E-mail: biz@kenils.co 

Charitable Trust (NGO – E/20024/AHMEDABAD)

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Fundraising in Ahmedabad :
India is a country where there is 1 NGO for every 400 people. Raising funds for social projects is definitely a herculean task. Financial aids for social development projects are raised through several methods by NGOs across the country with local or foreign aid. Some organizers use traditional methods such as applying for government aid. Many private players prefer innovative and attractive ways like online crowdfunding or holding events or auctions, which attract patrons to donate. In terms of donors there are five types -multi-lateral, bilateral, government, corporations and individuals.

Difficulty in fund raising :
It has become really difficult for NGOs to raise funds with their credibility being questioned often. The competition is stiff. There are fewer donors and more charitable organizations supporting varied causes. Nonetheless, they are resorting to creative methods of fundraising. With more than 3 million NGOs, sustainable funding for social projects is a herculean task. The opportunities are rare and are mostly taken away by bigger NGOs while the smaller ones with genuine causes get ignored.

The amount of large NGOs would be not less than 500. It means that despite such large volumes of charities and foundations across the country many are just for namesake with absolutely no work done till date. The credibility of the NGOs are often questioned because of the large-scale corruption, with absolutely no accountability or transparency involved in disbursing funds. Understanding this the government agencies has been carefully scrutinizing the way funds are being diverted in this country.

Concept of Facilitators :
Keeping in mind diverse problems related to financial resource mobilization, smaller NGOs can now take advisory services from facilitators who have a strong network of fundraising across the country. The concept of facilitators came from the need of bridging the gap between the donors and the NGOs. Although, the facilitators can be both legal and illegal, with the legal ones being either consultants or institutions. They acts as middlemen and survive by providing advisory services. Despite several fake ones, the facilitators work on behalf of the NGOs and develop Detailed Project Reports (DPR) which are submitted to donors. These DPRs are carefully drafted according to the guidelines of the donor agency aligning the objectives of the NGO and the need for which funds are allocated. Other documents required are also submitted along with the DPRs.

Institutions, are often fundraising agencies which have good networks with the government officials. They deal with bureaucrats, corporations (CSR funds), multilateral and bilateral donors. They can also be considered as online platform facilitator. They help NGOs by connecting them with a corporation, which contributes as per the Section 135 of the Companies Act, 2013. Online platforms help NGOs display their projects and attract contributions globally, individually or from corporations.

Current Statistics :
The contribution towards charitable organizations or foundations from corporations and the government need significant empowerment. Many corporations have foundations leaving NGOs desperate for funds. As per the study by Bain and Co. there are less than 500 NGOs with $100000 in income. Similarly, the contributions from the corporations under CSR in 2014-15 have been not more than INR 6000 crore, as per the finance and corporate affairs minister Arun Jaitley. It has also been observed that the BSE-CII-IICA online platform Sammaan lists NGO projects worth INR 1508 crore which suggests that NGOs across the country are hungry for funds.

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