BetterWorld Books measures its social and financial success. It provides over $2 million annually to literacy non-profits. It offsets over 3,000 tons of carbon emissions and employs 150 people, many with training and benefits. A new social impact model ties funding for non-profits to 8% of gross profits rather than revenue. It also sets aside 5% of equity for non-profits based on improving literacy and generating book donations and revenue. This aligns incentives for both BetterWorld Books and its literacy partners.

2. Social & Financial Success Metrics for BetterWorld Books Social Impact Measurement Amount (2008) Funding Non Profit Literacy Partners $ per annum $874,074 Funding Library Literacy Partners $ per annum $1,106,865 Landfill Reduction Pounds of books 2,130 tons Carbon Offsets Tons of CO2 offset 3,042 tons Full-time Jobs # of jobs 150 (approx 100 of which employ low-income workers with training & benefits)

3. Normal Financial Measures of Success Financial Metrics Revenue Growth Profit (EBITDA) Net margin Internal Rate of Return (IRR)