I heard Dan Pallotta's TED talk on NPR's TED Radio Hour last week. Pallotta is an activist and fundraiser in the nonprofit sector and his talk is a great eye opener on the outdated constraints we put on nonprofits and people who dedicate their careers to helping others.
He points out that the nonprofit sector has been stuck at earning two percent of the U.S. GDP for 40 years, compared to the for profit sector because our society discourages charities from advertising all the good that it is doing. We need to allow nonprofits to be more bold with their goal-setting and more risky in their ventures in order to fuel innovation.
Keeping nonprofit overhead low is not a goal. It is a hinderance. Getting the U.S. off oil by 2030 (AUDACIOUS!) now THAT is a goal. "Overhead" a.k.a. marketing and leveraging investment (things the rest of the free market is very good at) is a means to an end: Growth and scale to deal with major social issues. Changing the world.
Philanthropy is the market for LOVE. It is the market for all those people for whom there is no other market coming. And so if we really want, like Buckminster Fuller said, a world that works for everyone, with no one and nothing left out, then the nonprofit sector has to be a serious part of the conversation.
















