answers to common questions
WHAT ARE THE CRITERIA FOR CHOOSING AN ENTERPRISE AS A PARTNER?
Impact Marketplace spotlights companies that will, at a minimum, seek to preserve the charitable capital invested in them, and possibly return a little more. Many of the companies will be located in the developing world with a focus on addressing one or more of the World Bank’s Sustainable Development Goals (SDGs).
HOW IS SUCCESS MEASURED?
As we invest to create economic, social, and spiritual transformation, tracking performance across all three areas is critical although tricky. Rather than create a rigid, one-size-fits-all methodology, we offer several suggestions that each enterprise can tailor to fit their own culture and goals. The companies will vary in which things they focus on, monitor and report. The most common measures involve things like jobs being created for those living in poverty, women and girls redeemed from trafficking and employed in life-giving enterprises, students educated, numbers of families served for things like potable water, families fed, increase in income per capita. On the spiritual dimension, some organizations will track people involved in bible studies, church attendance, or involved in generous service of giving of their time in their communities. Over time we will help the companies develop and share ways in which they determine meaningful progress in these economic, social and spiritual metrics.
WHAT CAN KINGDOM IMPACT LOOK LIKE AT THE ENTERPRISE LEVEL?
To put it simply, the enterprises we invest in put love into action, as Jesus instructs in the Great Commandment. David Blanchard of Praxis Labs explains it well: “We see a thrilling opportunity for entrepreneurs to be winsome witnesses, creatively demonstrating their faith by being part of the solution. This is the body of Christ at its best, loving our neighbors through the works of our hands.” Some businesses may also engage in “evangelism” as traditionally defined – pursuing the Great Commission of making disciples through the ways in which their leadership teams live their lives.
WHAT SCRIPTURE IS PARTICULARLY RELEVANT IN ANIMATING YOUR WORK?
While there are many passages that we cling to for direction and inspiration, the Parable of the Talents (Matt. 25:14-30) that speaks to the responsibility of a steward to use his/her resources wisely to advance the Kingdom is particularly pointed. “To whom much was given, much will be required.” (Luke 12:48b). We recognize that we and the individuals we serve are among those whom have been entrusted with much. We seek to live our lives in such a way as to hear “Well done good and faithful servant … Come and share your Master’s happiness!”
WHAT DO THESE WORDS MEAN?
An Impact Account is a donor-advised fund through our partner, New Horizons Foundation, where all assets of a Fund are legally owned by the foundation. We allow Impact Donors to advise on how their Impact Account will be invested within the parameters of the foundation’s Investment Policy. This means an Impact Donor can select the companies in which it wants to invest. When those investments liquidate, the Impact Donor can choose to invest in another Impact enterprise or grant the money to another charity. If you have a DAF through another organization, you do not need an Impact Account to contribute charitable capital to Impact Marketplace enterprises. Contact us to find out the best way to move this capital to one of our portfolio enterprises.
According to the Global Impact Investing Network, impact investments are “investments made into companies, organizations, and funds with the intention to generate social and environmental impact alongside a financial return.
KINGDOM IMPACT ENTERPRISE
A Kingdom Impact Enterprise is one that (1) earns financial profit, (2) has measurable, positive social/environmental change, and (3) regularly works toward Kingdom impact. These companies may be organized as LLC’s, corporations, partnerships, or one of the fancy new corporate forms like “L3C” or “B Corporation”.