Echoing a 2006 article by Slate, the future of philanthropy is coming to pass as a form of “venture philanthropy”. We even have the same familiar faces that drive the business world appearing on the non profit scene. Consultants, marketing specialists, etc. abound in start up organizations like PoP and other likeminded nonprofits.

Just got back from Building A Movement in An Interconnected World featuring the global philanthropist Jacqueline Novogratz, founder of Acumen Fund, a non-profit global venture fund that uses entrepreneurial approaches to solve the problems of global poverty.

The talk was absolutely amazing. The methodology of the organization is certainly one of the most solid I have seen (and believe me we’ve researched a lot). I loved the emphasis on venture capital type analysis when investing in projects to maintain sustainable and realistic goals. What really struck me was the commentary on education being a key target for sustainability in response to our very own Brad Haugen’s question on Acumen’s priorities with respect to investing in education infrastructure. While they are currently enveloped in other projects that further extension would stress their capacities, the importance of education was still clearly expressed by Jacqueline.

Another important concept Jacqueline stressed was that dignity stems from knowing that there is some exchange of value, and that the organization is not pure charity. A pure handout strips people of their agency and while there are times to exercise such altruism, it is often better to leave both people feeling like they helped each other out. There is an old proverb by Benjamin Franklin that says “If you want to make a friend, let someone do you a favor.” That’s exactly the approach that Jacqueline takes in her philanthropic organization Acumen, the way USAID gives out electric generators to local Afghan villages in exchange for some locally affordable subsidized fee, the way PoP has villages cover some small portion of school construction as well as land preparation. The examples abound that this is the strategy to success because it allows people to keep their dignity.

A conversation with Jacqueline Novogratz by Charlie Rose