Everything the donating public has been taught about giving is dysfunctional, says AIDS Ride founder Dan Pallotta. He aims to transform the way society thinks about charity and giving and change.
"The nonprofit sector is critical to our dream of changing the world. Yet there is no greater injustice than the double standard that exists between the for-profit and nonprofit sectors. One gets to feast on marketing, risk-taking, capital and financial incentive, the other is sentenced to begging,” Dan Pallotta says in discussing his latest book, Charity Case. This economic starvation of our nonprofits is why he believes we are not moving the needle on great social problems. “My goal … is to fundamentally transform the way the public thinks about charity within 10 years.”
Pallotta is best known for creating the multi-day charitable event industry, and a new generation of philanthropists with the AIDS Rides and Breast Cancer 3-Day events, which raised $582 million in nine years. He is president of Advertising for Humanity, which helps foundations and philanthropists transform the growth potential of their favorite grantees. He is also the founder and President of the Charity Defense Council.
“The next time you're looking at a charity, don't ask about the rate of their overhead. Ask about the scale of their dreams.”
“Our generation does not want its epitaph to read, ‘We kept charity overhead low.’ We want it to read that we changed the world.”
“Philanthropy is the market for love. It is the market for all those people for whom there is no other market coming.”
“When you prohibit failure, you kill innovation. If you kill innovation in fundraising, you can't raise more revenue. If you can't raise more revenue, you can't grow. And if you can't grow, you can't possibly solve large social problems.”
“We have a visceral reaction to the idea that anyone would make very much money helping other people. Interesting that we don't have a visceral reaction to the notion that people would make a lot of money NOT helping other people.”