Required Steps to set up a non-profit school

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Fundraising

Dear Arya ji:
Vinod's point regarding fundraising is a valid one and needs closer attention.
Can we envision a system where we can tap small donars (well first how to attract small donars!) and make it sustainable.
And i think at least from an economic perspective it is an exciting area which is getting a lot of attention. I had advised the organisation AID regarding some issues with fundraising (basically how to frame fundraising requests, and at least one person has told me that going along those lines they did raise more than before though they are not willing to admit it formally coz they suspect i may seek renumeration later).
My own supervisor is looking into use of lotteries and tontines to raise money for public goods and i need to do some extra effort to do it more competently.
I hope if AJA shows some interest i can create a blueprint which can be initialised (i dont want to commit in terms of time because of my studies but i will surely pitch my efforts if needed).You will be surprised if i were to send some statistics on how important fundraising has become in US.
Best Regards,
Anmol.
 
ramsarya said:
Dear Raj:
Bhai, bare dina main dikhya. Kit jaa rhya tha?
The approach you suggest (setting up of a cash cow and then the rest) is workable but I think you will need a really really dedicated team approach. I think it is better to set up the non-profit first as it builds the character of the team and you will find out who is standing with you till the end. You can always find people to run a cash cow but it is harder to find the right people for the charitable work. Once the people have faith in what you are trying to accomplish, they will be with you by and large. This way you have set up the agenda the right way and have built the right team. Just the promises are not enough. We Indians, specially back home, will never say no to anything, will promise what you want to hear. I do not think it is a character flaw but lot of awkward situaions can arise, once the promised work is not done and you took them at their word and relied on it.
If you set up the money making institution first, then your team will be used to the good life and the perks and you yourself might be so tired (mentally and physically) that the idea of setting up the charitable institution might take a back seat. Now imagine the people running the first charitable institution, knowing fully well that the "for profit" institution is a must for the survival of the first institution and thus they will have much more at stake and keen to run the 2nd properly.
Hersh Kumar from Houston is doing what you are thinking and has set up a "for profit" school in Gurgaon. Him and his wife have 3-4 Montessory schools in Houston area and are doing very well financially. He has promised me that once his first school in India is up and running and starts making money, he will help other charitable institutions or start some. I certainly hope that it turns out to be true.
So, let us wait 5 to 10 years and watch both types of programs and hope that both are successful and are of benefit to the community.

Key bataoon Arya Chacha! Ya gareebi panda koni chodd-tee. Panda
choodan ke chakar mein, I moved to a new more visible, business
oriented position within my company. I decided to try the "Stick your
neck out. Not guts, no glory approach", and now I am facing the
consequences. Bottom line: The goolam gets to do more for less. :)

You are definitely on target about the importance of having the
right team. I suppose that is universally true no matter what
endeavor we undertake. And it really is damn hard to find
the right people. We see these issues every day in the corporate
world. And what is even more agonising than finding the right
people, is management's all too common inability to recognise them
and keep them happy. Many times organisations adopt the
"keep everyone happy" approach, which we all know translates into
that story where the donkey got to sit on the owner's head.

I guess you are right in some ways regarding the need to find
the right people for the charitable work *first*. However, my
take on this is a bit different. Perhaps this is because I
keep thinking in terms of the large corporate world, where
people come and go. People's circumstances change, their
motivations and goals change, even their risk-reward equations
change. In such an environment one just has to learn to live
with this perpetual change, and give up the idea of a team that
will stick around forever.

Hence, I differ with your views here as to the best way
to go: (cash cow -> charity) or (charity -> cash cow). Of course,
the end goal is the same: set up an organisation that can funnel
resources to social work efforts. Also, the (charity -> cash cow)
approach might seem to be painfully slow to get to where one
wants to go. And then it pretty much banks on a few chosen
people sticking around.

But, Arya Chacha, you've been there and done that. You speak
from experience. And there is plenty of practicality in your
approach too. Taking on smaller more readily controlled
projects and one's that aren't all that "juicy" allow us the opportunity
to size up a team. To figure out the "kaun kitne paani mein" before
betting the house on these pople. So I agree that this approach too has
its advantages.

Hence, in that regard I agree with you.

[ See how ambiguous I can be! Ha ha! Haan bhi err na bhi.
Kitni jaldi palta maar liya. :) ]

I suppose What would be interesting to learn about is how
philanthropists establish charitable organisations that outlast
them, yet continue to run on the vision that had been set by the
founder/benefactor. In the western world, I assume such setups
have tight legal safeguards to ensure that execution is performed
on the lines setup by the benefactor.

But, of course, all that is in context of very legalised and
organised setups which probably don't apply to the Indian
context.

I do agree with you regarding our Indian's reluctance to clearly
say "No". It is so very true. I just haven't been able to ever
come to terms with that aspect of Desi character, and I find
it immensely frustrating. I on the other hand find myself leaning
a bit too much on the "pessimistic" side: I say "Yes" only when I
can clearly do something, otherwise I lean towards the "No", or a
"Yes" with all the ifs and buts attached.
What happens then is that people think I am unwilling to
help, or any other negative connotations that a clear "No"
or conditional "Yes" carries.

It was interesting to learn about Hersh Kumar and his
efforts. We definitely wish him the best.

Also it was great to learn about Col. Jagmohan joining
your team. I think he'll be a great asset to your efforts
and I wish him the best as well.
 
Dear Anmol:
Yes, we are always looking for more participation from small donors or big donors in NAJC. Volunteering with time has a big effect on any charitable organization, not the money only. We would definitely be appreciative of your efforts to prepare some guideline/blue print for further fundraising. I will be interested in statistics that you have abt fundraising. I understand that Universities offer courses in fund raising and philanthropic career choices.
Whenever you get any time, please do whatever you can to further the causes of NAJC.
 
Dear Raj, gareebi ka kyun bahana kar ryah se. Gareebi is a very relative term. You can be filthy rich and still may feel poor compared to someone else. It is not gareebi but your competitiveness that is driving you to be in the forefront.
When I talked about people standing with you till the end, was meant to find out abt fake and real - kaun kitne pani mein. Once you find the right people, yes it is very important to keep them. Corporation take a very impersonal approach on this and thus a downward spiral starts.
Bhai Raj, you should be in Sales. You can sell snow to Eskimos - chehra dekh ke tikka kare se! I do lack this quality of expressing myself and have hard time explaining my view point many times. May be that is why I resort to "show it by doing it first".
Charitable organizations here run properly as the philanthropist has established a very concise and clear goal and the team has adopted the right culture. Once some of the people running the organization has put aside the self interest, it will run well.
"Yes" and "No". I always have difficulty saying No and thus this lands me in difficulty many times. Yes is a promise and need to be fulfilled.
Thanks for wishing Col Malik the best in his new endeavor. In my view he the RIGHT person to run this institution.
 
"Competitiveness" ka tae bera na Arya Chacha. Kayi
saal ho gay kaam karte, eeb tahin tae kucch isse bade bane
na. Kai baar tae issa laage sae ki pad likh ke haath jood
liye. Padhayee-likhayee kare tae aadmi risk-averse ho ja sae.

Its interesting you brought up sales. I have been curious about
it. And it is indeed a high risk and high reward career. My current
position allows me to observe the sales side closely. It is
a very "make the numbers or pack your bags" area.

Well anyways, eeb maidaan mein aa liye tae haath pair tae marte he
rehawange. Bas, aap apne experience ka fayaada hum sab ko dete rehana, Chacha.

Manzil pe pahoonche ya na, raaste ka sawaad zaroor lete rehenge.
 
My small thoughts:-
1. If you really want to do something, there is always a way. (Mother Teresa started with 5Rs in her pocket when she began missionaries of charity)
2. A lot of people tell me that social work is a thankless job. Well, such work cant be done with thanks/appreciation or recognition in mind. It can be only successfully done for the joy of doing it. When we give to others or help others we actually give to ourself the joy and happiness of doing it.
3. Averse to risk? I feel fear of failure is the biggest detterent. If we move forward, if we take risk we may win or we may lose but if we play safe we have definitely lost (the opportunity). We dont think that we will succeed, we dont plan that we will succeed, WE Decide to succeed. Yes, we can fail but i am not bothered about failure. I think, plan, prepare and strive for success everytime.
 
navingulia said:
My small thoughts:-

All very nice thoughts Navin.

Regarding risk, I think the risk tolerance calculation is pretty complicated
and will vary considerably from individual to individual, and over time. There
are a lot of variables involved.

Yes, of course, there are many indviduals who just go for what they
want no matter what.

However, I think careful analysis of risk is a vital component in our
decision making. Yes, we should not be too worried about failure, but
our decision making process should be geared towards increasing our
chances of success, as well as minimising our costs in the case of
failure.
 
Yes, risk/reward analysis varies with individual and the stage of life of that individual. Once, you have the responsibility of the family or other people are dependent on you, you need to become somewhat averse to risk. Calculated risk is the answer but then what is the measure of your calculations? I look at it from the worst scenerio angle i.e. if the worst thing happens to the project you are considering to undertake, can you still survive in a way that it will not change your life style completely. Learn from mistakes, of course, and that is why it is said that practical education is very expensive.
 
Yes Sir, I agree about risk analysis but my strong words towards taking decisions and moving forward is because I see people generally averse to taking decisions for the fear of failing.
When we begin with confidence of winning we have better chances of success, when we think positive things will happen positive things happen. When we think we will meet nice and understanding we meet nice and understanding people.
Fear of failure is the biggest reason of failure.
 
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