Disruptive Innovation meets Personal Connection

by Megan Kashner
October 18, 2012

 

We're all accustomed these days to the innovations and simplifications available to us through technology.  In my field, however, disruptive innovation made possible by technology is still largely novel.

In philanthropy, the innovation so far has been in the tools rather than in building new approaches to solving social problems. The tools -- web-based and mobile donation systems, cloud-based databases, crowd-funding, social media, and contact and email management -- have been useful, absolutely. But innovation in giving needs more than technological tools.  It needs disruption, a willingness to break long-held boundaries and standard practices.

Our nonprofit startup, Benevolent, is a  disruptive innovation that turns philanthropy on its head, breaks rules, and violates long-held practices - all fueled by technological innovation. 

For years, giving has been aggregated - we give to a nonprofit which then uses our gift to fund its work. We give through community- and nation-wide outlets like the United Way, trusting them to decide how funds should be distributed. Unless we can make a major grant, our donation feels like a drop in the bucket. 

Giving has been impersonal.  Nonprofits have always shielded the identities of their clients. We might use a client story as fodder for a fundraising campaign, but we never, never raise money for one particular client, calling out his or her personal challenges. 

People haven’t known how to judge the authenticity of a person’s need. How can we know that each person's story is valid, and filling each need will make a difference? How can we be sure that our donations are well-stewarded and flow directly to the needs we want to support? How will we know whether our donation made a difference?

Using newer technology tools like crowd-funding, social media, and more, Benevolent is changing the philanthropy paradigm from impersonality and passivity to secure, person-to-person giving. Low-income adults tell their own stories of the challenges that are blocking their progress; present their one-time needs; and request support to help them forward. Local nonprofits validate their clients’ needs, use the funds to fill the specific needs, and report back.  In a micro-giving, crowd-funding model, donors give with impact. Benevolent makes giving personal and interactive.  

When I started in the nonprofit field decades ago, direct, secure, transparent giving like this would have been impossible.  Scalability was out of the question. Today, it's possible and brought to the world right from our very own Chicago-area startup scene.

- megan kashner
  founder & ceo
  Benevolent
  www.benevolent.net 

[video:http://youtu.be/dbB7MBfAvmM align:left]

 

Chicago startup guides

LOCAL GUIDE
Best Companies to Work for in Chicago
LOCAL GUIDE
Coolest Offices in Chicago Tech
LOCAL GUIDE
Best Perks at Chicago Tech Companies
LOCAL GUIDE
Women in Chicago Tech