“Social Venture” Impact Makers Celebrates First-Year Anniversary
Richmond, Va. (October 29, 2007) – Central Virginia’s first consulting firm designed to give all its profits away celebrated its first anniversary in October. The competitive social venture grossed more than $500,000 providing consulting services in information technology, healthcare and management.
After paying business expenses, taxes and competitive wages for staff at the end of 2007, Impact Makers is required by its corporate charter to give all profits to local charitable partners chosen by its volunteer Board of Directors – charities that are secular, apolitical and “help people to help themselves.” Impact Makers’ first charitable partner is Safe Harbor, a local non-profit with shelters and services for victims of domestic violence.
“We’ve already given Safe Harbor $13,000 in the last 12 months out of a total profit of $73,000,” said Michael Pirron, CEO. “After paying taxes at year’s end, we’ll be sending them a big check.”
Pirron added that aside from financial contributions, Impact Makers has donated more than 250 hours of consulting services to Safe Harbor. “The idea behind Impact Makers is to transform economic value into community value,” Pirron added. “We do that by providing a steady stream of donations to local charitable partners and donating our services when we can. This allows the charities to focus more on serving to the community and less on fundraising.”
While the “give-away-your-profits” concept at Impact Makers may seem to some like a recipe for disaster, skeptics have been proven wrong.
Impact Makers’ president, Ross Decker, said that Impact Makers’ business model is a win-win-win situation for its clients, employees and community. “We compete with every other consulting firm for contracts, and we compensate our consultants and employees at market rates,” Decker said. “Our clients get first-class service, and our staff earns competitive salaries while their efforts support the community. Our charitable partners get a stream of income they can count on so they can focus more effort on their social mission – to improve the community.”
Impact Makers’ business model addresses the fact that most charities are supported by donations and grants. “About half of their annual budget could be devoted to fund-raising or grant writing,” Decker said. “These activities take time and effort, with our model, organizations would have that much greater impact since more of their energies could be focused on their mission.”
As Impact Makers expands, it hopes other companies will use the same business model to create a positive impact on the community. “As we grow,” Pirron said, “our Board of Directors will select other local non-profit partners to support in delivering charitable services in Greater Richmond.”
Launched in October 2006, Impact Makers is a non-stock, not-for-profit venture with headquarters in Richmond, Va., The company gives all its profits to non-profit charitable partners and focuses on providing Information Technology, Healthcare, and Management consulting services to local, national and international businesses. Impact Makers is located at 2318 Stuart Avenue, Richmond, VA 23060; (804) 332-6383; fax (703) 832-5551; and www.impactmakers.org.