Philanthropy 3.0 (this blog) is one of six blogs consolidated at the Charity-Spring.com website.
I post often, so following this blog may grow tiresome with all the updates! This is the newest of my blogs and the subject I know least about. Like the other blogs, this one is first a tool for my own work with charities.
Philanthropic ventures can and should adopt the know-how and mentality of tech startups to develop their fundraising portfolios. The distinction between nonprofit and for-profit is losing its significance in the race to meet societal needs.
There’s a growing agnosticism among major donors as to what financing model is being deployed. It’s about outcomes, not tax designation. Venture capital terminology is making its way into the charitable lexicon. Charities are raising “philanthropic seed rounds” to support operations. When outcomes measurement rules much of the big money, a charity earns more often than asks for support/investment.
Ours are for-purpose organizations rather than merely nonprofits (a tax designation) and they remain focused on a bottom line. Instead of gross profit, gross efficacy is the goal — the “triple bottomline.”
The information curated here speaks to nuanced changes in fundraising methodology and focus. “Investors” are as committed to achieving a purpose and mission through the social entrepreneurial charity as are donors; they are giving because they believe the organization is doing something positive that wasn’t there before.
The parallels between startups and nonprofits are so many and so clear that it is impossible to always discern the difference between them. Entrepreneurs and charity leaders alike have large visions to change the world by solving very clear pain points. Both test new innovations and are always evolving — as will the learning curve of this blog!