Subject category:
Ethics and Social Responsibility
Published by:
Stanford Business School
Version: 31 March 2022
Length: 15 pages
Data source: Field research
Abstract
In April 2019, just two months shy of his graduation from Stanford Graduate School of Business ('Stanford'), Cody Evans was looking forward to converting his professional and academic experiences to real-world impact. Having worked at both the largest private equity firm in the world and an energy infrastructure developer in Africa, Evans brought a unique blend of investment rigor and entrepreneurial spirit to Stanford. More importantly, he was driven and inspired by energy as a fundamental building block for economies. During his time at Stanford, he was drawn to new legislation meant to spur economic growth and job creation in low-income communities through tax-advantaged investment. These emerging Qualified Opportunity Zones (QOZs) were the topic of multiple articles published by Evans alongside distinguished professors, specialists, and leaders in the economic and community development fields. With expertise in the area and a passion for energy infrastructure projects, Evans wondered if he could combine the social benefits of QOZs with the environmental impact of existing solar incentives. The US Internal Revenue Services (IRS) had not yet written the rules on the innovative concept, so the risk levels were high while the return was uncertain. With graduation approaching, Evans would have to make some key decisions. In addition to settling on a viable investment thesis, he would have to assemble a team and think about how best to raise capital.
Time period
The events covered by this case took place in 2022.Geographical setting
Region:
Americas
Country:
United States
About
Abstract
In April 2019, just two months shy of his graduation from Stanford Graduate School of Business ('Stanford'), Cody Evans was looking forward to converting his professional and academic experiences to real-world impact. Having worked at both the largest private equity firm in the world and an energy infrastructure developer in Africa, Evans brought a unique blend of investment rigor and entrepreneurial spirit to Stanford. More importantly, he was driven and inspired by energy as a fundamental building block for economies. During his time at Stanford, he was drawn to new legislation meant to spur economic growth and job creation in low-income communities through tax-advantaged investment. These emerging Qualified Opportunity Zones (QOZs) were the topic of multiple articles published by Evans alongside distinguished professors, specialists, and leaders in the economic and community development fields. With expertise in the area and a passion for energy infrastructure projects, Evans wondered if he could combine the social benefits of QOZs with the environmental impact of existing solar incentives. The US Internal Revenue Services (IRS) had not yet written the rules on the innovative concept, so the risk levels were high while the return was uncertain. With graduation approaching, Evans would have to make some key decisions. In addition to settling on a viable investment thesis, he would have to assemble a team and think about how best to raise capital.
Settings
Time period
The events covered by this case took place in 2022.Geographical setting
Region:
Americas
Country:
United States