Quiz: Are You Ready for Impact Investment?
- Ugochi Obidiegwu
- Apr 17
- 3 min read
Originally published on LinkedIn.
One of the most common questions I've received since starting this newsletter is, “How do I know that I am ready for impact investment?” So, for this edition, I would like you to answer a few short questions. At the very least, what this will do for you is highlight your specific gap. Then, YOU have a responsibility to plug those gaps. Ready? Let’s go!
Take this quiz to assess your readiness for impact investment. Answer each question and tally your score at the end. Leverage the scoring rubric at the end to assess the readiness of your impact-oriented organization.
Section 1: Mission and Impact Clarity
Do you have a clearly defined impact mission that aligns with the UN SDGs or another recognized framework? (A) Yes, crystal clear (3 points) (B) Somewhat, but needs refining (2 points) (C) Not yet, still working on it (1 point)
Can you confidently articulate your Theory of Change? (A) Yes, and I can back it up with data (3 points) (B) Somewhat, but I need to improve my storytelling (2 points) (C) Not really, I need more clarity (1 point)
Section 2: Business and Financial Model
Do you have a sustainable revenue model that aligns impact with profitability? (A) Yes, and it’s validated by traction (3 points) (B) Somewhat, but I need stronger proof (2 points) (C) No, I’m still working on the financials (1 point)
Have you mapped out your funding needs and investment structure (e.g., grants, equity, debt, blended finance)? (A) Yes, I know exactly what type of capital I need (3 points) (B) Somewhat, but I need more clarity (2 points) (C) Not yet, I need guidance (1 point)
Section 3: Metrics and Reporting
Do you track and measure your impact with clear KPIs? (A) Yes, with a robust framework (3 points) (B) Somewhat, but it needs improvement (2 points) (C) No, I don’t have a measurement system in place (1 point)
Can you provide evidence (case studies, reports, or testimonials) proving your impact? (A) Yes, I have strong proof points (3 points) (B) Somewhat, but I need to build more data (2 points) (C) No, I lack formal documentation (1 point)
Section 4: Investor Relations and Fundraising Readiness
Have you identified investors that align with your impact mission? (A) Yes, I have a targeted list (3 points) (B) Somewhat, I need to research more (2 points) (C) No, I have no idea where to start (1 point)
Do you have a compelling pitch deck tailored for impact investors? (A) Yes, it’s investor-ready (3 points) (B) Somewhat, but needs refining (2 points) (C) No, I haven’t started (1 point)
Scoring Rubric
19 - 24: You’re Impact Investment Ready. Investors will love your clarity and preparedness.
13 - 18: You’re Almost There. Strengthen your impact data and investment strategy.
7 - 12: Need More Preparation. Refine your financials, impact measurement, and investor targeting.
1 - 6: Start from the Basics. Take time to align your impact and business strategy before fundraising.
How do you feel about your score? Whatever your score, let it motivate you to either put your house in order or go out there and actively start pitching to impact investors. To support those who are ready, Hani Kareem, an angel investor, recently put out a call for innovative organizations, give it a shot.
Resources
Worth Reading
Worth Listening to
Why Due Diligence is Crucial for Impact Investment - Money Talk Viewpoint
Leverage AI in Impact Investment Due Diligence - Founder Institute
Highlighted Resource
The ImpactVantage newsletter is a great resource to help you navigate some of the topics highlighted in this quiz.
End Notes
If you have a product or resource that can be helpful to an impact-oriented organization on its way to becoming investible, fill out this Google form. Who knows, you might be featured in the highlighted resource section.
If this was valuable, like, comment, share and subscribe.
PS: Are there topics you would like to see covered? Share them, and I will see how to add them to the existing content schedule.
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