top of page

Impact Investing

Echo River Capital (Echo River) is a venture investor in early stage water technology companies seeking to make an impact by measurably improving the environment, human health and climate resilience. Echo River invests as a strategic partner, with a tendency towards collaboration and innovation. As opposed to publicly traded companies with strict SEC oversight, Echo River has the freedom to act as a laboratory to develop meaningful impact metrics and indicators. Echo River encourages companies to develop and adopt meaningful impact metrics specific to their markets and operations and to report them annually. These metrics shall include environmental, social and governmental issues (ESG). As Echo River grows, we will deepen our impact capabilities.

Data Identification and Gathering

We seek to provide catalytic capital to companies yet to fully commercialize their products and services. As companies develop and conceptualize their go-to-market strategy, customer identity and value proposition, we work so their impact can be envisioned, measured, and quantified in their accounting systems. The implementation, collection, and reporting will be incumbent on the company. Echo River will request that Portfolio Companies provide these metrics and supporting data annually to prepare its Impact Report that will be provided to current LPs, prospective LPs, and where appropriate, to the public.

Portfolio Company Expectations

Echo River supports portfolio companies that identify and develop their own set of impact metrics that contribute to beneficial outcomes that are specific and bespoke to their customer industry. Echo River invests across many iindustry verticals, which makes universal metrics across the portfolio challenging. Supporting evidence and data should be gathered continuously and reported at least annually. Echo River is striving to achieve relevant impact investing credentials including UN Principles for Responsible Investing and B-Corp certification.

IA 50 2024- Badge

Frameworks for Metrics: Top-down and Bottom-up

Ideally, metrics will be able to roll up or down to different scales. Echo River seeks diversity at all levels of the organization including among portfolio company teams, Limited Partners, and operating advisors. Conversely, metrics ought to unroll to specific, bottom-up data collection unique to a particular company's operations. This duality in the framework will facilitate effective communications with different audiences and their interests.

Diversity, Equity and Inclusion

Echo River communicates the importance of diverse teams to maximize performance, to ensure alignment with their customers, and to enable continuous learning and growth. Echo River tracks our own DEI participation among our LPs and advisors. We expect the same of our portfolio companies to be intentional in assembling their team, and to communicate representation of the founding team. Our goal is that half our portfolio companies will include founders from under-represented communities, and include at least one female board director. Representation is an important step in diversity and inclusion, as well as for advancement and company performance.

bottom of page