test a business. The cost of living is relatively low so you can operate here cheaply. It quickly gets expensive, though, when you start hiring people. That’s why we maintain a very lean team.

You have an MBA from Solvay Business School and from the Kellogg School of Management in Chicago. What did you learn in America that you couldn’t in Belgium?
Solvay taught me how to study and think about complex business issues. Kellogg taught me more practical skills and gave me the confidence I needed to go out and start my own businesses. In addition to Funds for Good, I have also started two other successful companies in France – one of which I sold in 2011.

What is your advice for other aspiring entrepreneurs?
Plan carefully, but don’t over analyse. Get out there and test your idea. Then adapt and test again until you get it right. Keep going and hold on for the ride.