How Ukrainian Philantropic Marketplace Works

Ukrainian Philanthropic Marketplace is the only Ukrainian platform built on crowdfunding principle. The only difference is that it operates exclusively in the sphere of charity. This is a place, where a lot of projectsand stories of people, who need help, are collected. And due to the Ukrainian Philanthropic Marketplace they can be sure to receive the assistance. The other day, we talked with the director of UPM Iryna Gutsol and PR-manager Tetiana Raikova. 

WeLoveUA: To start with, could you tell us about how the Ukrainian Philanthropic Marketplace works. How did you come up with the idea of this format?

Iryna: Ukrainian Philanthropic Marketplace is a place that allows anyone, who wants to do something good and make difference, do it quickly and easily. Besides, he cats an opportunity to control the final result. This is a platform where anyone can choose a problem to solve or project to support. A person gets an opportunity to donate money and monitor the implementation of the selected project, involving the others at the same time by telling about that any particular story of a person or hospital care than need help.

Our peculiarity is that we are kind of Kickstarter. But we support only charitable projects and everything regarding them.

In Ukraine, few platforms similar to ours exist. There are quite good among them, which are aimed at supporting cultural and social problems. But our charity service combines a lot of stories and other organizations, and it is unique.

UPM Director Iryna Gutsol

During the three years of existence of the project – we started actively in 2012 – we have raised funds to support and implement about a thousand and a half of completely different projects. These are the stories of people in need; assistance with the purchase of very expensive equipment, which saves the lives of not only the children but also soldiers in ATO zone; there are cultural and sports projects, too. But, unfortunately, our reality makes the lion’s share (90% of the funds raised for charity) devoted to the support in the health sector. During three years, we have managed to corwdfund a huge sum of money for supporting different projects – we have collected over 56 million UAH.

In fact, if we talk not just about the money; it is the help to over 100 different charitable organizations in the implementation of projects that have helped to save the lives of thousands of people.

This is the assistance to many institutions – hospitals, schools, boarding schools. It is the support of such initiatives as purchase of items for the displaced people and orphans. It is the help for geriatric centers – home to elderly people who, unfortunately, have no one who could to take care of them. It is a huge number of various different projects.

Tetiana: It is helping animals.

Iryna: Yes, animals. But, let’s say, in 2012, before all these events, which greatly changed the Ukraine and Ukrainians, projects devoted to animals were supported more actively. However, the situation in the country has changed and showed that those vulnerable social strata in need of support do not receive this support. So we needed to strengthen efforts and continue helping them..

We have very good relations with different volunteer movement that are engaged in helping the ATO. We understand that we can’t ignore the situation.

The aim of our project is to give a person the ability to decide whom they want to help. Not to decide for a person, but to show that there are different directions, and, depending on what kind of problem you want to solve, you can choose a projects really quickly, then help it and control how the money was spent.

It is important, as shown by this year’s experience, not just ask for money, appealing to a sense of pity and compassion, bur to explain, to communicate, to talk about how you are going to solve a problem, where the money will be spent, and to spend it effectively. Our platform provides it all, too. You can see what money is planned to spend for, what has already been purchased, which result was achieved at the end.

How do you choose projects? Does anyone can make a request or a suggestion?

If we have implemented all projects on our own, there would be 50 of them in the best case, not more.

We have chosen a different path: we publish only projects of our partner charity organizations. They are our operators of help, the funds we have checked out and signed contracts with. That is, we control how they implement the projects, and they are fully accountable to us.

These are the organizations submitting projects, which are published on our website after verification.

If a person needs help, it is first necessary to contact one of the partner funds, which will submit a project to us. This model allows us to support over 500 projects simultaneously.

The question is not about simply raising money. You must arrange things in order to male them reach the final destination and solve a problem. That is how our platform works.

Are there deadlines set for fundraising or everything depends on a particular project?

Iryna: It’s very dependent on a particular project. We don’t work according to a principle “collect 100% and then get the money”. No, we are not working like this. In case it possible to apply phased implementation to these projects, we provide money for treatment in the process of fundraising, if it necessary, at the request of an author of a project and an endowment. If the question is about purchasing medicines, some treatment, paying for the course of rehabilitation of a child, we cannot wait till the 100% of money will be gathered.

Tetiana: We also inform a donor of a project in an official letter, which can be found in the “Documentation”, write in the project blog for people to see that a part of the collected funds have been already spent.

Iryna: Such websites exist throughout the world, and work very actively. There are JustGiving, Global Giving, BetterPlace, and many others. They really function as some kind of a tool to charities working on finding solutions in their fields to communicate with their benefactors easily, to collect money, to make reports, to show the work is being done. We also conduct cooperation with the funds. We have very serious prescribed criteria for accountability and transparency. Of course, we try to be flexible from the perspective of efficiency, but the most important thing is that all projects that collect money are realized in the legal sphere. There are full reports, and a person who donated money can get an answer to what happened to it.

We have the resources and referral mechanisms. There are situations when projects are canceled. Causes can be both positive and negative. For example, a person has found another benefactor. Or prescribed treatment was not effective and it should be canceled and changed by something other. In this case, we can revise an aim if it doesn’t contradict the overall task. If it isn’t spent for treatment, then for it is used for another drug. Or it will be spent on surgery instead of treatment. We either let our philanthropists redirect this money for any other project on our platform or reserve it in the “Moneybox” in Health category. It is used for supporting the most urgent projects.

It is not a secret that it is easier to raise money for children than teens or adults. And it is even more complicated to collect funds for purchasing of medical equipment (which saves hundreds and thousands of lives!). Moneybox allows us to be more flexible. If people entrust us (and we are very happy for this!) to correctly and efficiently allocate these funds, we can use the money to support urgent projects.

Also, we take part in different interesting actions jointly with corporate donors and other foundations. Among the most striking examples are, for instance, “Part of the Heart”, when Maksym Bakhmatov lived in a shop window in 2014. Due to this, it was collected over a million hryvnias for the purchase of cardiac implants for 32 children, and an operation to install them was conducted.

There is a large-scale initiative which we have been engaged in for three years. This is the “Run With Faith in Heart” together with Danone company.

Runs are organized in different cities. A lot of people join them, including a lot of corporate teams. This project is implemented by Charity Foundation “Open Hearts”. We are responsible for recruiting, fundraising and control, and they take care of purchase of medical equipment and transfer it to the hospital. Such focusing makes everything more effective.

There are also other projects. Together with “Kyivstar”, for example, we implemented “One Million for Hospitals” last year in order to buy equipment for hospitals where the victims form ATO zone are treated.

There are small projects, when money for the aid is transferred due to the “likes” and “shares”. For example, the purchase of equipment for centers for small premature babies. Recently, a project “Neterpliachky” [Eng. – impatients] has started.  It aims to draw attention to the premature babies. One of the positive aspects was that participants of “Miss Ukraine” of different years joined it. On November 17, a flash mob was held – we launched white balloons at Sofia Square.

In fact, there are a lot of bright interesting projects in the field of charity, but we specialize namely on crowdfunding, fundraising for these projects. We value each of our partner and assistance operators, who also do a great work. Our task is to help them in this, and also to create a platform where you can raise funds in the real time. It works well when you can immediately give people a chance to see how everything happens. What actions are active, how much money you need, how much has been gathered, who supports it.

If you have any news stories, people can see how penny to penny, hryvnia to hryvnia huge sums of money are being collected. And you realize that what seemed unattainable a while ago is already implemented.

There is one more aspect. Very often, when a person has a problem, and they seek help from you saying that half of a million of UAH is needed to be collected. People faced a task: it is a shame to give only 10 UAH – it isn’t going to solve anything. Well, it is better not t help at all. All of these mechanisms, on the contrary, are intended to show that a small effort is all it takes to solve a huge problem. And that’s fine.

If you can give 10 UAH, you are ready to give them away and you want to do it. You have to understand that not only the world around you, but you make your own contribution to the solution, too, thus becoming implicated Iin finding a solution to some complicated problem, becoming a part of this. You’ve got the ability to change not only the world around you, but someone’s fate.

What are the difficulties philanthropy in Ukraine faces today?

Iryna: I think that the biggest challenge is, again, the lack of mechanisms allowing us to make charity clear and easy both for those who donate and those who cope with everything. If you are an officially registered charitable organization, you face severe restrictions, caused by some specific requirements. Very often, they don’t let you be mobile enough to realize very acute goals and objectives.

This led to a split between volunteer and charitable organizations, which happened in our sector. At one point even a confrontation started: volunteers are good, and organizations are bad; some very ossified, while others are very mobile. And now we all froze, counting on the fact that these concepts wil find the way to merge back into one single charity. There will be no division. Sometimes it seems that someone strikes us together. And it is wrong.

There are organizations whose activities are aimed at finding systemic solutions to the problems, but there are those that solve problems that have arisen here and now. Peculiarities of Ukraine during this year show that we need both systems. We hope that all is going to normalize. But social problems will not disappear. Hopefully, all these young organizations who worked in some places turning a blind eye to the demands of the law, will not disappear, will not be disappointed, and will turn into system of organization that will continue to work on these issues.

What major trends have been common in the field of charity this year?

Iryna: Nowadays, to continue raising funds to non-military needs, it is very important for charitable organizations to do it creatively and to provide an opportunity to create positive emotions, attract people not by pity or shame. No way, I believe, charity should be driven by a feeling of shame. This is wrong feeling. On the contrary, people should want to do something good and get positive emotions from doing. Projects aimed for positive emotions are the most successful now. Attracting attention becomes more effective if you appeal to different non-standard actions. “Neterpliachky” is about launching balloons. Red noses for children with cancer at the charity foundation “Zaporuka”. “Tabletochki’s” superheroes washed windows in Okhmatdyt.” It amused children and in addition demonstrated people that there are some ordinary problems to handle.

Another interesting trend is to increase the number of sporting events, in particular, in cooperation with corporate donors. If earlier it was normal for a business to do some “party” or something like that, it is now much more interesting to offer employees any non-standard solutions, such joining a sporting event. And it is right. We are finally moving in a right direction. During this year, especially in Kiev and in big cities of Ukraine, a lot of charity runs and marathons were conducted.

There is a growing involvement of employees of large corporations in various charitable initiatives aimed at using some internal resources – work or time. And it is important, when people don’t have much money to donate. The effect will be more visible if they are offered some form, allowing to bring a part of them, their time or unnecessary things in all of this. That’s why charitable initiatives, built on an exchange of unnecessary things, are developing very actively. “Laska” store, charity flea market “Kurazh Bazaar”, which transformed into a business model. The same is with “Murakhy” platform, which allows you to sell unwanted items, and the money transferred to several charities.

These positive moments show that we must fight for the benefactor, but only in offering him an idea which is going to bring positive emotions. In addition, the ability to control what happened to the money is another big advantage. This combination is a winning one. Fortunately, there are more conscious people, who find it important not just to have fun and to donate, but then not to hesitate to ask, “What happened to my money? How do I get a report? What will happen next? And if does not work, how can I communicate with you further, to redirect funds to address the other problems?”

We understand you cannot be absolutely sure whether campaign is successful. You need to have a backup plan. It is important to know what to do if something goes wrong.

How many projects are implemented? Almost one hundred percent?

Iryna: Yes, but approximately five percent are canceled. The reasons are different, as I have told. In particular, there is a very complicated case, when people pass away. There are, of course, positive reasons, too. For example, we attracted a lot of attention, we spoke to many people, but still certain distrust to the organization exists. Some tend to give the money personally.

Tetiana: Directly. Charge to mom’s card, for example. Well, we don’t mind!

Iryna: At this stage, we understand that we just don’t want to prohibit. Again, all our stories are from people whom we believe. There are, of course, different situations. In case of force majeure, the solution needs to be sought quickly. If a person wants to transfer money to the parents’ account personally, we provide fund’s contacts and simply conduct control of everything that happens. For example, we reduce the amount of money for collecting on the project at our website.

We do not prohibit collecting at other websites. Stories, with which people come to us, are really tough, including bone marrow transplantations, which costs 120 thousand EURO. If you translate the current rate, you get over 3 million in UAH. Therefore, we often gather only a part of required money for large projects related to organ transplants or operations conducted abroad. And always when we start to do it, we look if there is a possibility to spend a part of money for other purposes in case we won’t be able to collect all money.

Tetiana: Sometimes a project simply does not go well…

Iryna: What are we going to do with this money? Can it be used for maintenance treatment? Is there any other possibility to use it? If we understand that, yes, then we start collecting money. At the same time, the foundation website (the one which has submitted the draft) is gathering money, too, as well as our website and social networks.

The most important thing here is to control all the channels for collecting and stop it at the right moment. It is the responsibility of a foundation which submitted a project. It should be done in order to avoid the situation when money is already collected, but we’re still going to gather it – it will come in useful. Such approach isn’t working on our website. And this is the difficulty that we face.

To start collecting, we have to understand clearly what we are going to do with the money. Whether we are able to collect them. And so, for example, when it comes to the treatment of a child with cancer, we refuse to participate when hearing, “Let’s gather a lot of money – it is will be necessary”. Let’s find out what exactly you need to cure and what help is needed. And after we come to the base of the collection, we are in.

PR-manager of UPM Tetiana Raikova

Sometimes, it is debated over whether charity is to be advertised or it should be “quiet”.

Tetiana: I think it is very individual thing.

Iryna: I have a controversial attitude to it in general. I understand where this situation comes from. Very often, the expectations are too high, especially the expectations of corporate donors. But what about people… I am more than sure that the people, who really want to help, have to be not afraid, don’t have to hesitate to talk about it. If you can help and give money to solve the problem, it is your decision. You can talk, you can be silent. But if you want to solve a problem, you want to make sure that people who trust you also join and start to think about what’s important… You change the people around. You show them a positive example, and I think that’s right.

No wonder the entire Western ideology is built on the fact that if you aren’t engaged in charity, then something is wrong with you.

I hope very much that we will soon come to understanding that it’s just as normal as sports. Because sport develops you physically, and charity develops you spiritually.

Tetiana: I think it’s vestiges of the Soviet Union mentality, where everyone was hiding in their apartments, no one knew anything, and God forbid, someone finds out how much a person earns. Such thing as financial aid does not exist in terms of philanthropy in general. I believe these people to be donors. They are the leaders of opinion in society. And if these people are just sharing a post or post links to the project, and due to this post more people come, who give real money, it is also a donation. For a person to certain extent sacrifices their reputation. They are responsible for the fact that the project is good and it is necessary to donate money for it. You don’t need not be afraid of this either.

Iryna: Everyone has their own opinion, but I believe that it is necessary to tell. Another question is how you talk about it. Not just, “Look how great I am!”, but “Look, I did it, and you can do the same”. It does not matter how much time or money you have. With your own efforts, you can solve a problem, which concerns not only you. You cannot create a closed world, a bubble, where you feel good and everything around, but you turn the blind eye to that.

We have to avoid ignoring what is happening around. For every action, even the most seemingly insignificant, can change someone’s life. Check out Ukrainian Philanthropic Marketplace, join a project, and develop yourself spiritually.

PHOTO: Dmytro Iershov