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Friday, 2 October 2015

Social Welfare As A Business: Earning From People's Misfortunes

Fund raising refers to the method of gathering financial support for non-profit purposes that involves identifying solicitations from investors for non-profit enterprises. It consists mostly of asking donations mostly for cause oriented efforts that have no return in financial gain whatsoever. Fund raising is an effective means of obtaining funding by non-profit organizations to maintain their operations in regards to their goals. Such institutions as religions, public broadcasters, political campaigns, philanthropic, charitable institutions, environmental and research organizations substantiate their means of operating under such fundings.

There are several types of fund raising methods used solely for non-profit gains and involve several organizations that utilize these funds partly for their operation as a service providing cause oriented institution, but mostly, for social developmental purposes as well. Even though fund raising is considered a non-profit initiative, they are still given a special category designated by the country's tax laws and vary in their eligibility in qualifying for deductions and exemptions.

Delegated terms of exemption and tax reductions depend on the purpose of the fund raising program and its implicated financial attribution. Organizations and institutions that donate through fund raising programs also come under tax scrutiny as for the purpose of tax reduction and exemption on the contributors part.

Professional Fund Raisers:

Some non-profit organizations pay for the services of professional fund raisers, though it is in conflicting terms with the Code of Ethics of the Association of Fund raising Professionals (AFP), however, employing people to work for the duration of the fund raising campaign is a whole different aspect and does not violate the specific guidelines of the Association of Fund raising Professionals. Some organizations nonetheless take up the services of professional fund raisers who are eventually paid a percentage of the funds raised.

Religious Organizations:

One of the most important institutions that has optimized fund raising in its full potential are the religious organizations. These efforts are organized from the smallest local events up to the global scale. The funds that are accumulated go to the provision of basic needs of the poor and the propagation of evangelical ministries all together.

Political Campaigns:

Fund raising plays a very big and decisive part in any political campaign initiative as well as converging on some very controversial issues as well. Regardless of numerous campaign financial laws and reforms, political financial fundings for some candidates are an issue of moral importance as it implies an attempt in influencing legislation. Counter-advocacy organizations also raise funds in the same manner to work against issues such as these.

Public Broadcasting:

Government funded public broadcasters thrive mostly from public donations as most of its fundings come from the government. Pledge drives are commonly organized three times a year to substantiate funding. Usually taking up to three weeks, viewer ship and listener ship goes down as special programming is aired in order to augment ratings.

Funding Grants:

Grants, as the term suggests, are funds that are freely given, without any repayment necessary, that come from certain individuals such as corporations, foundations, government institutions or trusts. Most often from non-profit organizations, business or educational institutions. “Grant Writing” is the most common means of seeking funds from these institutions and are often referred as asking for an application or proposal. The proposal is usually reviewed by the board members of these institution and evaluated for viable feasibility of any vested interests that may or may not be suitable to the institutions cause. Organizations such as the Caritas Manila, offer assistance to all educational and social endeavors that involve education studies, particularly in the fields of science, technology and environmental advocacies.

Grants are funded for certain projects and require a strict level of financial reporting on the specifics on where the funds will be used. The process includes a submitted proposal to the institution that will give financial funding for a specific project. Individuals and organizations seek out grant providers most of the time to finance individual or cause based oriented projects, but there are instances where grant funding institutions seek out viable projects that have feasible potential that may involve an institutions vested interest.

Grants can sometimes be in the form of social purposes and are considered a tax deductive initiative in the part of the institution that provides funding for social welfare projects. The government considers projects as tax deductive in nature credited to the organization that provides it. This is done through the registration of the grant provider which emphasizes the project as a non-profit organization. A good example would be subsidized projects involving the government with its infrastructure programs such as roads, school buildings and other community based programs.

Most common grants and funding come in the form of financial education support for indigent students and in most cases, are part of a government loan. Most of these grants are given to promising students with exemplary potential that seek government funding for the pursuit of their education. Educational grants seek out students who display a valid potential in satisfying grantor's expectations and in return, provide the needed support in continuing its support to its beneficiary.

Grant are also given out as support to the development of medical, scientific research, industrial, economical development and support in social development such as the arts. The quality of life as we know it today, owes its continued growth mostly to privately funded endeavors. Most organizations today have extended their social involvement in funding social developmental projects which aim to improve the quality of life around us. Funding is very hard to come by as institutions need a valid proof of concept in the feasibility of any submitted requests regarding funds.

Institutions and organizations that provide financial support are also business entities that need to earn back their money, though not the entirety of it, though earning more in the long run, gradually.  There are strict guidelines in compliance once the grant has been given to the beneficiary and in return, the beneficiary must in their own way, meet all obligations that is required in order to be given continued support for their endeavors, hmmm...sounds like slavery to me...what do you think?

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