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Human Hope Foundation

This document summarizes the funding challenges faced by the NGO Human Hope Foundation located in Shimla, India. It discusses how the foundation relies on donations for its goals of providing remedial education, medical relief, and livelihood opportunities to underprivileged groups. While outlining the foundation's objectives and recent activities, it explores various methods of fundraising utilized by NGOs, including donations from individuals and organizations, corporate social responsibility funds, crowdfunding, and government grants. It notes that securing sufficient and flexible funding remains a challenge for NGOs.

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0% found this document useful (0 votes)
285 views10 pages

Human Hope Foundation

This document summarizes the funding challenges faced by the NGO Human Hope Foundation located in Shimla, India. It discusses how the foundation relies on donations for its goals of providing remedial education, medical relief, and livelihood opportunities to underprivileged groups. While outlining the foundation's objectives and recent activities, it explores various methods of fundraising utilized by NGOs, including donations from individuals and organizations, corporate social responsibility funds, crowdfunding, and government grants. It notes that securing sufficient and flexible funding remains a challenge for NGOs.

Uploaded by

Metro Institute
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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ABSTRACT

The Life of each individual is dependent on the knowledge and information they gather either
from personal experience, or through the process of studying the topic with support and
assistance of our mentors and teachers. This project is based on the Fund Raising of the NGO
Human Hope Foundation situated in Shimla, Himachal Pradesh, India. This project will help
us to deal with the most common circumstances faced by almost any NGO and that is the
problem of Fund Raising. In the given scenario Human Hope Foundation also faced the same
issue of Lack of Funds to serve their goal of Remedial Education, Medical Relief and
Livelihood opportunities to the underprivileged.
INTRODUCTION
Like every other Non-Governmental Organization, Human Hope Foundation also has their
own set of Objectives. A brief list is provided below

1. Education and Livelihood Assistance for the underprivileged.


2. Addressing Social Issues affecting human life to the government and to the general
public
3. Form up teams, thus supporting and cooperating people who are engaged in similar
activities
4. Pooling of Human and other resources to achieve the common of goal of social
welfare
5. Providing opportunities to people not only in India but also to people outside India
who wish to participate in the social welfare of the poor

The Vision of Human Hope Foundation is “Our vision is to act as a catalyst in bringing
Sustainable and Qualitative changes in the lives of the underprivileged.”

Recent Activities

On February 8th, several kids were donated Warm clothing like sweaters, socks, caps and
shoes to keep them warm this winter. This clothes have been provided by some godly people
who have the same intention of helping the poor.

On March 14th, Drawing classes for the children’s of Construction worker at an Under
Construction Building near High Court has been started with the help of generous donors and
volunteers.

On March 26th, An informative workshop was conducted on prevention of child sexual abuse.
This informative workshop was held at our foundation for students and parents, which was
facilitated by Muktha Foundation. These workshops were guided by two renowned person
namely Ms. Ashwani and Ms. Annete

The main issue of Fund Raising has also been a part of Human Hope Foundation.
The munificent donors, volunteers, teachers and other members of Human Hope Foundation
has immensely helped themselves as well as by including others in joining the common cause
of providing a hand of support for the people in need and for the underprovided children in
our society.
LITERATURE REVIEW
NGO - Non-Governmental Organization are generally Non-Profit making institute and are in
no way associated with any Government or any institutions connected with Government.
Each NGO has its own set of Objectives some are oriented towards women welfare, some
focus on Children Education, while some believes in helping the Senior Citizens, some has
their centre of interest in providing the poor and underprivileged, others might have a vision
of helping the physically or mentally handicapped people etc.

These organisations play huge roles in providing services to the society. NGOs are mainly
funded by donations, charities and other kind of social helps. These organisations are
attached with various types of activities. Their main aim is to work for social purpose and for
the welfare of the society thus helping the poor in need and supporting the society as a whole
to grow hand in hand and make this world a better place. There are various types of NGOs
working in different parts for their different desired purposes. This type of NGOs work as a
social backbone for the society and though not associated with the government they are
providing working parallelly in serving the society.

As discussed earlier the main criteria of running a NGO is to accumulate Funds and using it
wisely. Fundraising is a very crucial step for organising and managing various goals of an
NGO (Ramadan, & Borgonovi, 2015). These NGOs work on the funds provided by various
sources, and a very high level of importance is provided in accumulating these Funds, as
without Fund the NGOs won’t be able to organize its activities. The very common way to
accumulate fund is through the common public as well as many organisations. There are
many methods of Fund Accumulation. Depending on the size and nature of an NGO the
Funds are collected and used for several social purposes like arranging workshops, creating
classrooms, distribution of books or clothes, creating awareness. Corporate Social
Responsibility (CSR) funds of corporate are also a huge source of funds for an NGO
(Schwartz, 2017).
There are various ways by which an NGO can obtain funding namely:
1. Community Foundations ( Anheier, 2014).
2. Corporation and businesses
3. Religious Groups
4. Crowd Funding
5. Charity / Donation

Similarly as any other NGO as well as in the case of Human Hope Foundation costs are
minimised and donations are spent on the education of the children (Balagopalan, 2014).
The donations are also spent to arrange for workshops as well for arranging the camps to
distribute cloths, books or other necessary things. The funds are also used for payment to the
Teachers and Volunteers for taking up classes and for spreading awareness or helping the
economically backward people. With the help of local funds obtained, volunteers provide
children the education and living environment.

In future they also have a plan to provide the underprivileged access to Better Healthcare,
Sanitation and also address issues related to Environment and Youth.

A huge portion of the donation received by any NGO is sourced from Foreign Land.
Broadly dividing any NGO has to base its funding among these five sources foreign funders,
corporate social responsibility (CSR) funds, the government, Indian foundations or charitable
trusts and the general public. Each of the above option when studied in detail will give an
idea of how these funds are pooled together for the working of any organization.

Any NGO can accept donations from Foreign Funders by applying for a license under FCRA.
Starting from mid-2015 the Government has taken stern actions in making sure that these
donations reach only to authorised NGO and are being used for the social cause and not for
the sake of profit making or any personal well-being.
During the period of 2006 – 2014, Total Foreign Funds that entered the country has been
received by only 18% of the NGOs holding License under the FCRA and the amount ranges
between Rs. 1 Crore to Rs. 10 Crore. And 40% of the NGOs having a License under FCRA
have received no Foreign Funds between this period.

Amnesty International India (AII), the Indian arm of the international non-profit, has chosen
not to take the FCRA route to funding—a decision it took soon after it resumed operations in
India in 2012. AII does not accept money from the government and companies for its human
rights research or campaigns. Funds are being raised through two entities—a charitable trust
and a tax-paying private limited company. The Company provides research consultancy and
technological services to other organizations in the social sector and the Charitable trust
carries out human rights education work.

Domestic Fund availability has increased rapidly over the past few years. Crowdfunding sites
like Millap.org and others have immensely helped the NGOs in achieving their need of Funds
for Social Cause. Though inspite of such increase in flow of Domestic Funds the director of
Aman Trust, Mr. Jamal Kidwai quoted “Yet access to domestic funds is still not easy. Most
of the funds are corporate funds that are for limited activities. There is not enough flexibility
like there is for foreign funds,"

Corporate Social Responsibility Funds have a capacity of Rs. 20000-25000 crores but only
around 30% of such funds are sourced through NGOs for the welfare of the society, the
remaining are being given to Corporate Foundations.

As per a research conducted by the Economic and Political Weekly it was found that the
companies mostly take initiatives of social welfare or social development in the surrounding
areas of the operations. “We did find instances of funds going to NGOs working in the health
sector," said co-author of the study Shachi Rai, a research scholar at the Jawaharlal Nehru
University in New Delhi. It was also stated that as our middle class and corporate sector are
first generation donors, hence they do not want to donate their funds on causes which are
controversial or on causes which might not have guaranteed outcomes.

Government Funding’s play a very important role in pooling of resources of an NGO.


Though in the recent past the government allocations for NGOs have increased to a huge
extent, but still any organization be it Human Hope Foundation or any other NGO cannot rely
their activities on such source. The utilization of such funds has been low due to procedural
difficulties, delays in accessing resources, corruption and political interference.
The new trend has been on more Domestic philanthropic organizations filling the vacuum of
domestic funding space. One of the recent case study would be to show the workings of a
Mumbai based philanthropic foundation named DASRA. It had set up a governance fund
with an objective to raise Rs. 50 Crore to twenty most highly scalable non-profit
organizations. The plan was to engage more than 200 Indian philanthropists and foundations.
In the year of 2013, Delhi-based Asian Centre for Human Rights (ACHR) filed RTI and
found that central ministries and state governments had granted a huge amount for donation
to NGOs and voluntary organizations, the amount counting up to Rs. 6,654.35 Crore for the
period 2002-2003 and 2008-2009, an average of Rs. 950 Crore a year. Though there was a
problem that was raised ACHR Director as quoted “We found that in a majority of cases,
only those NGOs or voluntary organizations that were close to government officials or had
some political pull were selected”

On 26th January 2017, the government has cancelled license of more than 200 NGO, in the
event of they being accused of ‘Anti-national activities’
Navsarjan an NGO fighting Caste prejudice and inequality in the poorest parts of Gujarat
State for nearly three decades. In August Navsarjan’s renewed License under the Foreign
Contribution Regulation Act, but in the month of December it received a letter from the
government stating that the same has been withdrawn for “activities detrimental to national
interest." At that point of time Eighty Staff Members of which most of them were social
workers while some were legal assistants were laid off immediately. Navsarjan made
desperate appeals for local donations and funding’s but they fell short of the bare minimum
required to run the NGO.
Many NGO’s had to halt their activities after being cut off from Donations which was
received from groups like World Health Organizations, Bloomberg Philanthropies, and the
International Committee of Red Cross.

The Indian Social Action Forum (INSAF) has opposed many government plans out of which
the majors were building nuclear power plants and promote genetically modified crops. On
cancellation of the License acquired under FCRA for receiving Foreign Donations, INSAF
took the matter to court though no positive end result was received. INSAF was clearly told
that the government was not obliged to reveal the reasons for its actions.
There is no explanation present under Law for determining the basis of a group’s activities
for terming them as harmful towards the nation’s interest. It also does not allow any arbiter or
appellate authority to hear challenges of the government’s licensing decisions.
The Court allowed INSAF to use its existing Funds for the social causes and the activities
that it was pursuing, but prevented it from receiving any funds from Foreign Lands till they
won the hearing in the court. The officials said that they lost valuable time in serving the
society with better results.

The US, UK and Germany are the biggest donors to Indian Non-Governmental Organization
METHODOLOGY
There are various fundraising techniques for a NGO. Here we will discuss in detail of a few
methods.
i. Govt. Grants/Schemes: Government (State/Union/Local Bodies) gives grants to
NGOs for certain causes on fulfilling specified conditions. Government Schemes also
help NGO’s to raise funds for implementation of their programmes.

ii. Corporate Grants under CSR: NGOs can approach the CSR teams of major
corporations across the country depending on the sector and area of work. Some of
the big corporates, like Tata Trust and Reliance Foundation have separate Trust to
help NGO.

iii. Donations from Crowds: There can be different methods of Donations can be
Donation boxes, Urban to Rural development donations, awareness programme,
Donation through website, through Social Media, Donation of acclaimed personalities
etc.

iv. International Funding Agencies: International Agencies and organizations both


corporates & Non Corporates helps in raising Funds for Social Causes for Non Profit
making organizations.

v. Crowd Funding Campaigns/Social Media Fundraising: - In todays’ world Social


Media has huge impact on people life. It has been found that 59% of people donate
money to non-profit making organisations who are engaged with social causes on
social media. In Crowd Funding the agencies help in fundraising with help of a
campaign where the objective and budget is stated and the purpose of the amount

vi. Organizing Public Fund Raising Events: Public Fund raising events
Can be of various types, from social gatherings cultural programmes to donation from
celebrated dignitaries and high profile officials. Most popular Public Fund Raising
Events are dance music cultural programmes or speeches from eminent persons.

Other than this there can be many other techniques of fundraising such as
• Selling a Product or Service
• Grants from Funding Agencies through Projects
• Child Sponsorship Programme
• Social Media Groups
• Cause Related Marketing
• Awareness Events
• Through Trainings, Conference and Seminars
DATA ANALYSIS AND INTERPRETATION

As discussed above the main hurdle of any NGO is Fund raising. The same is being faced by
Human Hope Foundation. They are facing huge crisis for funds and thus not able to operate
or function to their optimum.

After having a detailed discussion with a few members volunteers and other management
personnel’s of the organization, it was found that Human Hope is organizing classes on the
terrace of its founder’s house and they spend all donations on education of the children. Due
to the chilling cold in the winter season it becomes difficult to continue classes in the Terrace
and also during the rainy season it becomes impossible to run the activities in an open terrace.
They seek help from local volunteers and fundraisers to achieve their sole objective of
providing the underprivileged children with education facility.

Human Hope Foundation spends a very minimum amount on teachers but makes sure each
and every child gets the individual attention from experienced teachers. A generous donation
of books and stationery items are received from various sources but these are not enough to
run their activities.

From News and other sources of information it was found that Human Hope is in dire need of
funds to keep functioning the basic social activities. Their management personnel clearly
mentioned that many of their activities got cancelled due to lack of funds.

On the mid of March 2019, classes for the children’s have been conducted in an under
construction building near Shimla High Court with support of some local members and
volunteers.

Due to very inclement weather in Shimla, there are certain topographical problems in the
organisation campus which needs to be addressed urgently.

As per the data received from Human hope foundation they have a fall in the recent receipt of
Donations. As per the Review given above Human Hope Foundation can raise funds and run
its operations with lesser hurdles and in a much efficient manner. Fund Raising can be
conducted by Human Hope using Crowd Funding measures or through tie ups with different
corporate CSR Fund governing bodies.

So by this data we have filtered the most efficient and less cost taking techniques for
regaining the funds and sponsors for the Human Hope Foundation and its future endeavours.
DISCUSSION
Human Hope Foundation has the major outlook of providing basic knowledge to the
underprivileged students who are not missing the opportunity of a good future. Since its
foundation in 2014 it has helped in primary elementary and supplement education of the
underprivileged children. Along with supplementing education in school and bearing
education expenses books, stationery and dress etc. to economically weaker child. Human
Hope Foundation also organises skill training in the mode of dancing, singing, painting,
handicrafts with the help of volunteers in Workshops and programmes.
In this assignment we have made an attempt to picturesque a detailed outlook of the current
scenario of the Human Hope Foundation. The classes, workshops, various events and
activities that are conducted by the foundation shines like a bright sun into the lives of the
children. The skills development activities awareness of the confidence, trust honest and
creating virtues among the children helps them having a better tomorrow. The sponsors and
volunteers are also much to be accreted for creating such a place where the children feel
loved secured and happy. Great care is taken in providing a better and healthy lifestyle.
Social awareness programmes like conservation of water, environmental hazards and duties
as a citizen of India are held.

We have tried to address the biggest issue that the organisation is facing of getting
appropriate funds to carry out their activities. We have also tried to provide the best possible
solution to the sponsors of overcoming this problem by this project to solve the financial
crisis of Human Hope Foundation.
CONCLUSION
This study has taught us finding various ways of giving a solution to the problems faced by
any NGOs or any non-profit organisation. The main aim of Human Hope Foundation is to
support the children individually and taking care of a holistic upbringing that can be provided
to the children.

Future studies can be done extensively on the effects of the solution we have provided and
their consequences on the organisation. A very interesting fact is that Human Hope
Foundation has started venturing out into providing the children with financial instruments
and making them learn about various environmental issues and giving them a better
healthcare facility.

We have also come to know about the fun filled activities that they have planned to execute
in the near future for the students. The activities include various dance, sports and singing
competition in addition to giving interesting prizes which can boost the children and motivate
them and which will help bringing out the best in them and maintaining a congenial
environment for the students as well as volunteers. The volunteers are also actively
participating in bringing the required funds for the organisation and doing their best so that
the children can have a better future.

We would suggest Human Hope Foundation to raise funds using the above mentioned
procedures for better functioning of the organization. In any scenario they should analyse the
method which would suit them best for obtaining such funds. As per our study we would
suggest them to go for Crowdfunding and Donations from Foreign Funds
REFERENCES

1. Martens, K. (2002). Mission impossible? Defining nongovernmental


organizations. Voluntas: International Journal of Voluntary and Nonprofit
Organizations, 13(3), 271-285. Martens, K. (2002). Mission impossible? Defining
nongovernmental organizations. Voluntas: International Journal of Voluntary and Nonprofit
Organizations, 13(3), 271-285.

2. Edwards, M., & Hulme, D. (2014). Non-governmental organisations-performance and


accountability: Beyond the magic bullet. Routledge.

3. Khieng, S. (2014). Funding mobilization strategies of nongovernmental organizations in


Cambodia. VOLUNTAS: International Journal of Voluntary and Nonprofit
Organizations, 25(6), 1441-1464.

4. Ramadan, M., & Borgonovi, E. (2015). Performance measurement and management in


non-governmental organizations.

5. Schwartz, M. S. (2017). Corporate social responsibility. Routledge.

6. Anheier, H. K. (2014). Nonprofit organizations: Theory, management, policy. Routledge.

7. Balagopalan, S. (2014). Inhabiting'childhood': Children, Labour and Schooling in


Postcolonial India. Springer.

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