Debate: Changing Tax Statuses To Achieve Social Good

Last week nonprofit Jumo was bought by for-profit GOOD. This week nonprofit CouchSurfing.org became a B Corporation. While I believe that there are a variety of ways to work for social change, what are the implications of changing tax statuses in pursuit of capital?  Here are some interesting perspectives:

“The Jumo example doesn’t appear to be too common…yet. But I would hate to see the 501(c)(3) status come to be seen as a kind of quick-and-easy way to get free startup capital en route to flipping one’s organization into a for-profit enterprise, social or otherwise. I’m not saying this was Jumo’s intention, but others could choose to interpret it that way and see it as an interesting strategy to emulate.”

~PND Blog

“Look, I don’t know if CouchSurfing’s “social mission” should qualify as a tax exempt nonprofit. But I know that nonprofits are starved for growth capital. The true distinction between a socially driven business and a profit driven business isn’t about their tax code election. The distinction is about the collective decisions the organization makes over time and who those decisions are intended to serve – public or private benefit.”

~Tactical Philanthropy

I have some initial questions/thoughts:

  • Will we begin a larger conversation on what constitutes as a “social mission?” The truth is that anything can be construed into a social good or having a social purpose (for example, one of the core goals for  the nonprofit National Cattlemen’s Beef Association is to “increase consumer demand for beef”).  With more people wanting to enter the social change conversation, should we try to have a more clear definition of what social change actually means?
  • Does it make sense to shift structures depending on your plans for growth? While some folks like to dismiss the differences between for profit and nonprofit as mere tax lingo, the difference in how an organization can use profits affects what funds are available to them, how they find funds, and how they use funds to implement their mission.  Additionally, an organization’s need for capital may change depending on their stage in organizational growth.  While I’m not advocating for being able to hop around until you find a tax status that fits, I’m curious as to whether planning to switch is a strategy worth exploring at all.
  • Does the public actually care what status we have? Each status has its own connotations, for example, being a nonprofit often assures people that your donations are being used for good (even though that may not always be the case and I certainly think this view is shifting with the millennial generation).  However, if the lines become blurred, will this affect people’s confidence in whether organizations are committed to working on social change?  Or will this encourage folks to have a broader view on social change and how they can/should be involved?

I’d love to get your input on this.  Share your thoughts below.


The Integration of Social Change and Living: Lessons from Jumo

Jumo was purchased by GOOD. I have to admit that I didn’t get into Jumo because a.  My social network is primarily full of nonprofiteers and other folks who want to do good so I didn’t need a separate network and b.  As much as I love the nonprofit sector, people simply don’t organize around organizations enough for the creation of a separate social network.

To be sure, there are brands around which folks may identify and love, however, a separate social  network implies that nonprofits are a primary social identification for folks, when this isn’t the case.  Instead, what people are identifying around is the desire to do good.  As Sean Stannard-Stockon notes in Tactical Philanthropy:

‎Our 20-something Millennial doesn’t define herself by the nonprofits she supports. She defines herself as someone who gives a damn. What she wants isn’t a special place she can visit to express her social self before returning to the “real world” of work, life and play. Instead she wants a world full of work, life and play that is built around a connective tissue that infuses all of her life with meaning.

This is not to say that nonprofits aren’t important  or that it need not be addressed separately; the sector has some unique challenges and triumphs that I explore specifically in this blog.  However, through my work I am constantly seeing how people are infusing their passion for social change into everything they do.  Additionally, organizations are beginning to shift perspectives of their work from being the primary place where social change happens, to being places that are conduits and incubators of social change.

Integration is becoming a norm and I see it happening in news, work, and organizational focus:

GOOD.is: GOOD understands the importance of seeing social change in all that we do.  Causes and social change are at the center of all issues, including technology, business, politics, and culture.  In doing so, we are exposed to the possibility that we can make a difference wherever we are.

Free Agents: More and more people are affecting social change outside of an organization. Harnessing social media, people mobilize their networks to take action or support a cause on their own terms. This phrase was coined by Beth Kanter and Allison Fine in their book Networked Nonprofit. Learn more about free agents and see examples.

Entrepreneurship: No, not social entrepreneurship.  Rather than making social change an add-on goal or pursuing a typical career at an organization, young people are simply building organizations that reflect their values.  This is a unique shift in perspective, one that I think has many implications for social change and nonprofits.

DoSomething.org:  DoSomething.org does  a great job of marrying social change with pop culture and technology to inspire teens to take action.  DoSomething.org structures its work around the fact that pop culture is important to teens [did you see their awards show on VH1 last night?]  and that teens spend a great deal of time online.  They are a great example of meeting people where they are and providing them with the tools needed to make a difference.

How else are people making social change a core component of what they do?


Professional Development and Networking on Google Plus

When Google Plus was first announced I, like many others, was ambivalent about the platform.  On the one hand, it often feels as if there is a new website/tool/platform popping up daily, making me feel overwhelmed and a bit annoyed.  Yet another website for the job fairies to watch me?  A new shiney object to look at?  And this one a bit more difficult to escape as it’s embedded in my Google account!

On the other hand, I generally welcome new ways to connect with people while learning and sharing information.  After all, while there are a variety of ways to share and connect, the manner in which we are allowed to share can affect with whom we connect and what we share (for example relationships built using facebook vs twitter). In fact, I think the lens of “just another social network” ignores the uniqueness of the company launching the network (Google is not “just another company”), what it offers to users, and the ease of access to the platform.

While many folks are mulling the impact of Google+ on nonprofits and social change activists, playing around with it, I can see the potential it has for networking and professional development.  Specifically, what makes Google Plus interesting to me is the ability to have more intimate conversations. I’ve noticed the following benefits that have made Google+ interesting:

  • Building stronger relationships with fellow nonprofiteers: Through circles you can control what you share and see, allowing for more personalization and cutting through noise.
    • Drawback: I would like it more if folks could create circles together so that it felt less one-way or asymmetrical. I may put someone in a circle, but they may not have me in a circle or communicate with me based on the type of circle I put them in.  Additionally, it’s hard to find like minded people to add to my circles through a regular search.
  • Staying on top of your cause: Again, with circles you can create new streams of content based on your interests.  Additionally, sparks brings you new content—you just type in what you’d like to learn more about.
    • Drawback: Sparks is pretty weak in terms of the type of content it comes up with.  I would much rather have my Google reader integrated into Google+.  Additionally, since many of the people who are on Google+ are already active in social networking, there is a great deal of repeated content from other social networks.
  • Testing new ideas and having discussions: Through hangouts you can collectively share resources and have conversations.  I’m most intrigued by the possibility of having webinars as well as opportunities for experts and organizations to have virtual “office hours” for the public.
    • Drawback: The people with whom we may most want to connect are not on Google+, at least not at this phase.  Again, the lack of diversity of users makes the execution of these ideas a bit trickier.
  • Real time learning by using: Personally, this is what makes Google+ a bit more fun for me.  Because Google+ came out during a time where social media is not an entirely new idea and there is lots of competition, people seem more willing to experiment and share what they are learning.  Rather than seeing  “Gosh, what am I supposed to do here?” type of posts that were all too common when, say, Twitter, came out (and yes, I am guilty of saying this!) folks seem to be jumping in with questions, ideas, and articles.  In other words, it seems to be growing organically through a desire to learn and share.  Why not jump in and try it out for yourself?
    • Drawback: Obvious—people on Google+ seem to love talking about, well, Google+.  Of course, this is not always true and you can adjust what you see by changing your circles, however, this seems to be a dominant topic.

Because Google+ is so new, there is obviously room for growth. I’m curious as to how you are using Google+ and your reactions to it.  Is it something worth trying?  What are the pros and cons for professional development and networking?

Resources:

Google+ for Nonprofits

Google+ Collaborative How-To Document

Twitter vs. Facebook vs. Google+

Feedback Friday on Google+ with Natalie Villalobos


Youth Media and A New Framework for Activism

This weekend I spoke at the Digital Waves Youth Media Festival in NYC.  Let me just say that if you want perspective on your career and values talk to young people. I find there is an emphasis on having tangible ways to find and create the career and life you want.

I did youth radio in high school through Radio Rookies, a New York Public Radio initiative that provides teenagers with the tools and training to create radio stories about themselves, their communities and their world.  In reflecting on my experiences in that program, I realize I was equipped with a framework for changing the world that emphasized confidence, connection, and action.

1.  Own your experiences: Oddly enough I see this more in adults than in young people, but this unfortunate belief that we shouldnt share our experiences because we don’t believe they matter.  In order to take effective action, mobilize, and connect with your community you have to believe that your voice is important.

2.  Be willing to listen to the stories of others: I was encouraged to talk to family, friends, and neighbors about issues I normally wouldn’t discuss.  Through reaching out I was humbled by people’s willingness to open up to me and I gained greater perspective on the reasons for people’s actions and beliefs.

3.  There’s no issue too big that you cant act on: I’m sure many of us have heard of childhood obesity, but how many of us have heard from young people struggling with obesity? People talk about becoming a post-racial society, yet how many of us have heard from young people who are cultivating their identities during this change? Through youth radio we were trained to use our most powerful weapon, our voices, as a way to act on important issues.

To help young people reflect, connect, and act I shared the following resources:

What would you share with young people in journalism for changing the world?  What’s your framework for activism?