Market rate is the rate of interest that is paid on any debt/security that trades in the open market. Market rates respond directly to changes in supply and demand. No social benefit is intentionally sought.
Grants are financial award that is not expected to be repaid by recipient. There is typically a lengthy application process to qualify and be approved. Recipients are often required to provide periodic reports on their grant project’s progress.
Non-profits are organizations dedicated to achieving a social mission without profit. Government typically interacts with nonprofits through the distribution of grants to provide services, by providing loans, and – to a lesser extent – through the government contracting process.
Social Enterprises are organizations dedicated to achieving a social mission while generating a portion of their budget through earned-revenue streams. These types of nonprofits are often referred to as social enterprises, though there is an ongoing debate in the field about whether a for-profit entity is a social enterprise. These entities interact with government in similar ways to traditional nonprofits.
Low-profit limited liability corporation are for-profit companies that are designed to accept both private and foundation dollars. These companies can receive Program Related Investments from foundations in addition to receiving more traditional investment dollars. L3Cs are eligible to receive grants, contracts, and loans from the federal government like any traditional nonprofit or organization.
Benefit corporations are organizations that are intentionally designed to meet higher standards of corporate purpose, accountability, and transparency The most common type of Benefit Corporation are Business as Benefit companies. These organizations benefit a social mission through the act of delivering their product or service for profit. These companies tend to be legally incorporated as B and C Corporations. They also interact with government similarly to L3Cs. However, it is important to note that the federal government makes no official distinction between for-profit companies that are committed to delivering public value and any other for-profit company.