What is a Giving Circle?

What is a Giving Circle?

A giving circle is a group of individuals who come together to pool their resources, whether that be money or time, and make collective charitable donations to a nonprofit organization or community project. This form of philanthropy allows individuals to have a greater impact on the causes they care about.

In recent years, giving circles have become increasingly popular as a way for people from all walks of life to engage in philanthropy and make a difference in their communities. There are currently over 2,000 giving circles worldwide that have engaged at least 150,000 people and distributed as much as $1.29 billion in charitable donations. This number is constantly growing as more and more individuals join giving circles and collectively contribute to their causes. By joining a giving circle, individuals can join forces with others and amplify their impact, showing that anyone can be a philanthropist regardless of their background or income level.

Purpose of Giving Circle

The main purpose of a giving circle is to enable individuals to come together and make a positive difference in the world through charitable giving. Giving circles allow members to have a greater impact on the issues they care about and also provide a sense of community and connection as they come together to discuss and decide on charitable projects to support. In addition, giving circles may also provide educational opportunities for members to learn about different causes and organizations, and to gain a deeper understanding of the issues they are supporting. Basically, it brings together a group of individuals who want to pool their resources and make collective charitable donations to causes and organizations that are important to them.

History

The giving circle movement, which began gaining popularity in 2007, has continued to grow and evolve over the years. In order to understand this trend and its impact on the landscape of philanthropy, the Collective Giving Research Group (CGRG) conducted a study to gather data and gain a deeper understanding of the growth and development of giving circles. This research was a significant step in helping to empower and amplify the work of these groups, and provided a roadmap for those interested in starting or joining a giving circle.

How do Giving Circles work? 

Giving circles can vary greatly in terms of their size, structure, and operations. Members come together to intentionally create the group's culture, requirements, and preferences, which can include things like how often they meet, how many organizations they donate to, and the number of required donations. 

Some giving circles may be more formal, with minimum donation requirements, a vetting process, and voting systems, while others may be more informal, with no required donation amount and individual checks being collected and sent to an organization as a lump sum.

In addition to making financial contributions, many giving circles also engage in group volunteer activities, events, and other actions to raise awareness about issues in their communities in partnership with the organizations they support. Giving circles can be formed by friends, family, community members, or coworkers, and anyone can participate by making pooled donations of any amount. The value of giving circles often extends beyond their cash donations as they provide opportunities for members to come together, build community, and make a positive impact on the causes they care about.

Some basic steps to start your own giving circle 

If you're interested in starting your own giving circle, here are some basic steps to follow:

Find your founding team: 

This is a group of 2-5 passionate individuals who will work together to build the foundation of your giving circle. This process involves co-creating the circle's vision, mission, and values.

Explore your shared values: 

The core of the giving circle experience is understanding the values that motivate you and others to give. Take some time to discuss your shared values and the issues that matter most to you as a group.

Decide on your circle's vision and design: 

Every giving circle is unique, so think about how often you want to meet, how much and how often you want to give, and how many members you want to have.

Launch your giving circle: 

Now that you have a vision for your circle, it's time to invite others to join and grow your membership. This is the start of the process of giving and making change collectively.

HasanaH for Charity

Giving circles and Zakat share a similar purpose, and donating to the right cause is important. We encourage you to donate through HasanaH, a non-profit organization that is 100% committed to financial integrity, transparency, and stewardship. HasanaH does not make individual judgments over which projects qualify for Zakat. Instead, it enables donors to make informed decisions based on reliable data and to direct contributions to credible projects that are aligned with your priorities and values.

Are you looking to make an impact? Feel free to contact us or Discover charitable projects here.