Guide for Funders to Assess and Value Impact

Guide for Funders to Assess and Value Impact

Investors and philanthropists hold the power to create large positive impact on society. Impact Institute is proud to publish the Guide for Funders to Assess and Value Impact. It provides impact investors and philanthropists with a sound impact assessment and valuation methodology. This includes step-by-step guidance on how to assess and value the impact of a potential funding opportunity. The Guide builds on a detailed review of existing knowledge and frameworks and provides guidance on various topics such as:

• Selecting relevant impacts
• Forecasting and monetising impact
• Aggregating results to metrics such as Net Present Value for impact
• Assessing sensitivity and uncertainty and;
• Reporting on results

With this open-source methodology, we hope to help funders assess funding opportunities with rigor and consistency. This is an important step, so that impact-driven funders may wield their financial power strategically and effectively to create positive social and environmental impact.