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“I learned very early the difference between knowing the name of something and knowing something.” Richard Feynman, Theoretical Physicist.

Unlike the business world where product names are often created to establish unique and concise brand identities, the names of charitable organizations usually also serve as a type of description. It is a way of announcing to potential donors and others what the organization intends to address. For example, although our charity reporting activities go back to the 1920s, this is the 20^th anniversary of operating under the name “BBB Wise Giving Alliance.” This name has three components. The “BBB” stands for Better Business Bureau and reflects our affiliation with the BBB network of organizations. The “Wise Giving” part of our name points to our goal of helping donors make informed giving decisions and the “Alliance” word reflects the 2001 merger of two charity monitoring organizations: BBB’s Philanthropic Advisory Service and the National Charities Information Bureau. All of this is packed into the four words of our name.

This culture of charity name description can unfortunately sometimes result in donor confusion. A review of the IRS database of charities shows there are 3,292 organizations that have the word “cancer” as part of its name, 5,143 that include the word “veteran” and 7,573 that include the word “heart.” While in the vast majority of cases, some elements of charity name similarity are unintentional and may just represent the popularity of a cause, there are unfortunate exceptions where solicitors are attempting to deceive the public.  To help avoid this confusion, here are some suggestions.

Watch out for cases of mistaken identity. Look at the name carefully. The group soliciting you may not be the one you have in mind.

Visit the charity’s website. Go directly to the charity’s website to help identify the organization, verify its physical address, and find out more about its activities, finances and accomplishments.

Be wary of excessive pressure to donate. Watch out for appeals that demand an on-the-spot gift decision. This might be a ruse to get to you to contribute before you find out more about the group.

Is the charity registered with government agencies? About 40 of the 50 states in the U.S. require soliciting charities to register with a state government agency such as the office of the Attorney General or Secretary of State. In Canada, visit the charity registration page at the Canada Revenue Agency.

Visit Give.org.  Visit the charity reports on Give.org and at your BBB to verify if a charity meets the BBB Standards for Charity Accountability.

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Video of the Week

As part of our Building Trust Video series, we are pleased to provide a video interview of Simon Davies, Executive Director, Teen Cancer America (a BBB Accredited Charity) which works to empower and improve the lives of young people with cancer. The organization reports that it creates youth-centered ecosystems that support young people with cancer, their families, and healthcare professionals. 

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Heart of Giving Podcast

In this week’s Heart of Giving Podcast, BBB WGA President & CEO interviews Peter Kadens, Chair of the Kadens Family Foundation, to learn about how he is using the wealth that he made in the cannabis business for social good by providing financial support to students from underserved communities to bring about multi-generational change.

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Recent Reports

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:

• Children, Incorporated 
• International Foundation for Functional Gastrointestinal Disorders
• Pediatric Brain Tumor Foundation of the United States

Finally, remember to let us know by going to www.give.org/charity-inquiry if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance 

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350 weeks ago, on January 14, 2015, Wise Giving Wednesday premiered on the Give.org website. Cumulatively that represents over 100,000 words, the length of a long novel. Although the variety of topics covered have been of potential interest to various audiences, this weekly message has always reflected our intent to reach out to donors and help them gain a better understanding of the charitable sector and contribute with greater confidence. Here are examples of the range of themes covered during the past seven years:

BBB Charity Standards

Initially, Wise Giving Wednesday sought to help further explain issues related to the 20 BBB Standards for Charity Accountability. We recognized the key role that these standards play in the evaluative charity reports produced and wanted to help users better understand the rationale and application of these benchmarks.

Disaster Giving Tips

With increasing frequency, Wise Giving Wednesday provided advice on making wise giving decisions in the wake of a disaster, tragedy or other event that generates immediate donor responses. As sometimes we use our hearts instead of our heads in making donation choices in those circumstances, it’s important to remind everyone of cautions and how to spot red flags when they occur. Whenever possible, we provided a list of BBB Accredited Charities that were addressing the specific disaster featured.

Donor Trust Research

Almost four years ago, we began sharing the results of an annual survey we complete on Donor Trust issues. The Give.org Donor Trust Report was featured in a number of blogs each year to identify the main trends observed and any noteworthy shifts in donor giving attitudes. This survey research has also featured special reports on issues such as sexual harassment, disaster relief giving, and charity impact.

Charity Fraud Awareness

Although the vast majority of charities are well managed, there are occasions when government regulators must step in to address cases of fraud, misrepresentation and/or abuse of funds. From time to time, Wise Giving Wednesday has sought to alert readers about such circumstances and educate donors about wise giving practices to avoid such situations. We also regularly participate in International Charity Fraud Awareness Week which takes place each October.

Building Trust

Ultimately, many of the topics covered in this blog are about building trust for both donors and charities. We believe the BBB Charity Standards help educate charities about recognized practices and donor expectations. In turn, the resulting evaluative reports help inform donors on what to consider when making a contribution choice.

Future Donor Outreach

We do our best to educate donors about changes in the fundraising marketplace whether it be about the methods used to raise funds, such as the growth of crowdfunding to the new ways charities can be supported such as through cryptocurrency. We look forward to seeing how Wise Giving Wednesday can further assist the donating public in identifying and adapting to new developments.

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Video of the Week

As part of our Building Trust Video series, we are pleased to provide a video interview of David Barringer, CEO, National Council of the U.S. Society of St. Vincent de Paul (a BBB Accredited Charity) which seeks to help millions of people each year through home visits, housing assistance, disaster relief, job training, food pantries, clothing, care for the elderly, and other charitable activities. 

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Heart of Giving Podcast

In this week’s episode of the Heart of Giving Podcast, BBB WGA continues its series on education with an interview with Aaron Bass, CEO of EastSide Charter School. During his tenure, EastSide reports it outperformed the state in growth on the state assessment. BBB WGA talks to him about educating young people in poor and disadvantaged situations who are affected by the lack of proper resources and disproportionate access.

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BBB WGA 20th Anniversary Event – Our History

This year is the 20^th anniversary of the BBB Wise Giving Alliance. The following video shows Bennett Weiner, Executive Vice President and COO of the BBB Wise Giving Alliance, giving a history of the BBB’s role in the charity space and the merger of BBB’s Philanthropic Advisory Service with the National Charities Information Bureau to form the BBB Wise Giving Alliance in 2001.

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Recent Reports

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:

• Global Lyme Alliance
• GlobalGiving Foundation
• Foundation for AIDS Research, aka amfAR 

Finally, remember to let us know by going to www.give.org/charity-inquiry if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance 

Governance – Board Oversight Responsibilities & Board Size

The BBB Wise Giving Alliance standards are based on the idea that identifying trustworthy charities  depends on much more than how much money they raise or spend. Behind-the-scenes operations are important in ensuring a charity is well-run. That’s why one section of the BBB Standards for Charity Accountability closely looks at the board of directors and its practices. Our standards are designed to ensure that a charity’s board is structured so that it can provide proper governance and oversight of the administration, fundraising and programs of a charity.

Poor governance and oversight often point to problems in other areas, which is why you can be sure that charities that meet these standards (i.e., BBB Accredited Charities) are likely to be well-run. BBB Charity Standard #1 calls for an active and involved governing board that provides critical oversight of the charity’s operations and staff. For example, the board is responsible for reviewing the CEO’s performance, receiving the financial statements and approving budgets, approving a conflict of interest policy and reviewing adherence, and ensuring all fundraising agreements are clearly understood and monitored. In a future blog, we will also discuss the board’s role in receiving periodic reports on how well the charity is progressing toward program goals, outcomes and impact.

It is also essential that the board is structured appropriately, and BBB Charity Standard #2 requires that a charity has at least five voting members. Five is not an ideal number but indicates the minimum acceptable number of voting members to help avoid a concentration of power and encourage a diversity of opinion, skill and talent.  This also is a good example that demonstrates a running theme in our standards.  They are not intended to identify the most ideal circumstances that only a select few can strive to reach, but practical ethical goalposts that charities of all sizes can achieve in carrying out their work.

When you see a BBB Accredited Charity you can be sure that the organization has active and involved leaders who are working to ensure that it furthers its stated mission.  Take a look at our national charity reports to see if your charity of choice meets these important standards.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance

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One of the fundamental components of the BBB Wise Giving Alliance approach to charity evaluation is being objective. We do not comment on the worthiness of any organization or program service. That’s a personal opinion that is outside our scope. We do, however, strongly believe the 20 BBB Standards for Charity Accountability provide an objective framework to help assess charities so that donors can make more informed giving decisions. These standards took more than three years to develop and included input from charities both large and small, accountants, BBBs, government regulators, private foundations, fundraisers, charity trade associations and other experts in philanthropy. A draft version of the proposed standards was available for comment from charities and the public for over a year. Such input was reviewed by an advisory panel before the final version was approved by the BBB Wise Giving Alliance board of directors.

These standards are divided into four issue areas: governance, results reporting, finances, and truthful and transparent communications. Governance is the first section of these standards and in many ways, some view this area as one of the key issues that helps ensure that a charity has adequate oversight of its operations. The standards addressing the governing board should also seek to ensure that it is making objective decisions about carrying out the charity’s mission without being overly influenced due to compensation or related-party transactions.

An aspect of the BBB Charity Standards that is often misunderstood is that they are intended to address the minimum acceptable levels of behavior for a charity soliciting the public. Overall, they cover essential areas that we believe are necessary for verifying an organization’s accountability to donors. Another important feature, as stated in the Preamble to the Standards, “The overarching principle of the BBB Standards for Charity Accountability is full disclosure to donors and potential donors at the time of solicitation and thereafter. However, where indicated, the standards recommend ethical practices beyond the act of disclosure in order to ensure public confidence and encourage giving. As voluntary standards, they also go beyond the requirements of local, state and federal laws and regulations.”

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Video of the Week

As part of our Building Trust Video Series, we are pleased to provide a video featuring an interview with Andrea J. O’Neill, Executive Director, Lupus Research Alliance (a BBB Accredited Charity) which seeks to find better treatments and support medical research to ultimately prevent and cure systemic lupus erythematosus (SLE or lupus), a debilitating autoimmune disease.

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Heart of Giving Podcast

This week, the Heart of Giving Podcast celebrates back-to-school with a throwback episode with excerpts from former guests discussing their journey in the field of education, their efforts to improve education, and their hopes for the future of education in this country. 

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Recent Reports

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:

• EMERGENCY USA
• Food for the Hungry
• Oxfam America

Finally, remember to let us know by going to www.give.org/charity-inquiry if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance 

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As we approach the twentieth anniversary of September 11^th this week, everyone who is old enough recalls where they were on that dreadful day. We were able to see, from the offices of the BBB Wise Giving Alliance in Arlington, Virginia, the smoke rising from the Pentagon building in the distance. The television news coverage kept repeating the scene of the falling towers in New York. As both government and business offices closed around noon in the Washington Metro area, the traffic began a slow and anxious crawl home. Emotions ran from fear, anger, and confusion to sorrow. Two decades later, those emotions linger as part of the nightmarish memories.

Six months before the terrorist attack, we were created as a result of a merger between the two most well-known charity monitoring groups and began using the new name: BBB Wise Giving Alliance. In some ways, the merger could not have happened at a better time. With combined resources and experience, we were ready to take on a new challenge. The charity fundraising that began in the aftermath of September 11^th certainly generated something that we had not seen before, or since. A report from the U.S. Government Accountability Office released in December 2002 estimated that $2.7 billion was raised. For this edition of Wise Giving Wednesday, we thought it might be helpful to look back and share some lessons learned from September 11^th fundraising, from the perspective of a standards-based charity monitoring organization.

The Value of Collaboration

Hundreds of charities, both large and small, solicited for some aspect of September 11^th relief. Among these, were many community-focused efforts that often sought to address unmet regional needs. There also were some national fundraising campaigns that appeared to be duplicative in terms of the announced broad objective to help the victims and their families. Looking back, it might have been helpful if some of these disaster fundraising efforts were conducted in a more collaborative way. As it was, the volume of fundraising led to some confusion for both donors and those seeking help. Since that time, we have seen evidence that some nonprofits are building pathways and tools to facilitate more coordination with funders, government, and each other around responses to disasters and crises. We can hope that this collaborative practice will become widespread across many communities. BBB Wise Giving Alliance continues to take this lesson seriously as evidenced by our Advancing Collaboration program which encourages organizations to seek and engage in collaborations of all types.

The Importance of Appeal Clarity

Many charities began raising funds for September 11^th relief without knowing what the emerging needs might be. It can be challenging to craft disaster-response appeals among many unknowns. However, such appeals can be much too vague. The generic “to help September 11^th victims and their families” was sometimes used without further details. In the past two decades, there has been marked improvement in the clarity of appeals for many disaster response groups. Even so, many donors continue to find disaster-related appeals confusing. In 2019, the Give.org Donor Trust Special Report on Disaster Relief Donor Expectations showed that only 24% of potential donors said disaster relief appeals are “very clear.”

The Oversight of Newly Created Charities

In the days and weeks following September 11^th, the volume of media requests about newly created charities raising funds was unprecedented. New charities, however, have no track record, financial statements, and may not yet have received charitable tax-exempt status from the IRS. In those cases, we advised inquirers to look for three key trust points: (1) Who is serving on the charity’s board of directors? Do they have experience in the charitable sector and/or special expertise on the issue(s) being addressed? Has the board been meeting regularly as the group launches its efforts? (2) Are the activities clearly explained on the website and in appeals? This transparency is key. Vague descriptions should be a concern for donors. (3) Does the charity have a financial plan or goal? Even a newly established charity should have a budget plan that identifies how much they hope to raise and the preliminary activities that will be supported. While these three areas do not cover all that is needed, they are among the issues addressed by the 20 BBB Standards for Charity Accountability.

The Speed in Providing Help

Although it may not be realistic, some donors expect disaster relief charities to spend funds as quickly as they are raised.  A study released in 2003 by the Education and Research Foundation of the Better Business Bureau serving Metro New York identified that by early 2003, 74% of September 11^th charities participating in their survey, reported they had used all or most of what they had raised and four of the most well-known groups had spent 95 percent of their 9/11 donations. Those results are encouraging and as noted in the 2019 Give.org Donor Trust Report on Disaster Relief, disaster relief charities might consider this speed of relief delivery expectation in drafting their communications with potential donors. As we saw with the 9/11 attacks, major disasters can generate needs that extend well beyond the immediate impact response. Charities raising funds to cover such emerging long-tail needs should be clear with donors about the potential longer-term use of funds.

These four lessons, twenty years later, are valuable to remember as we look towards a future that presents new challenges that could once again test the ability of the charitable sector to provide help when it is most needed.

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Video of the Week

As part of the Building Trust Video series, we are pleased to provide a video interview with Suzanne Tierney, President & CEO, Lupus Foundation of America, Greater Ohio Chapter (a BBB Accredited Charity) which works to provide education and support for those affected by lupus across the state of Ohio. Educational events include classes, led by a registered nurse, for those newly diagnosed with lupus, health fairs and community outreach events, and medical summits with physicians, social workers, dietitians, physical therapists, and psychologists.

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Heart of Giving Podcast

This week’s Heart of Giving Podcast features an interview with Stacy Holland, Executive Director, Philadelphia School Partnership. Ms. Holland talks about how she has dedicated her career to ensuring that Philadelphia’s young people have access to the academic, career and support services they need to build bright futures.

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Recent Reports

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:

• Detec Together
• Days End Farm Horse Rescue
• Arc of South Carolina

Finally, remember to let us know by going to www.give.org/charity-inquiry if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance 

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In the aftermath of Hurricane Ida, rescue efforts continue to take place in flooded areas of Louisiana and, as reported, over 1 million are without power which could last several weeks. These challenges and hardships generate concern and sympathy as many are motivated to donate to relief organizations seeking to provide assistance to those in need. It appears, however, we are confronted with a tornado of troubles as the number of disasters continues to mount. There is the continuing impact of COVID-19, the California fires, the Haitian earthquake and now Hurricane Ida. The growing volume of contributions needed to address these various tragedies seems to be ever increasing.

Some are beginning to worry that disaster donor fatigue could emerge and reduce the ability of disaster relief groups as well as other types of charities to raise sufficient funds. This is not the first time this potential problem has been raised. In December 2004, a devastating tsunami hit South Asia and Eastern Africa, followed in 2005, by the now infamous Hurricane Katrina that hit New Orleans and surrounding areas. Surveys done by AFP (Association of Fundraising Professionals) showed that three quarters of the responding charities said they raised as much or more during that period than they had in the previous year. As reported in the title of a New York Times article of April 30, 2006, “Many Dismissing Donor Fatigue as Myth.”

While the latest Giving USA Report showed that total giving grew to a record $471.1 billion in 2020, a 3.8 percent increase over the previous year in inflation adjusted dollars, the number of households donating to charity may continue to be on the decline. A study published by Indiana University’s Lilly Family School of Philanthropy which examined giving patterns over the past twenty years showed, that in 2018, for the first time in almost twenty years, only half of American households contributed to charities.

While no one has a crystal ball on how many households will step up to the plate and contribute during the remainder of 2021, one psychological effect of disaster is to serve as an emotional reminder of the important role philanthropy serves in delivering help where and when it is most needed. 

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Video of the Week

As part of the Building trust Video series, we are pleased to provide a view interview with Sheri Lamber, President and CEO, Make-A-Wish Foundation of Greater Virginia (a BBB Accredited Charity) that grants wishes to children with critical illness.  As reported by the organization, wishes are often transformative for the entire family, providing parents, siblings, and the children with something to look forward to, and then something joyful to remember.

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Heart of Giving Podcast

This week’s Heart of Giving Podcast features Part 2 of our Anniversary Compilation of the first podcast season. We revisit some of the memorable episodes to learn about what drove our esteemed guests to a career of service and giving.

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Recent Reports

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:

• FOOD Share
• NAEIR National Association for the Exchange of Industrial Resources
• Pan African Sanctuary Alliance

Finally, remember to let us know by going to www.give.org/charity-inquiry if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance 

 

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Whether it’s the devastating flooding that took place in Middle Tennessee, the next tropical disturbance that threatens to become a hurricane or a tornado that quickly destroys a town, disasters usually run through a shared cycle of activity – the three R’s of disasters: Rescue, Relief and Recovery. Each phase has its own challenges in terms of urgency, timing, fundraising and donor expectations. It would be wise for both charities and donors to be mindful of these circumstances to help ensure that people receive the help they need in order to rebound. As always, BBB Wise Giving Alliance urges donors to check out the trustworthiness of charities addressing disasters by visiting evaluative charity reports on Give.org that specify if the organization meets the 20 BBB Standards for Charity Accountability.

Rescue Phase – This phase of activity takes place immediately after the disaster or tragedy has occurred. It involves first responders such as firefighters, police, trained search teams, medical workers or perhaps the National Guard in the U.S. (or equivalent in another country.)  This phase is about saving lives, providing medical help, or finding and moving people out of danger. While there are charities that may be offering services in this area, much of the initial response is likely to be associated with relevant government services. Media also quickly arrive on the scene and provide images of damaged homes, broken roads and people in danger. This is the phase of activity that gets the most emotional response from potential donors. They are moved to do something to help and turn to charitable giving as a means to assist those in need.

Relief Phase – Most of the donation activity is directed to organizations involved with the relief phase which provides shelter, meals, clothing, blankets, water and other essentials for victims and their families. BBB Wise Giving Alliance recommends that contributors seek out charities that have experience in disaster relief activities and already have a presence in the impacted areas. That usually provides the quickest means to deliver aid to as many people as possible. Newly established organizations and/or charities with no disaster experience, may have the best of intentions but will have significant challenges in being able to fulfill promises, particularly for the distribution of needed goods and supplies.

Recovery Phase – The last phase of disaster activity usually takes the longest to accomplish: the recovery phase. This involves community efforts to rebuild after the physical damage has been done. Charities and other organizations will be involved in helping families build homes, schools, houses of worship and repair roads. This phase can take considerable time and huge sums of money. Unfortunately, the fundraising for these operations usually takes place after the headlines have passed and the media cameras are gone. Donors can still be motivated to donate but will need to be reminded of the unfilled needs that must be addressed so a community can truly heal.

The lesson for donors is to remember that there will be many opportunities to help in any disaster situation and not to confine their attention to just the immediate needs that always get the spotlight.

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Video of the Week

As part of the Building Trust Video series, we are pleased to provide a video interview with Mariah Smith, Board Member and Development Director, No One Left Behind (a BBB Accredited Charity) works to help America’s wartime allies from Afghanistan and Iraq who are eligible for the Special Immigrant Visa Program to navigate the visa application process and to resettle in the United States once they receive their visa.

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Heart of Giving Podcast

This week’s Heart of Giving Podcast features a more detailed interview about the Afghanistan crisis with Mariah Smith, Board Member and Development Director, No One Left Behind.

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Recent Reports

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:

• Heifer Project International
• International Rescue Committee
• Sierra Club Foundation

Finally, remember to let us know by going to www.give.org/charity-inquiry if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance