Social Impact Strategies: Building a Giving Circle

With so much need in the world, it’s easy to get discouraged. You only have so much to give and want to make the biggest social impact possible.?

Can you really make a difference?

I’m here to tell you that YOU CAN!?

You want to be a part of those life-altering, community-altering changes you know society needs right now. And yes, there’s a way to do it.

Of course, it helps if you’re a high-net-worth individual. But you can do this at any income or wealth level.

It’s time to explore giving circles as a social impact strategy for those who want to see their giving go further and help more people.

If you’d like to explore giving trend statistics, you’d also enjoy: State of Philanthropy in the US: How a Nation of Givers Is Making a Difference | LinkedIn

What Is a Giving Circle?

A giving circle is a form of philanthropy. In it, a group of individuals come together to pool their resources, usually financial, and collectively decide where to allocate these funds for charitable purposes. This allows the group to deliver maximum social impact with their money.

I discuss other strategies to do that in my recent post: Where Will My Cash Donation Have the Biggest Impact?

The concept centers around collaboration and shared decision-making, with members often contributing equal amounts of money, working together in fundraising activities, and participating equally in the decision process.

The goal of your giving circle is to:

• Amplify impact within a cause that your group cares about
• Encourage each other and hold one another accountable
• Learn and grow in understanding together
• Build and strengthen friendships and collaboration
• Empower each member’s ability to facilitate change through results-focused philanthropy

Additionally, joining an existing giving circle is a great way to meet new people and make friends who share your interests if you’re new to an area or want to expand your own circle.

Who Are the Members of a Giving Circle?

Often, giving circles are composed of people who fall into one of these categories.?

• Existing Friends
• Family Members
• Co-workers
• Faith-based group members (like a bible study group or members of a church, synagogue, mosque, temple, etc.)
• An existing organization where giving is a secondary purpose, such as a local business group, HOA, or Women’s Empowerment group

Everyone's Voice Matters

Giving Circles work because everyone gets to decide where the money goes. Of course, you can give your own money. But together you can raise a lot of money for one or more causes that are really important to you. There are no leaders, per se.

Like King Arthur with his round table, you’re a circle of leaders working together for a cause and making decisions democratically.

That said, to be successful in having a resounding social impact, a Giving Circle needs planning. You’ll assign responsibilities for group members and share in tasks.?

You and your friends talk about what's important. You make decisions together, so everyone's ideas are heard and respected.

Learn and Do More Together

Being part of a Giving Circle lets you learn about important issues from others in your group.

You and your team talk about what problems need fixing, often in your own local community. Then, you decide who to help and how. As a collective, you can research charities to make sure your resources are going to those that can demonstrate results.?

You encourage each other and hold each other accountable for promises. It’s like having a personal health coach, except your group is your giving coach.

Give More by Giving Together

When you join a Giving Circle, you and others put your money together. This means you can give more money to help people and causes.?

You’re like a superhero team, the Justice League or Avengers, depending on your camp.

Together, you create impactful, measurable change, especially if your giving circle chooses to focus on a local area.?

Just imagine how much you could move the dial on a local social issue like homelessness, food insecurity, or at-risk teens if you focus your group’s energy and resources in one area!

Make Friends and Change the World

In a Giving Circle, you're on a big mission. And any life goal is better with friends.?

You make friends who care about the same things as you. Together, you can do amazing things and make the world a better place.

Make Giving Easy and Fun

Technology makes being in a Giving Circle easier! You can use apps and websites to connect with your team. It's like having a superpower that helps you help others!

Joining a Giving Circle is a fantastic way to make a big difference in the world. You and your friends can work together, learn together, and change lives together.?

So, what are you waiting for? Join a Giving Circle today and start making a positive impact!

Let’s Build A Giving Circle From Scratch

Your giving circle can be as organized or disorganized as you like. A casual giving circle can absolutely work depending on the relationship among the members.

?But you’ll probably want to follow at least some of these steps to build a successful giving circle.?

Here's a suggested roadmap:

1. Define the Purpose and Mission

• Determine the mission and objectives of the giving circle. What social issues or causes will it focus on? What impact does it aim to achieve?
• Clarify the values that will guide the giving circle's activities.

2. Form a Core Planning Team

• Recruit a small group of committed individuals to serve as the core planning team.
• Assign roles and responsibilities within the team, such as chairperson, treasurer, secretary, and communication coordinator.

3. Develop a Structure and Guidelines

• Decide on the structure of the giving circle, including membership criteria, decision-making processes, and meeting frequency.
• Establish guidelines for membership dues, voting procedures, grantmaking criteria, and other operational details.

4. Recruit Members

• Identify potential members who share an interest in philanthropy and the mission of the giving circle.
• Reach out to personal networks, community organizations, and social media platforms to recruit members. You can do that right here on LinkedIn.
• Host informational sessions or events to introduce people to the giving circle and its goals.
• Note: If you currently lack credibility, you might need to start small with a core group that can validate your group's commitment to its mission.

5. Hold Inaugural Meetings

• Organize an inaugural meeting to officially launch the giving circle and introduce members to one another.
• Use this meeting to discuss the mission, structure, and expectations of the giving circle.
• Facilitate activities or discussions to build rapport among members and generate enthusiasm for the collective philanthropic endeavor.

6. Establish Governance and Procedures

• Develop formal governance documents, such as bylaws or a constitution, to outline the rules and procedures governing the giving circle's operations.
• Create a transparent and democratic decision-making process for selecting the charities you’ll support.?

7. Set Financial Goals and Procedures

• Determine the initial fundraising goal and membership dues required to support the giving circle's activities.
• Establish financial procedures for collecting dues, managing funds, and disbursing grants.
• Consider opening a bank account or establishing a fiscal sponsor to manage the giving circle's finances.

8. Celebrate Success and Evaluate Impact

• Announce grant awards and celebrate the giving circle's accomplishments with members and the broader community.
• Establish mechanisms for monitoring and evaluating the impact of funds your group donates through the giving circle.
• Solicit feedback from members and stakeholders to assess the effectiveness of the giving circle's activities and identify areas for improvement.

By following these steps, you can lay the groundwork for a successful giving circle that engages members, supports meaningful causes, and makes a positive social impact in the community.

About the Author: Steve Luke is driven by a deep commitment to creating significant and lasting societal improvements by focusing on local communities. He and his wife, Katsura founded Inspired One to facilitate collaboration, amplify voices, and foster partnerships between those who have the ability to give and organizations that are having a significant impact in communities.