FOR IMMEDIATE RELEASE

CONTACT:

Buffy Beaudoin-Schwartz
Communications Director, Association of Baltimore Area Grantmakers (ABAG)
410/727-1205, bbschwartz@abagmd.org

Baltimore, MD - Grassroots philanthropy groups throughout the country are changing the way Americans give to charity. Known as giving circles, small groups of friends, neighbors, families or acquaintances are giving collectively and proving that the very wealthy are not the only ones whose philanthropy can make a real difference in their communities.

A new report by New Ventures in Philanthropy called Giving Together reveals that giving circles in Greater Baltimore are part of a growing national trend in philanthropy, pouring more than $44 million into communities nationwide since 2000. Over 12 in the Greater Baltimore region - formed in the last several years - collected over $1 million in new charitable dollars from over 1,000 new and further engaged donors.

"The influence of giving circles has been spreading for years, but until now there has been little research to document the trend," says Tracey Rutnik, Director of Strategic Initiatives at the Association of Baltimore Area Grantmakers and co-author of Giving Together, which identified more than 200 giving circles nationally and gathered descriptive information from a total of 77. "The findings also give us a better understanding of how successful giving circles get started and are sustained over time, so we can help others get engaged in this activity."

According to Rutnik, the report is a conservative estimate of the presence and power of giving circles throughout the United States, representing only about 10 percent of all giving circles. New Ventures believes the report represents an accurate picture of what these groups look like nationwide. Of those surveyed:

• The majority (57 percent) are women-only or majority female and 42 percent involve an even mix of men and women; only one is for men.
• Although the majority (70 percent) self-identify as predominantly white, 12 percent are racially or ethnically mixed and five percent are African American. New Ventures believes the trend toward racially or ethnically mixed circles will continue to increase in the coming years.
• The level of giving varies widely from circle to circle, ranging from one dollar a day to $20,000 per member or couple per year.
• Circles give to a range of causes, including youth development (34 percent), women and girls (27 percent), human services (25 percent) and mental health and crisis intervention (20 percent).

Some of the first giving circles began in the 1990s as a result of increased participation of women in philanthropy, the rise in new donors and a heightened desire of individuals to directly participate in the giving process. Many of the original giving circles required significant contributions from their members. Today, giving circles range from informal gatherings of a few friends to national networks, independently functioning as their own nonprofit organizations.

"Giving circles have already taken hold in the Greater Baltimore region," says Buffy Beaudoin-Schwartz, Communications Director at the Association of Baltimore Area Grantmakers and co-author of a recent report on giving circles Growing Philanthropy Through Giving Circles: Lessons Learned from Startup to Grantmaking. "Donors in the region are coming together to pool their resources, address the needs of their community and have fun at the same time."

In Greater Baltimore, giving circles are taking unique approaches to help their communities:

• At the Women's Giving Circle of Howard County, over 350 donors have collectively donated almost $400,000 in the last three years to programs benefiting women and girls in Howard County.

• The 180 member Baltimore Women's Giving Circle supports organizations in Baltimore City and its five surrounding counties with projects that focus on the self-sufficiency of woman and their families. The circle, which requires an annual contribution of $1,100, has distributed more than $300,000 over the last three years.

• Launched in 2002, The B'MORE Fund is a giving circle that supports and celebrates the work of social entrepreneurs in the region. With over 45 members and modeled partially on the McArthur Fellowship Awards, this giving circle has made over $35,000 in awards to 7 individuals chosen through an anonymous process, whose work makes Baltimore an even greater place to live, work and play. Membership requires an annual contribution of $500.

• The Jewish Women's Initiative at The ASSOCIATED: Jewish Community Federation, currently has 34 members who each give $1,000 per year for at least a two year commitment. Since they began in 2003, this circle has distributed $25,000 into the community.

"Starting something big can be easy," said Beaudoin-Schwartz. "Giving circles are all about the members. You can turn just about any social group into a giving circle - faith based groups, happy hours, play dates and poker games can all become giving circles by collectively giving to charities in the area." To encourage more giving circles or help interested donors tap into an existing giving circle, New Ventures created the National Giving Circle Knowledge Center. This online resource offers a giving circle starter kit, profiles of existing giving circles and contact information for local resources across the country. To access the resource, log on to www.givingforum.org/givingcircles.

For local information on giving circles go to the Giving Circle section of the Association of Baltimore Area Grantmakers website.

The Association of Baltimore Area Grantmakers is the Greater Baltimore region's premier resource on philanthropy, dedicated to informing grantmakers and improving the community. It's members include representatives of more than 125 private foundations and corporations with strategic, ongoing grantmaking programs.