Challenges/Possible Finance/General/ Investing for Impact

Investing for Impact

Strategic Finance

Capital Allocation

Financial Modeling

Investment Analysis

FP&A, ROI Analysis

Mission-Driven Finance

Executive Communication

Estimated Time:

1 hour

Status:Not started

What You'll Be Doing

Possible's leadership team is reviewing plans for 2025 and needs to allocate $5M in investment capital across competing strategic priorities. This challenge assesses your ability to structure financial analysis, balance quantitative and qualitative factors, and communicate complex tradeoffs to executive audiences—all while honoring Possible's mission as a Public Benefit Corporation.

Scenario: "Balancing Growth, Liquidity, and Mission"

The company's mission is to expand affordable access to credit while maintaining sustainable growth and investor confidence. You've been asked to analyze tradeoffs between growth, liquidity, and impact across three competing priorities:

State Expansion – Entering two new states could increase revenue 25% but requires $4M in upfront regulatory and compliance costs.
Loan Automation Initiative – Upgrading internal loan servicing and collections systems would reduce per-loan costs by 15% within a year.
New Short-Term Product Launch – A pilot for a paycheck bridge product that could drive long-term retention but carries credit risk and higher customer acquisition cost.

Leadership wants a clear recommendation on how to allocate $5M in available investment capital for the next 12 months.

Record a video walking us through your investment analysis and recommendation, and submit a one-page strategic investment memo.

What You'll Accomplish

Structure capital allocation analysis with clear metrics, assumptions, and tradeoff frameworks

Balance financial ROI with mission-driven outcomes and risk appetite in investment decisions

Communicate complex financial recommendations clearly to executive and board audiences

Design performance monitoring systems to track ROI and adjust strategy based on results

Evaluate competing strategic initiatives across multiple dimensions (financial, operational, mission impact)

How Your Work Will Be Scored

Analytical Rigor (40 points)Strategic Judgment (30 points)Communication & Influence (20 points)AI Usage Transparency (10 points)

What to Submit

Submit the following two deliverables:

Deliverable 1: Video Response File Name: PossibleFinance_Video_[YourName].mp4

Requirements:

7-10 minutes continuous recording (one take)
Address all three sections: Introduction, Traits Assessment, Challenge Response
Clear audio quality
Demonstrate your strategic finance thinking process
File format: MP4, MOV, or any standard video format

Deliverable 2: Written Artifact - Strategic Investment Memo File Name: PossibleFinance_InvestmentMemo_[YourName].pdf or .docx

Requirements:

1 page maximum
Summarize your approach and recommendation as if sending it to the CFO and CEO
Include:
- The 2-3 most critical assumptions in your analysis
- A simple ranking of initiatives with your rationale (financial + mission alignment)
- A short paragraph describing how you'd present this to the board
Keep it concise and executive-friendly—we're looking for clarity, structure, and judgment
Must include AI Usage Declaration

AI Usage Declaration (required in written artifact): ☐ I did not use any AI tools ☐ I used AI tools (briefly describe how, including prompts and edits)

On this page

What You'll Be Doing

Scenario: "Balancing Growth, Liquidity, and Mission"

State Expansion – Entering two new states could increase revenue 25% but requires $4M in upfront regulatory and compliance costs.
Loan Automation Initiative – Upgrading internal loan servicing and collections systems would reduce per-loan costs by 15% within a year.
New Short-Term Product Launch – A pilot for a paycheck bridge product that could drive long-term retention but carries credit risk and higher customer acquisition cost.

Leadership wants a clear recommendation on how to allocate $5M in available investment capital for the next 12 months.

Record a video walking us through your investment analysis and recommendation, and submit a one-page strategic investment memo.

What You'll Accomplish

Structure capital allocation analysis with clear metrics, assumptions, and tradeoff frameworks

Balance financial ROI with mission-driven outcomes and risk appetite in investment decisions

Communicate complex financial recommendations clearly to executive and board audiences

Design performance monitoring systems to track ROI and adjust strategy based on results

Evaluate competing strategic initiatives across multiple dimensions (financial, operational, mission impact)

What to Submit

Submit the following two deliverables:

Deliverable 1: Video Response File Name: PossibleFinance_Video_[YourName].mp4

Requirements:

7-10 minutes continuous recording (one take)
Address all three sections: Introduction, Traits Assessment, Challenge Response
Clear audio quality
Demonstrate your strategic finance thinking process
File format: MP4, MOV, or any standard video format

Deliverable 2: Written Artifact - Strategic Investment Memo File Name: PossibleFinance_InvestmentMemo_[YourName].pdf or .docx

Requirements:

1 page maximum
Summarize your approach and recommendation as if sending it to the CFO and CEO
Include:
- The 2-3 most critical assumptions in your analysis
- A simple ranking of initiatives with your rationale (financial + mission alignment)
- A short paragraph describing how you'd present this to the board
Keep it concise and executive-friendly—we're looking for clarity, structure, and judgment
Must include AI Usage Declaration

AI Usage Declaration (required in written artifact): ☐ I did not use any AI tools ☐ I used AI tools (briefly describe how, including prompts and edits)