India has one NGO for every 400 people. However, only 9.3% of them file their income tax returns with the government. How do you find a trustworthy NGO to support?
HelpYourNGO was set up to bridge this gap between credible NGOs and donors who want to support their work. We are the only organisation in India dedicated to standardising financial information on NGOs to give donors a picture of NGO expenses. Our portal www.HelpYourNGO.com has listed 600 NGOs across 13 sectors and over 70 sub-sectors. Our website is used by donors wanting to donate amounts of Rs500 onward, High Net Worth Individuals (HNWI) and CSR clients.
To help the world of NGOs and charity giving become more transparent by making their financials available for review and analysis.
To help smaller NGOs have the same visibility as larger NGOs and access pools of money or chunks of time that tend to be monopolized by larger NGOs.
To help those who wish to donate money and/or time select a cause and charity of their choice to work with.
To help NGOs raise their level of growth and evolution by providing the NGOs access to articles and guides on how to be better organized to handle the challenges of growth.
Ajit Dayal, the founder of HelpYourNGO, has leveraged his vast experience in capital markets to start this non-profit organisation. Ajit has been a pioneer in equity research in India and has been a catalyst in allowing Indian companies to raise capital from foreign institutional investors (FIIs). Over the past two decades, companies and partnerships set up by Ajit Dayal have helped foreigners invest over US$ 5 billion in the Indian capital markets
The investment recommendations made to the FIIs were based on research. This required building a database to capture information and analyse that data in order to help make a better investment decision.
Before investments were made on behalf of the FIIs Ajit analysed the companies and other factors such as:
I.V. Subramaniam (“Subbu”), the CEO of Quantum Advisors and its subsidiary Quantum AMC (“Quantum Mutual Funds”) and Rahul Goel, who runs www.equitymaster.com and www.PersonalFn.com are now using their past experience to help build HelpYourNGO
Winnie Dholakia has recently been appointed CEO of HelpYourNGO. He has 23 years of experience in analyzing stocks in organisations such as Quantum Financial Services, Jardine Fleming/JPMorgan, ASK-Raymond James and Citigroup
So what does the world of investments have to do with giving money to charity?
What is the connection between building a database for stock markets and a noble cause like setting up and running a charity?
As it turns out - a lot.
Money is scarce.
There are plenty of people out there who need money so that they can help others. So we give you, as a user of www.HelpYourNGO.com a wide choice of which kind of charity you wish to help.
But money should go where it has the most effect, the largest impact. So we have given you tools to see how your money is spent by different charities and NGOs.
Wouldn’t you like to know how much of the money you donated actually reaches the noble cause you gave it for?
What if you knew that Charity A was spending 30% of the money it raised on promotional activities and only 70% was getting to the final noble cause that the charity was set up for?
And that Charity B, set up for the similar noble cause as Charity A, spent less than 10% of the money it raised on similar activities allowing 90% of what you donate to be used to reach where you intended it to reach?
Which charity would you like to give your money to: Charity A or Charity B?
Which charity would you like to devote your spare time if you had time to spare and ideas to share: Charity A or Charity B?
In addition to being able to select from a wide variety of charities that you may wish to give your money to, we also believe that HelpYourNGO will force the charities to shape up. The increased transparency in seeing the financials of their charities on this web site will force the charities to become more efficient and utilize their limited resources better.
We saw this in the cement industry.
Power and fuel costs are a significant cost for the manufacture of cement. When we began to ask one particular cement company why their costs were higher than their competitors, the cement company immediately realised that an external agency was studying them – this acted as a catalyst to convert themselves into a more efficient user of energy and reduce their cost of producing cement
Comparing administrative costs will also, in our view, force charities to be more efficient. Every rupee saved on administration, is an extra rupee for the cause that charity is trying to help
But a database on charities has limitations. Numbers, we acknowledge, cannot reflect everything
We know that it costs less for an NGO to employ a person in Bihar compared to a employee in Bombay city. Therefore, some of the expense and administration ratios may be skewed when one compares a charity in Bihar with a charity in Bombay – even if the two charities are doing the same thing
And some charities within the same broad group (for example, charities that help children) have different objectives: one may give children only day school facilities and food; another may also give the children a place to stay at night. This would influence the expense numbers, the quality of help given, and the number of people benefited may differ
Yet, knowing these limitations of numbers, we continued.
After all some information is better than none. Armed with numbers, a donor can always ask for clarifications. One can always improve the quality of the database as time goes on. Analyzing companies and annual reports is not a perfect science. Brilliant people have been analyzing that annual reports of listed companies for centuries and still make mistakes and errors of judgement. The accounting profession continuously strives to improve the standards of disclosure in an annual report so that the date better reflects its true position. We will let the research analysts in the equity stock markets find their analytical nirvana. Meanwhile, we hope that HelpYourNGO.com will help you find your nirvana by sharing some of what you have with those who need it.
|Year ended March 31 (All figures in INR)||2010||2011||2012||2013||2014|
|Total Income (A)||0||0||0||49,000||7,410,275|
|Direct Programme Activities||0||0||0||1,236,865||4,164,298|
|Programme Staff Cost||0||0||0||1,825,189||5,970,130|
|Total Direct Programme Cost||0||0||0||3,090,068||10,499,647|
|Fund Raising Expenses||0||0||0||0||0|
|General Staff Cost||0||0||3,186||744,797||2,143,245|
|Total Expenditure (B)||19,193||17,090||17,790||5,802,495||17,455,030|
|Surplus / (Deficit) (A-B)||-19,193||-17,090||-17,790||-5,753,495||-10,044,755|
|Balance Sheet Data|
|Current Assets (Other Than Cash)||1,100||700||300||742,628||1,224,878|
|Current Assets (Cash/Bank)||18,273||96,688||79,535||1,550,302||1,653,828|
|Total Current Assets||19,373||97,388||79,835||2,292,930||2,878,706|
Its a good programme and it will help many NGOs which are working at Grassroot level.
Congratulations for all efforts in listing out the NGOs. You have been doing a great job.