Sign in Subscribe
Environmental sustainability

Sustainability Research Highlights Social Impact Measurement in Startups

Strategic Insights

— 1 min read

Researchers from the University of Pavia have explored the role of the Social Return on Investment (SROI) framework in measuring social impact in sustainable startups. The study found that SROI supports startups in legitimizing their social mission, attracting impact-oriented investors, and structuring their value proposition. However, challenges arise due to limited resources, methodological complexity, and evolving business models. The research suggests that further studies with larger samples and quantitative methods are needed to fully understand the benefits and limitations of SROI in early-stage entrepreneurial contexts.

Key Takeaways:

  • The Social Return on Investment (SROI) framework is used by sustainable startups to assess and communicate their social value.
  • SROI supports startups in legitimizing their social mission, attracting impact-oriented investors, and structuring their value proposition.
  • Challenges arise due to limited resources, methodological complexity, and evolving business models.
  • The study suggests that further research with larger samples and quantitative methods is needed to fully understand the benefits and limitations of SROI.
  • The research contributes to the emerging field of impact measurement in sustainable entrepreneurship.
  • The SROI framework is proposed as a practical yet adaptable method for early-stage ventures to quantify and communicate their broader societal contributions.
  • The study highlights the importance of social impact measurement in startup strategy and funding practices.
  • The research offers insights for entrepreneurs, investors, and policymakers seeking to integrate social impact measurement into their practices.

Statistics:

  • The study analyzes two in-depth case studies of startups operating in the sustainable innovation space and one accelerator program.
  • The research was conducted through a literature review, expert interviews, and qualitative analysis of the case studies.
  • The findings reveal that SROI is applied in early-stage entrepreneurial contexts to support sustainable startups in legitimizing their social mission.
  • The study notes that challenges arise due to limited resources, methodological complexity, and evolving business models.

Sources:

European Journal of Volunteering and Community-Based Projects

Measuring Social Impact: an analysis of Sustainable Startups, 2025,1(2)

Odv Casa Arcobaleno (publisher)

Alessandro Palazzo, Department of Economics and Management, University of Pavia (contact)

Read more