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5 Things to Know Before Donating to a Social Project

As much as we want to contribute back to our society, at times, our charity proves to be less impactful than we expect. There are many reasons for this, such as malpractices, lack of information, lack of transparency and others. But the most common one is ineffective giving.

What is Ineffective Giving?

Ineffective giving, despite the good intentions behind it, is a less impactful donation due to the disorganized allocation of funds.

For example - When you make a purchase, you consider the value derived from the money given. But in the case of a charity, donors pay less attention to the impact of their contribution i.e the value for their money, which leads to ineffective charity.

So how can you make your donations more impactful and make sure your money goes in the right hands? Here are 5 things that you should know before donating to a social project.

1. Support a cause that is important to you or your company

We all have a social cause that we feel naturally drawn to. Some companies like to solely donate to the education sector, while others focus on relief funds. Similarly, find out the motive that you and your employees feel most passionate about and focus on supporting that specific cause.

Don’t wait for a charity to approach you. Instead, do your research and find a non-profit that aligns well with your social goals.

2. Search for NGOs credibility

Once you find the organisation you would like to support, do thorough background research on the NGO. Look for online reviews, complaints, google rating, social media comments and if your donation is eligible for tax exemption.

One of the best ways to check the credibility of the organisation is to volunteer for it. It gives you time to understand their projects and evaluate their team. Furthermore, you can check its registration and other details on NGO Darpan, a government directory for non-profit organisations.

3. Find out charity’s vision and mission

Whether you are donating as an individual or a company, it is crucial to understand what drives the NGO towards helping society. A quick google search will tell you their vision and mission. If possible, communicate with its founders to understand their short and long-term goals and the stories behind their operations.

4. Check the NGO’s progress and financials

Every donation you make should have a notable result. It is important to learn about the successful campaigns and projects that the charity completed. Meanwhile, you can also request a performance track record and analyse how previous donations impacted the community.

Also, keep an eye on how your funds are being used and ask for their financials before donating. If they fail to produce one or are not transparent with their report, try looking for another organisation.

5. Follow up with your NGO after donation

When it comes to charity, one should go the extra mile to keep track of one’s donation. Follow up with the organisation after a few months of donating and ask for an impact report. Check whether you can find a tangible impact or not. Look for how cost-efficiently your funds were utilised. If you are satisfied with the results and have clarity on their plans, feel free to support the non-profit in future.

It goes without saying that everyone works hard for their money, and that is why it is crucial to research before making a donation. Non-impactful donations will not only waste your money but would also not reach those in need.

So, in order to be supportive members of our community, we need to make rational, sustainable and cost-effective donations to amplify our impact. These tips will help you choose the right non-profit and help our society in the best way possible. you choose the right nonprofit and help our society in the best way possible.

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