Inspiration from France! In France, a mission-based approach is seen as a commitment versus an opportunity – La Loi Pacte was amended to encourage companies to be more social.
Last year, in collaboration with Dealroom, this report proposed a methodology to measure entrepreneurial activity and capital invested into purpose-driven tech companies across Europe. This was based on a simple framework aligned with the United Nations Sustainable Development Goals (“SDGs”).
The first iteration in 2019’s report focused on a subset that started with seven of the 17 SDGs. Since last year’s report, Dealroom has continued to develop the methodology and build out its coverage of purpose-driven tech companies to enable an analysis that is now extended across all 17 SDGs.
For each of the individual SDGs, Dealroom’s team has manually assigned keywords to tag companies in its platform with relevant categories. Each company is then individually reviewed and assigned to either “core” or “side” depending on the business model alignment with the SDGs, in other words whether it is core to a company’s business model, or simply a peripheral or indirect aspect of the business model. By extending the analysis in this way, Dealroom has grown the dataset from 528 unique venture-backed, purpose-driven tech companies analysed in the 2019 report to over 3,000 in this year’s report. As always, we understand the methodology has limitations and welcome feedback both in terms of scope and methodology in future iterations. The dataset and methodology are accessible on the ‘Impact & Innovation’ section of their website.
To follow the entire report and analysis read more here