Trovena Weblog

Professional Charity: Strategic Trusted Advisors Roundtable (STAR)

I read something the other day that reminded me about life's reality; Life is more 'Learn by Doing', than 'Learn by Thinking'. 

Dr. Carl Sheeler, a San Diego Business Valuation Expert with Allison Appraisals, and Russ Davis, San Diego Daily Transcripts Top Attorney Corporate Law (and runner up Employment Law) for 2009 with San Diego Business Law, are two examples of professionals that have embraced this golden rule.  Just last year, the three of us decided to start an organization to help others help themselves by creating a business organization; Strategic Trusted Advisors Roundtable (STAR). I believe this group is on it's way to attaining the goals we envisioned because we focused on how we could help others, rather than how we can help ourselves. The three of us and the rest of the executive board (see STAR link below) have learned a lot by thinking for sure, but we also realize that at some point, action and helping professionals create relationships is a fulfilling cause.

The first thought that comes to my mind when I hear the word 'charity', is a local non-profit that may need help with leadership and fundraising.  But I am also convinced that helping a community of professionals create connections and depth of relationships is a noble cause as well. It's a good feeling to know that you had a small part in helping a CPA, Financial Advisor, Banker, Attorney (the list goes on) be more successful.  You know at the end of the day, this can have a positive effect on their business, their family life, and ultimately their clients.  

If you conduct yourself responsibly and professionally in these types of organizations, you will most likely see rewards as well but the key is giving without the expectation of anything in return.  Your not going to find gold on a silver plate, but you will gravitate towards people that you'll find you can help, and will help you.  

With that in mind, think about finding a business organization that you can support and one that is a good fit for you. Whether it be STAR or any number of outstanding groups in town, put your best foot forward and let the chips fall where they may.  Ultimatley, it is all up to you; learn by doing.

If you are interested in learning more, please feel free to visit the STAR website.

  Strategic Trusted Advisors Roundtable

Reader Poll: What percent of your income do you give to charity?

Studies abound show that the amount that people donate to charity is correlated (not necessariy positively) to their household income, age and other demographics.  There are some interesting articles about this topic that I will write about later, but for now I wanted to take a poll among readers.  What percent of your income do you donate to charity?

How do you choose which charity gets yor donations?

Giving by individuals continues be dominate the landscape of charitable giving.  Individual giving consistently ranks somewhere around 75% of all charitable giving in America.

So, the question is how, out of approximately 1.4 million different charities to choose from, do you select whom is going to get your charitable gifting dollars?

People generally give to those charities with which they feel a personal, emotional connection.  This is why universities, religious organizations and hospitals are continually among the most successful fund-raisers.  You feel connected to your alma mater, your church, and the hospital that treated you or someone you love very well through difficult times.

But what are the other ways that people determine which charities to support?

Do you make charitable contributions to your alma mater?

RING!  RING!

Me:  "Hello?"

Voice on the other end:  "Hello, may I speak with Eric?"

Me:  "You got him."

Voice on the other end:  "Hi Eric this is Jimmie from the USC Annual Giving office.  I'm currently a business major, about to finish my junior year."

Me:  "Cool.  I was a business major."  (of course, they already knew that)

Jimmie:  "That's great.  Did you live on campus?  I live in Webb Tower."

Me:  "No way, I lived in Webb Tower!  In fact, I was an RA there."  (and of course, they already knew that too)

Jimmie:  "You should see the remodeling that they have done to the place.  The whole building has wireless Internet.  I love living there."

Me:  "Glad to hear that.  I had some great times in that building."

Jimmie:  "Of course, we rely on contributions from alumni like yourself to continually update and modernize the campus facilities, as well as attract world class faculty.  We thank you for your generous donation last year.  Can we count on a larger contribution this year?"

Me:  "Sure, what the heck."

This morning, I read an article entitled, "The Key to Alumni Giving" in The Journal of Queen's University in Ontario, Canada.  It is an interesting insight to the behind the scenes work of the University fundraisers at their various levels.

What is Planned Giving?

The concept of planned giving is anything but new.  In fact, my guess is that it has been going on for a few centuries.  Recently, however, there seems to be a buzz in the non-profit, fundraising community around planned giving.  "What is it?"  "How does it work?"  Most importantly, "how do we get some of it?"

Do you sponsor or participate in fund raising marathons, triathlons, 5 day bike rides, etc?

I did.  It was about nine years ago.  I was sitting in the waiting area of Supercuts, waiting for my buzz and trim, when I saw a flier for the AIDS marathon training program.  I always thought it would be a great personal accomplishment to say that I ran a marathon.  Besides, I would be raising money for a great cause, AIDS research, education and support programs.  Not to mention that I was a few years out of college, and my Freshman Fifteen had turned into the Through with College Thirty (actually forty, but I was going for the alliteration).

But just last week we were talking about American's perception of the proportion of donations that go not to the end charitable cause, but to overhead and fund-raising expenses.  So, looking back on my experience, this is my attempt to recreate the expenses that were involved and how much actually may have gone to the charitable causes.

How much should a charity spend on overhead?

How much is too much?  We would all like to believe that every penny that we give to charity goes directly toward the end cause.  A nail for Habitat for Humanity, a band-aid for the Red Cross, and a pencil for the Boys & Girls Club.  But we all know that life is not so simple.  Even charities need to buy computers, turn the lights on, and pay staff.  Yes, staff.  And that includes (gasp!) fundraising staff!  You mean charities raise money to pay people to raise money?

But how much is too much?  A recent study by Ellison Research revealed that most Americans believe most non-profits spend too much on overhead.