Alfanar’s Portfolio Manager Suha Hallab shares practical lessons from London Climate Week for social enterprises and the funders backing them.

Impact Frameworks Made Simple (Seriously)

During London Climate Week in June 2025, I found myself immersed in conversations on ESG, sustainability, and impact frameworks, alongside the usual 'jargon soup' that often overwhelms more than it clarifies.

Amid the big ideas and bold commitments, there were also noticeable gaps. Rather than adding to the noise, I wanted to distil lessons for measuring impact that truly resonated for social entrepreneurs working in fragile contexts, the funders supporting them, and those of us striving to translate vision into meaningful, lasting change.What I walked away with were not new frameworks, but sharper questions: What makes measurement useful, not just reportable? Where does it serve strategy, and where does it get in the way?

Measurement isn’t a burden. It’s a catalyst.

We often treat impact measurement like a reporting chore, but it's actually our first step toward better strategy and stronger funding asks. You don’t need perfect data or a comprehensive MEL system, you just need to start.  Start small. Track one thing that really matters. Then build from there. Measurement done with intention becomes strategy, and strategy gets you funded.

Always start with the beneficiary.

I heard a lot of ambitious frameworks last week, and many abstract ideas. But sometimes, when we zoom out too far, we risk losing sight of the people at the center.

A good impact framework doesn’t just speak to donors or investors. It speaks to the change you’re trying to make for real people, in real communities, with real needs. If the metrics don’t connect back to them, they risk becoming  decoration.

So before you choose your indicators, ask yourself: What does “better” look like for the person I’m serving?

Materiality isn’t just for corporates.

You don’t need to be a Fortune 500 company to ask: What matters most in my context?

For social enterprises in fragile economies, trying to track 50 KPIs is not just exhausting, it’s counterproductive. A basic materiality scan (even done with sticky notes) can help you focus your energy on what  moves the needle.

Is it job creation for women? Water use? Energy cost? Youth retention? Pick 3–5 material issues. Align your strategy and reporting around them. Simplify to amplify.

And if you’re stuck, ask your team: What keeps us up at night? What are funders always asking about? What do our beneficiaries care most about?

That’s where your indicators live.

Framework fatigue is real. Let’s not add to it.

One panel I attended ran through seven different ESG measurement frameworks, in just three minutes. It was impressive, but overwhelming.

If you’re a social entrepreneur juggling daily operations, payroll, a broken generator, and five WhatsApp groups with advisors and donors – what’s needed isn’t more acronyms, but more clarity.  Tools that work with you, not against you.

My advice? Choose one framework (maybe two) that fits your context. Use it as a foundation – but don’t be afraid to adapt, simplify, or localise it. The goal isn't to tick every box, but to make change visible, actionable, and aligned with realities on the ground.

Investors are catching up, let’s meet them halfway!

ESG hygiene is becoming essential. A shift is underway. It is no longer a nice-to-have but becoming part of the conversation, and more investors are asking thoughtful questions about how enterprises are managing their impact and risk.

But there’s still a language gap between early-stage enterprises and capital providers. That’s where we need more bridges. More clarity. And better tools to help tell the story. If you're a funder, remember that most small enterprises don’t have in-house comms teams or ESG analysts. If you're an entrepreneur, don’t wait for the perfect report, just start where you are. Even a simple, honest story can go a long way.

Being transparent about the journey builds trust. And often, it's the clarity and authenticity—not the polish—that opens the door

The lockstep model is nice. But it’s rarely that easy. 

We all love a good win-win: when financial returns and impact scale together. But in real life, especially in crisis-affected economies, things aren’t always that neat.

Sometimes, achieving long-term impact means making short-term trade-offs. Sometimes the financial returns take time; coming only after trust is built, and traction is proven.

And that’s okay.

What matters most isn’t perfection, It’s transparency. Share your logic. Be clear about trade-offs. Bring funders into your reality. Because in the end, strong partnerships are built on trust, not polished decks.

Disclosing ESG data is tough. But silence is worse.

Many early-stage social enterprises I work with are hesitant to report anything, afraid they’ll be judged, misunderstood, or seen as too small.

But silence carries its own risks. Funders want to see progress, even if it's early, imperfect, or still evolving.

So share what you do know. Explain what you're tracking and why. Be honest about what’s missing and where you need support. You’re not expected to be perfect, just credible

Because at the end of the day, credibility beats complexity.

In the end, we don’t need to reinvent the wheel, we just need to make it roll. That means shifting our mindset: from complexity to clarity, from jargon to action. Because impact isn’t a checklist. It’s a way of thinking, building, and staying accountable to the people we serve.