We’re pleased to announce the release of The Impact Due Diligence Guide. The Guide is a how-to for engaging in impact due diligence and contains actionable advice and guidance for both novices as well as seasoned experts in IMM, covering topics such as building impact-focused due diligence questionnaires and quantitative tools, integrating impact due diligence into existing processes, and using impact due diligence to inform investment decision-making.
As the impact investing industry has matured rapidly in recent years, the field is increasingly recognizing the need for commonly accepted approaches to defining, measuring and managing impact. While the practice of IMM has become increasingly sophisticated and widespread, most investors focus primarily on what happens after, not before, investments are made. However, if impact investing is to realize its promise of generating meaningful social and environmental impact, then it is essential to prioritize a thorough and systematic examination of impact as part of due diligence, just like financial risk and return.
In response, Pacific Community Ventures has developed the Impact Due Diligence Initiative to identify emerging best practices in impact due diligence and offer practical tips and guidance to help investors more systematically examine impact in the same manner that they would financial risk and return prior to making an investment. The first report, Impact Due Diligence: Emerging Best Practices, was published in July of 2019 and we’re excited to publish the second part of research, The Impact Due Diligence Guide.