The United Way is reported to raise nearly $4.0 billion each year.
If the United Way were a “company” it would be a large one---with sales of nearly $4.0 billion. But, the United Way is not a company. It is an agency that collects and redistributes contributions from millions of generous persons. Most of the donations to the United Way are made directly through payroll deduction services organized by the United Way in cooperation with employers—with the full permission of participating employees.
If the United Way were a “company” it would be a large one---with sales of nearly $4.0 billion. But, the United Way is not a company. It is an agency that collects and redistributes contributions from millions of generous persons. Most of the donations to the United Way are made directly through payroll deduction services organized by the United Way in cooperation with employers—with the full permission of participating employees.
How big is $4.0 billion? If the United Way were a foundation—and it was distributing $4.0 billion each year, it would represent a foundation with assets in excess of $80 billion (this presumes the $4.0 billion represented 5% of invested assets annually).
This means that the “people” who supply the United Way with “gifts” literally comprise the largest foundation in the world. Yup. Average people at work.
The Share-Capital Foundation is trying to make this compelling fact more apparent to “average people”. Average folks are a profound economic force for good.
The Share-Capital Foundation is trying to make this compelling fact more apparent to “average people”. Average folks are a profound economic force for good.
The Foundation Center (www.foundationcenter.org) collects and publishes information about foundations. The center reports that the Bill and Melinda Gates Foundation lead the top 100 largest foundations in the U.S. with $29.9 billions in assets, followed by the J. Paul Getty Trust at $10.9 billions. The famous Ford Family Foundation completes the top 100 foundations with assets of $564 millions.
The United Way, by collecting $4.0 billions each year from individuals—represents the capital muscle of a foundation more than twice the size of the Gates model. Average folks.
Here are three ideas to consider: The assets of foundations, big and small, are comprised of investments in companies—stock held in companies with employees. These very employees, through their generosity and sense of community, represent the largesse of a foundation more than twice as significant as the largest foundation in the U.S. The foundations of wealthy families--"own" the largest foundation! It may be time for the largest foundation to "spin off" on its own!
Point two: if these same employees, instead of making cash gifts, made gifts of shares in companies (Share-Capital would suggest companies involved in energy, pharma and food) the "gifts" of shares, like a foundation, would be ongoing. Over time these gifts of stock would capitalize a big engine capable of giving over a long period of time--long after the "work" performed by the employee to earn the gift is long past.
Point three: if the generosity of average employees were expressed as shares of stock and aggregated over time, not only would the gift become sustainable—the relationship with the companies whose shares were held would be transformed.
Under such a scenario a day would come when whole companies in the pharmaceutical sector, for example, would be “owned” by a foundation built by “average folks”—whose intent is not to mess with management—but whose goal is to begin to participate in the power and trajectory of capital. And, meanwhile, the "givers" would receive a big gift in return--by owning a company--they would be able to "learn" how pharma really works.
Under such a scenario a day would come when whole companies in the pharmaceutical sector, for example, would be “owned” by a foundation built by “average folks”—whose intent is not to mess with management—but whose goal is to begin to participate in the power and trajectory of capital. And, meanwhile, the "givers" would receive a big gift in return--by owning a company--they would be able to "learn" how pharma really works.
Last thought: does it deserve mention that churches in the U. S. receive voluntary gifts each year in excess of $125 billions? It makes the United Way illustration look incidental. It is. Average people vote with their dollars—not as consumers—but as metaphysical beings who know at a deep level that community—and what is ultimately transpersonal (not post modern) really matters.
The Share-Capital Foundation provided this op-ed. www.share-capital.com
