Organizations that give out small grants normally give those grants to
organizations rather than individuals. These donors want several
things, most importantly they want to fund ideas that achieve a worthy
goal. Second, they want to have guarantees that the funds are spent
in accordance with the law as well as within their own requirements.
Third, they want to be able to oversee the grant as simply and
comprehensively as possible.
However the idea for an important initiative comes from an individual
or group of people. These people are not organized along the second
and third donor requirement. With some management, the law, strict
stipulations, accounting, training, and some English language an
organization can be set up to administer these grants. But often it
is a somewhat unnatural act. Those who want to pursue an important
initiative want to peruse that rather than administrative
responsibilities, particularly when it is a very small grant and they
are new to the process.
At the same time, many things that are worth doing require very modest
funding. But the structure of donors is often such that there are
bands that require different approval procedures. For example, if a
donor says that it will give grants of up to 50,000 Euros, applicants
will often send in proposals near that amount. Since applicants must
be registered legal entities with bank accounts, they will naturally
pay for a great deal of administration from within a grant. So it is
logical for applicants to ask for what is available in order to keep
for as long as possible that administrative infrastructure. By not
being required to build and keep that administrative infrastructure,
initiators are free to seek only the funds they need for the activity
they will undertake.
We will begin in Georgia offering donors a way to fund activities that
better fits the needs of both the donor and the initiator. The funds
will go from the donor to Orbeliani which will have all the legal
responsibility for implementation and compliance. Orbeliani will then
pay directly by bank transfer for what has been agreed with the
applicants, relieving them of the responsibility of having to handle
large payments. Donors will be able to observe implementation of the
funded activities as they occur.
Orbeliani has five guiding principals that drive what we do:
transparency, learning, compliance, speed, and thrift. When donors
agree to fund through us and applicants seek funds through us, they
also agree to these five principals.
We are as transparent as the internet allows us to be. All our
accounts are publicly available, in real time including each and every
individual payment and can be broken down by initiative, type or
donor. Any amount spent wether for Orbeliani itself or on behalf of an
initiative can be viewed by the public. At any time a donor, member
of the public, journalist, or anybody else with internet access can
see what funds have been spent on any given project or on Orbeliani's
administrative costs. Complete transparency is much more effective
than financial reports and when it becomes habitual and is built into
the administrative system, much more efficient.
Rather than initiative groups being required to write reports, all
recipients are required to engage in a public forum about their work.
They write about what they have done, what has worked, and what hasn't
worked implementation ideas. They are obligated to work with other
recipients through this public forum so that a community of
implementors is seen by all. Forums for discussion are much more
effective than formal narrative reports. Mistakes are discussed
rather than concealed, successes can be copied more easily, failures
avoided. A learning community is a better way than narrative reports
to understand the nature of an initiative.
The laws of each country and the requirements of each donor are
different and change, sometimes quickly. As a single organization
that takes responsibility for the implementation of a variety of
activity, and at the same time administers funds, we are in a much
better position to hold ourselves to strict compliance than a
collection of small young organizations. All donors have complete
confidence that their funds are spent legally and within the
requirements they have stipulated.
Plans are time sensitive. An idea addresses a particular reality, but
reality changes. An effective donor must be able to support an
initiative that is relevant when the funds are dispatched. Our system
is designed to dispatch funds compliant with requirements very
quickly. Transparency creates speed and speed is often a crucial part
of an initiative. We do not slow anybody down.
The requirements of compliance are so strict and the penalty for
non-compliance so drastic that many donors will disburse funds through
extremely expensive mechanisms. The amounts an organization spends on
indirect costs and administration compared actual work or grants
dispatched can be difficult to discern. Some times the raw
information is not made available, sometimes there is difficulty in
categorizing. Our extreme transparency makes it easy to see and
categorize costs. We will take a smaller portion of funds than any
other organization to administer these initiatives and will constantly
strive to lower the amount we must charge for administrative and
management functions.
We are happy to work with donors on how they can best select
individuals or initiative groups. On the other hand we can also
implement selection in cooperation with the donor, or with the
priorities designated by the donor. When funds are transferred to
Orbeliani, we sign a contract with the initiators, they meet each
other and are trained in undertaking those responsibilities. The
donor may watch the progress directly and at any time can view up to
the minute automatically generated comprehensive financial
information.
At the early stages, people who have an idea to improve their society
do not want to and do not need to administer a legal entity, to
undertake procurement procedures, to learn and adhere to tax laws, to
write lengthy grant proposals and reports. These things that are
important, but not at the beginning. These things should come after
time and with some experience. They should be a part of scaling
previous successful work. Otherwise they can come to dominate the
activity and focus. These things should not be the very first step
for a person who wants to bring an idea life or to change a community;
because it's not about the money.
We will not give away contact information or send more than one email in any two months.
