When you find yourself in a position that allows for generous philanthropic efforts, a question may emerge. If you have the capital, how can you maximize the impact? Over at Huffington Post, author and entrepreneur Steve Mariotti takes a look at how high net worth can maximize their gifts. He also takes a few words of wisdom from Anjua Khemka, a Vice President from JP Morgan, and put her insight into one nifty chart that breaks down a high impact strategy into 5 key components.
Find Out What Your Team is Passionate About
Resources are most effective when they are funneled directly into one central location; no one wants to spread themselves too thin. Hold a meeting to discover the shared values that you all hold. Whether it’s a board or a family, you want everyone to be on the same page. Once you identify the “what”, start looking into the “how”. For example, what are your investment strategies?
Don’t Underestimate the Mission Statement
Figuring out your values is tremendously important because it guides you. Your mission statement is how you project your goals to others. A solid mission statement identifies the group you want to help and what your abilities are in that capacity. It may not seem like a revelatory statement, but refining how you give is probably more important than how much.
Budget and Figure Out Exactly Where You’ll be Giving
Once you figure out how your niche, start thinking about where you can make donations that have a tangible impact. If you’re going to be getting involved with arts education, for instance, will you be involved with providing new instruments? Finding new teachers? Perhaps you’d like to work on field trips or building art spaces instead. Here’s where you can let your creativity really fly!
Have Goals, and Set a Path
Anjua calls this “mapping for impact”. It’s simple, and involves “mapping your grants against the program areas you just defined”. This allows you to see if you’re staying on track, or getting derailed.
Budget in Friends and Family
In order to keep you enthused about your mission, you should have a portfolio of causes, events, and sponsorships that are directly linked to friends and family. Factor in 20-30% of your funds to go those those areas, and send the remainder to the areas that have already been identified as target areas for your mission.