Impact Rating

# LivelyHoods

Top Poverty Nonprofit

Impact: $60 increases the earnings of an unemployed young person or woman by$290.

LivelyHoods Program meets the benchmark for high cost-effectiveness. The nonprofit increases income for a beneficiary by more than $1.50 for every$1 spent.

Note: The impact of this program may not be representative of the entire operation of LivelyHoods .

Governance: Passes checks

Mission

LivelyHoods' mission is to create job opportunities for youth and women in urban slums so they can earn an income and gain the necessary skills and experience for employability. To achieve this, we train unemployed youth and women to sell life improving, environmentally and socially beneficial products in their communities. Through skills-based training and job creation, LivelyHoods contributes to reducing unemployment and poverty, ultimately creating more stable and prosperous socioeconomic conditions for Kenya's slum communities

Cause

Poverty

Rated Program

LivelyHoods Program

Program Geography

Kenya

Los Angeles, CA

Website

Donations processed by the nonprofit.

Cause

Poverty

Rated Program

LivelyHoods Program

Program Geography

Kenya

Los Angeles, CA

Website

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#### Why We Could Be Wrong

We welcome your suggestions for improving our methodology. Our methodology section includes explanations of how we mitigate these issues.

• The outcome could oversimplify total impact. Using “increased earnings” as the metric of analysis may not intuitively convey the potential downstream benefits of participating in a livelihood support program, such as reduced financial stress.
• There could be multiple important outcomes not captured in our analysis.
• LivelyHoods may be spending additional money in order to serve harder-to-reach and/or particularly valuable populations.
• In the absence of better data, we assume uniform counterfactual rates for programs, at the risk of masking variation across nonprofits.
• Our estimates rely on data made public by LivelyHoods on its website, annual reports, financial statements and Form 990s.
• We only analyze programs that meet our criteria. As a result, this report may not fully reflect the impact of LivelyHoods .
• We do not assess what explains the nonprofit's cost-effectiveness.

We assign a rating to the nonprofit using the rubric:

• There are indications of governance or financial health issues at the nonprofit.

• After being given an opportunity, the nonprofit chose not to publish impact information.

We are not yet issuing this level of star rating.

• The rated program does not meet our benchmark for cost-effectiveness.

• The rated program is cost-effective.

• The rated program is highly cost-effective.

#### Nonprofit Comment

Not provided. This may be because we lacked contact information for LivelyHoods or it chose not to comment. If you are a representative of this nonprofit, contact us to review and comment on your rating.

Before publishing, we ask every nonprofit we can to review our work, offer corrections and provide a comment.

###### Analysis Details

Analysis conducted by ImpactMatters and published on November 22, 2019.

This rating is based on data reported by LivelyHoods using ImpactMatters' impact reporting platform. Using data from the platform, ImpactMatters analysts calculated impact and assigned a rating.

We welcome corrections. If you are interested in exploring applications of ImpactMatters data, contact us at partnerships@impactmatters.org.

#### Governance Check

LivelyHoods passes our governance check.

Overhead spending is reasonable (<35% of total spending)

Charity Navigator has not issued a fraud or mismanagement advisory

LivelyHoods itself has not reported any material diversions of assets

LivelyHoods itself has not reported any excess benefit transactions

Source: LivelyHoods Form 990 and Charity Navigator

#### How We Calculate Impact

This rating is based on ImpactMatters analysis of the impact of LivelyHoods Program relative to costs. Impact is the change in the social outcomes of people served by the program, net of the change that would have happened even without the program (the “counterfactual”); divided by cost. Learn more.

A guide to our process for analyzing nonprofits and assigning ratings.

Learn about best practices for reporting impact for different program types.

Our collected guidelines on how we analyze impact of nonprofit programs.

Rating is a complex exercise and we urge you to read our frequently asked questions for details of how and why we issue these ratings.