Recently, we held an Impact Learning Collective session featuring Camelback Ventures' Senior Director of Data & Strategy, Melvin Freeman, on Measuring What Matters: Helping Portfolio Companies Demonstrate Impact.

From our conversation with Melvin, several key themes emerged regarding their approach to supporting social ventures, impact measurement, and organizational sustainability. Here's a breakdown of the major takeaways:

1.  Balancing Impact and Financial Sustainability

• Financial Viability: Social ventures need to be financially sustainable to have long-term impact. Camelback emphasizes the importance of financial health, like staff-livable wages and sustainable fundraising, as being crucial to sustaining meaningful impact.
• Low-Cost, High-Impact Models: The ideal program is one that balances impact and cost-efficiency. If a program can pay for itself while delivering significant outcomes, it becomes easier to attract funding.
• Runway and Fundraising: Portfolio companies need to be mindful of their runway, especially when it comes to challenges in the fundraising landscape.

2. Importance of Storytelling and Qualitative Data

• Storytelling as a Core Tool: Camelback recognizes the power of qualitative data and storytelling in conveying impact, particularly because early-stage ventures might not have robust quantitative data.
• Beneficiary Feedback: They stress the importance of gathering balanced feedback, including stories from beneficiaries, not just success stories but also learning moments. This helps ventures pivot and refine their models.
• Learning from All Voices: By seeking feedback from a range of beneficiaries, ventures can avoid confirmation bias and truly understand their impact, making their story more compelling. 

3. Impact Measurement and Data Collection

• Starting with Existing Frameworks: Camelback encourages portco's to use established taxonomies (e.g., IRIS+, SDGs) to measure impact, helping them align with broader industry standards and expectations.
• Data vs. Storytelling: They acknowledge the challenge of balancing data capture with storytelling. While data collection is necessary, it shouldn't detract from the program’s primary impact work.
• Automation and Efficiency: For ventures with SaaS products, Camelback advocates for automating data collection (e.g., embedding surveys in user journeys) to reduce manual work and ensure consistency in data gathering.

4. Building Capacity for Impact Measurement

• Tailored Support for Portfolio Companies: Camelback aims to help ventures build their internal capacity for impact measurement. They offer expert resources, frameworks, and one-on-one support as provided by UpMetrics, but also recognize that the level of technical assistance needed varies by organization.
• Collaboration vs. Direct Control: Camelback constantly evaluates the balance between providing firm guidance on impact measurement and offering support when needed. They aim to empower ventures while avoiding micromanagement.

5. Portfolio Analysis and Long-Term Impact

• Annual Portfolio Analysis: Camelback conducts an annual review of the ventures in their portfolio, using external data to assess their financials and impact. This helps to track long-term success, even for ventures that have been out of the program for several years.
• Burnout and Venture Health: Acknowledging that burnout is a growing issue among social entrepreneurs, Camelback has implemented wellness support and works to understand why some ventures shut down or experience leadership turnover.

6. The Role of a Connector and Convener

• Creating Peer Learning Opportunities: Camelback excels at convening entrepreneurs, funders, and other stakeholders for peer-to-peer learning and collaboration, without being the central expert in all areas.
• Funder and Entrepreneur Relationships: By creating spaces for funders to meet ventures and building relationships, Camelback fosters connections that can lead to further funding and partnerships.
• Scaling Impact Through Networks: Their work as a convener highlights the importance of relationships and networks in scaling the impact of their ventures.

7. Flexibility in Approach

• Adapting to Individual Needs: Camelback recognizes that each venture is unique and may require different levels or types of support. They strive for a flexible, personalized approach that meets the varying needs of their portfolio.
• Iterative Process: There is an ongoing effort to pilot different methods and strategies, adjusting based on the needs of their entrepreneurs and the feedback they receive.
  

8. Transparency and Trust in Data Collection

• Building Trust for Data Collection: Camelback achieves high response rates for its surveys by being transparent about the purpose of data collection, emphasizing how it helps them support future fellows and secure funding.
• Continuous Improvement: By fostering trust and clear communication, they’ve created a feedback loop where alumni ventures feel invested in providing data, even years after completing the program.

Conclusion: These themes reflect Camelback Ventures’ holistic, human-centered approach to supporting early-stage social ventures. They focus not only on financial sustainability and measurable impact but also on building relationships, trust, and community within their portfolio.