Impact Measurement: How Much Is Too Much? How Much Is Not Enough?

Devin Thorpe just released the conclusion to his three-part series on Impact Measurement. With it, he seeks balance. Having previously established the “why” and to some extent “how” of impact metrics, the long-time Forbes contributor now taps the collective and diverse thoughts of a dozen impact investing experts to answer the question “how much” reporting should investors expect.

Caprock is honored to have a voice in this discussion and leans on years of experience to back the advice of our cofounder, Matthew Weatherley-White.

When investors and entrepreneurs are well aligned in goals and objectives, it is easier to settle on appropriate measurement metrics, the experts say.

Matthew Weatherley-White cautions, “Too often, grantors and investors want to see metrics that reflect their values rather than the operations of the entity.”

“Social entrepreneurs, particularly in those critical start-up years, should foreswear the kind of broad, catch-all ‘values based’ expectations that our community tends to place on an enterprise,” Weatherley-White continues. “An example might be a retail-focused franchise-model water purification business in highly urbanized areas of Africa. Their metrics could be simple: liters of water purified, liters sold, number of unique customers, perhaps something about gender diversification in their franchisee base, etc.”

This article was written by Devin Thorpe for Forbes.