About Sumthing

Shortening the chain

By
Anna
published on
September 11, 2024
4
min

Maximizing your Money-to-Impact Ratio: The New Standard for Giving

When you choose to support a cause, it's important to know where your money is going and how it's being used. Donating always comes from good intentions, but the impact can vary greatly depending on the transparency and efficiency of the organization you choose.

But how can you be sure that your euros are actually turning into that little sapling being planted or that fragile coral reef getting a second chance? In a world full of good intentions, maximizing your money-to-impact ratio is where it’s at. And that’s what we’re diving into today.

The intermediary nature of donations

Sumthing is an intermediary platform: we connect businesses and individuals to curated nature restoration projects across the globe. It’s up to you to decide which projects you support.

Intermediaries are very useful. They have the economy of scale working in their favour; since they offer a broader range of (curated) projects to support, they can raise more funds. However, they differ greatly in how many ‘stops’ your donation makes on its way to the impact destination. Picture a donation made the Netherlands that first covers local fundraising overhead, then takes a detour through an international HQ in Switzerland to get distributed, before going to another local office where it is paid to a local partner for implementation. Your euro’s taking a world (de)tour, and along the way, plenty can get eaten up by various overhead costs. 

At Sumthing, we decided to take a different, short and transparent route. We believe in a direct and effective approach. We raise funds and then send that money directly to local initiatives that do the on-the-ground work. Without any detours and without any hidden costs. 

With us, the fee for donations raised on our platform is flat, straightforward and transparent: 17%. Nothing more, nothing less. This percentage is clearly stated everywhere. No need to wade through a 100-page annual report or read through the complete T&C page to figure out how much went to overhead. No fluctuations based on a year’s performance. It’s 17%. Always. 

Putting the money where it’s needed

The rest of your donation goes to the project that you have chosen. Directly into the hands of the people that are actually doing the work, on the ground or underwater. No detours, no other intermediaries. No dilution of your impact. 

And by the moment your donation reaches our project partners, it gets used to restore nature. It turns into action right away. We were quite surprised that this is not the standard way of working. Sometimes, traditional NGOs struggle to immediately find the best use for your donation. So, what happens? The money might sit on the sidelines for a while, maybe in a savings account, or worse—it gets invested, with all the potential (negative) consequences that come with that. That’s not exactly what you had in mind when you donated, is it?

Making well informed decision

Based on the principles of effective altruism, it’s important to carefully evaluate where your resources can have the greatest impact. The same holds for supporting a cause. 

Do your research. Take a look under the hood of the cause you have in mind to see whether your money is going to make a real difference. Ask questions, read reports, don’t be afraid to seek out clear answers. You can also have a look at platforms like https://doneereffectief.nl/en to help you find the best options with the highest impact. After all, every euro counts and it should be used in the way you intended. 

Success Stories