#307: New Platform Matches Product Discounts With Nonprofit Crowdfunding
October 8, 2015 - Read the full GoodCrowdinfo article and watch the interview here: http://bit.ly/1FTrdga. Nonprofits are perpetually budget constrained; even the large ones feel the pinch. 121Giving (say one-to-one giving) has created a special-purpose crowdfunding site to help. Co-founder Liz Deering describes the problem she sees nonprofits facing, “Countless hours are spent by nonprofits running in-kind drives, asking local stores for donations and tracking down the goods they need to run their operations and serve their community. Our own Business of Nonprofits report found that 54% of NPOs do not ask retailers for discounts on products, and among those who do, 25% receive discounts of 15% or less. In addition, nonprofits struggle to connect with and engage an increasingly skeptical generation of donors. Stories of scandals and of mis-use of funds have left many charities wondering how to re-build trust and transparency with donors.” To address these concerns, 121Giving has created special vendor relationships to obtain discounts for nonprofits and a crowdfunding platform to cover the remaining costs. Liz explains, “121Giving is an online marketplace that NPOs can use to source discounted goods, and enable donors to help buy those goods. We’ve built a network of vendors who offer exclusive prices to charities, we’re harnessing the collective buying power that this $1.6 trillion industry deserves.” “We’re putting control in the hands of the charity, to order what they need when they need it, instead of dealing with one-off donations arriving at their doors,” Liz continues. “Our crowdfunding platform enables charities to show donors exactly what they need, from furniture for a homeless shelter to backpacks for kids, and engage them in helping buy those items. Donors are reassured that their donation can only be spent to buy goods.” Please consider whether a friend or colleague might benefit from this piece and, if so, share it.