Giving networks

A rewarding giving route for an increasing number of people is to engage with and share the pleasure of giving within a group where issues relating to wealth and charity can be discussed freely, and where they can learn together about their community and philanthropy.

These groups, known as giving circles and networks, can take many forms and generally involve groups of individuals coming together with a philanthropic purpose, pooling their pounds and resources, and deciding collectively where to give their money.

Within these basic parameters no two groups look or act the same.  One of the most appealing and effective aspects of giving circles and networks is the opportunity to shape the group to meet the particular needs of a community, and the interests and capabilities of participants.

They vary in size and structure, ranging from an informal group of friends meeting locally to large, formal organisations with employed staff members.

Types of giving circles

The focus of groups is wide ranging and the approach to giving just as broad as these examples –

• Local – a group of like-minded people who give to local causes, such as the Women’s Trust Fund*
• Interest-based – give to a specific cause as in the work of the Oxford Givers Circle*
• Project-based – micro-trusts or ‘giving clubs’ such as those set-up by Giving Works in which a group of people come together to focus on one project and then disband
• Event-based – networks that draw people together for charitable events and giving as with the marketplace approach of The Funding Network
• In-house corporate – networks within companies that give often via CSR practices, such as BT Women’s Network*
• Social media networks – a flourishing trend of collective giving via online sites such as Facebook.

*For more information on these examples, see Philanthropy UK’s report, Women & Philanthropy: Inspiring women, inspired giving.

Setting up a giving network

There are only a few basic guidelines in developing a giving circle –

• Determine size and type of circle, and who you want to involve
• Establish your purpose and objectives
• Agree your focus areas 
• Develop your giving approach 
• Research and identify potential recipients 
• Evaluate your impact before making further commitments

Giving tax efficiently

To have even more impact with your giving circle’s funds, you should ensure that your giving is tax efficient. Depending on the focus and approach of your giving circles you may want to explore the options offered via Gift Aid, setting up a charitable trust, or being hosted by a community foundation which will manage the financial aspects as well as offer opportunities for co-operation and shared learning.

A final word

Most importantly, enjoy yourself and don’t sweat the small stuff – keep your eye on the big picture (the impact of your donations) and let your circle develop its shape over time. There is no one ‘right’ model for giving circles. Your original goals and purpose may change as the circle, and the impact of your giving, evolves.

Recommended resources

• Foundation Network">Community Foundation Network: the network of UK community foundations. You can search for your local community foundation on the website.
• Services">Coutts Philanthropy Services: The private bank offers its clients two donor advised funds, for microfinance and the environment. 
• Giving Works: A charity which fosters and supports micro-trusts, or small giving circles.  
• The Funding Network: the UK’s largest giving network, with groups across the UK, including a Youth Funding Network.

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