Get more out of what you give with a Giving Circle

Marketing June 29, 2016

A trend in charitable donations called “Giving Circles” promises to make a big impact in 2016, not only for nonprofits but also for donors. The circles are simple and fun to belong to and organize, and I have tips to get you started right away.

A Giving Circle brings together a group of people who pool their financial resources and blog_caregiver_support.jpgcollectively decide how to distribute that money. Think “book club” or “investment club” or “card club” — but with a philanthropic purpose where you contribute and have a voice in learning about and deciding how the group’s large donation will impact society. Often Giving Circles develop a close relationship with a small group of nonprofits to which they regularly learn about and give to.

Why Start a Giving Circle?

  • Pooling money with your friends can have a greater impact than making individual gifts, affecting critical issues you value in common.
  • Learning about nonprofits’ missions together can create a level of excitement in giving philanthropically that raises everyone’s personal joy of giving.
  • It can be fun to be part of a group and fulfilling to contribute in such an innovative and insightful way.
  • Giving Circles often involve a social theme of sharing meals or food coupled with the philanthropic giving of a large gift creating a VERY meaningful and worthwhile gathering truly worthy of your precious time.
  • Your favorite nonprofits benefit financially and from volunteerism, loyalty, word of mouth referrals and increased donors.

4 Tips to Get YOUR Giving Circle Started

  1. Gather a group of founding friends. Decide on the size of the group, the culture, whether others can join, what your “theme” will be and pick a name or join a national organization as one of their chapters.
  2. Decide how you will collect the financial resources. You could meet once a year and require a donation of $1,000 from each, or meet monthly and have members bring in $15 each time. A membership fee is another option, with the option to organize an event to raise more funds. Make sure to discuss where to hold the money during the year (bank account or have a nonprofit foundation hold your money in a donor advised fund). Discuss if your group will delve into donating time as well as money.
  3. Think about your mission. Do you want to remain community local or worldwide global? Are you wanting to impact children’s lives? All ages? Eradicate poverty or share the Gospel? Can each member suggest a charity, or would you rather invite nonprofits to a monthly meeting to share their mission throughout the year and vote on one or two to support?
  4. Learn about Nonprofit recipients. Decide how you will learn about the charities. Options include inviting a mission advancement director to your group, having a member present information gathered online or traveling to the charities to see them in action.

For more information, visit the Forum for Regional Associations of Grantwriters “Giving Circles”  for several helpful articles.