
Investment Criteria 2: Financial Return
In a prior post, we discussed the framework we use at Impact Foundation to vet potential investments. Broadly, we look for (1) alignment with our charitable purpose (i.e., the impact), (2) financial return, and (3) structure to determine if an investment fits on our platform.
Regarding financial return, traditional investors look to maximize IRR (internal rate of return) balanced with factors like time horizons, diversification needs, and appetite for risk. To this list, Impact Foundation also adds considerations of the impact sought by a particular investment.

Investment Criteria 1: Alignment with Charitable Purpose
When we look at the impact of a particular investment, we want to find ways that the company is intentionally seeking positive social, spiritual, and/or environmental impact that aligns with, and furthers, our charitable purpose. Not merely aspirational in their intended impact, the enterprises that we invest in have specific plans for how to achieve these goals.

Investment Criteria: Overview
Impact Foundation provides a streamlined way to invest charitable capital in businesses that seek profit with purpose.
Streamlined does not always mean easy, but hopefully we deliver on our goal of absorbing the complexity for the donor-investors we serve while providing great enterprises with the investment capital they need in a timely manner.

Losing Money for Jesus and Other Bad Ideas
This donor expressed concern that his philanthropy hadn’t accomplished much. He couldn’t point to measurable impact and the constant requests for funding left him feeling a bit used. Worse, he felt a bit insulted that these well-meaning evangelists were abusing the term “business” which to him connotes excellence, discipline, and the pursuit of profit for the sake of fueling generosity.
He declared, “I’m done with this whole “losing money for Jesus” idea.”

The Pain And Joy Of An Unfinished Story
Often people comment on how fortunate we are to find meaningful work that seems to line up perfectly with our personal stories, passions, and expertise. That's true and yet I've been finding myself thinking a lot about the rest of the story - the parts that often aren't fit for print.
They say that our greatest opportunities for ministry come from our deepest pains or brokenness. See e.g., Rick Warren, the Apostle Peter, the Apostle Paul. I believe this to be, but I sure wish it weren't.
The ministry of Impact Foundation, in many ways, is borne of our personal experiences navigating the impact of wealth on our families of origin and helping friends do the same.

35 Players in the Impact Investing Space
From officially being coined as a term in 2006 to being named as Forbes' top trend in philanthropy for 2015 and 2016, impact investing is enjoying rapid growth. Philanthropy is changing quickly with donors increasingly looking to invest charitable capital in companies and charities that pursue impact alongside financial profit. Even Bain Capital recently announced an impact investing fund.
With so many organizations in on the action, it can create confusion for those just venturing into the conversation. This blog attempts to explain the landscape and offer a survey of many of the organizations involved in impact investing (not an exhaustive list, but a start).

Sticky Issues with Co-Investing
More than once, we've been asked the question whether a donor/investor can put their personal capital in the same deal as their charitable capital. This blog addresses a few of the technical considerations involved in such questions.*

A New Narrative of Business and Philanthropy
A generation ago, the nonprofit community was the main place to find people focused on transforming the world for the better. It used to be that if you wanted to make money you’d start a business and if you wanted to make a dent in global poverty, transform a local community, or care for widows and orphans, you needed a charity. It's an entirely too common, and damaging, false dichotomy. Too many business leaders have assumed that their chief contribution to the world was through the money they gave away.

Toward a Practical Theology of Capital
Impact investing from a Christian perspective necessitates a deep understanding of what the bible says about the issues involved – namely, how to invest, where to invest, and for what purpose. Seems obvious as I write it, and yet prior to last week, “develop a workable theology of capital” was nowhere near the top of my to-do list.
We're far from expert at this stuff, but we at least want to enter (or start) the conversation. A 15-minute Google search suggested this isn’t a conversation happening very many places yet.

The Benefits of Irrelevant Leaders
For followers of Jesus, there’s a tension we are constantly working to manage: the impact of what we do can never be the most important thing we seek and yet we’re called to love (through words and actions) those around us in the name of Jesus. As I've read over the collection of what we've shared on the blog, I'm worried that we could be sending the message that the impact of what we do is the most important thing. That can't ever be the case. The Most Important Thing is Jesus. Everything else flows from that.

You Can’t Steer a Parked Car
Momentum. That's the word of the day every day at Impact Foundation. We're trying to achieve and maintain enough momentum to accomplish our mission - helping donors invest in businesses that do good and make money. As we say a lot, "You can't steer a parked car." We've gotten going and now have enough activity so there's something to shape. It's exciting and sometimes we forget to share what's been happening. So here's a short update.

The World is Too Noisy for Another Marketing Campaign
I can't bring myself to follow the "rules" of marketing. They say I should add our voice to the commentary on the Zuckerberg/Chan gift. They say I should set aside time to write every day or every week on a regular basis. Don't worry so much about quality; just publish. I can't do it their way, though.

Confessions of a Broken Leader
Confession time: I didn't just write that post hoping it would help our audience; I wrote it as a reminder and caution for myself.
You see, a few years ago, I found myself feeling crushed by life--a big leadership role at work and high performance expectations coupled with the demands of a growing family left me cranky, stressed, worn out, and pretty much un-fun to be around. I'd accepted an ill-fitting burden called "the american dream" and mixed it with some Jesus stuff and come up with my own gospel narrative that goes something like this: I work hard; therefore, I find success.

An Entrepreneur’s Daughter
In the late 1980’s, before it was vogue to use the word “startup” my mom became the first employee of a new business. As the youngest of five in a financially strapped household with a single mom, I spent many hours at my mom’s side while she worked. I went with her to talk with employees, respond to alarm calls in the middle of the night, visit bankers, talk through negotiations with lawyers, review marketing materials, and fiddle with broken copiers.