SAN FRANCISCO — A new acquisition in the charitable giving sector is a sign of growing interest in a more comprehensive definition of nonprofit effectiveness.
Charity Navigator, the largest independent evaluator of nonprofits in the United States, has acquired ImpactMatters, a startup that rates nonprofits based on cost effectiveness. Traditionally, Charity Navigator rated nonprofits based on basic financial transparency data, including overhead costs. By acquiring the ImpactMatters team and its ratings methodology, Charity Navigator is continuing its shift toward rating nonprofits based on impact achieved per dollar spent.
The Bill & Melinda Gates Foundation supported the acquisition, which was announced on Wednesday, as part of its strategy to support better giving.
About the author
Catherine Cheneycatherinecheney
Catherine Cheney is the Senior Editor for Special Coverage at Devex. She leads the editorial vision of Devex’s news events and editorial coverage of key moments on the global development calendar. Catherine joined Devex as a reporter, focusing on technology and innovation in making progress on the Sustainable Development Goals. Prior to joining Devex, Catherine earned her bachelor’s and master’s degrees from Yale University, and worked as a web producer for POLITICO, a reporter for World Politics Review, and special projects editor at NationSwell. She has reported domestically and internationally for outlets including The Atlantic and the Washington Post. Catherine also works for the Solutions Journalism Network, a non profit organization that supports journalists and news organizations to report on responses to problems.
