San Diego Social Venture Partners: Building a better community

San Diego Social Venture Partners members assist with packing gift baskets for the Community Resource Center in 2010. In front are partners Robin Parker and Louarn Sorkin; rear, CRC Executive Director and ‘investee’ Laurin Pause and Julie Pardee.

From the Rancho Santa Fe Review
December 29, 2011
By Kathy Day

San Diego Social Venture Partners members say their organization is all about looking at philanthropy in a different way.

The 130 individuals, known as partners, come from all over the county but there’s a strong contingent of people from the North County area, including outgoing chairman Ray Ellis and his successor Tuck Forsyth.

“We really roll up our sleeves with our partners and get to know them,” said Ellis, noting that it‘s all about leveraging their collective skills. “It’s a three-year relationship – we don’t just walk away.”

The San Diego group, headquartered at 12555 High Bluff Drive, is part of an international organization. Around the world and locally its members not only invest money – a $5,000 contribution each year for three years is required – but they also invest their time and expertise to improve the community.

In addition to providing unrestricted cash grants, SDSVP provides skilled volunteer expertise to the targeted nonprofits, as well as other groups in need of a helping hand.

“We put the funds and human capital into an organization,” Ellis said. “A little of our expertise goes a long way.”

The strongest attributes of the group, Ellis said, are its “collective impact” on local nonprofits and in how much partners learn from each other about how to be better philanthropists.

Their efforts recently gained them recognition from the Association of Fundraising Professionals as San Diego’s Outstanding Philanthropic Organization for 2011.

Each year Social Venture Partners picks a special focus and carefully selects at least two nonprofits, which they call “investees,” explained Ellis, principal of the investment firm Ellis & Associates, LLC, who previously was president of the Marketing Services Division of Protocol Communications, a marketing services firm. He serves on several other boards and has announced he will seek the City Council seat now held by Sherri Lightner.

In 2011, the focus was on the military, a particular passion for Forsyth, who in October completed a four-year “phase out” from his career as a sales executive. He spent the last 20 years with Lee Hect Harrison and became involved with Social Venture Partners four and a half years ago after his wife died.

“I went from working for pay to working for the community,” he said, noting that he was introduced to the group by a friend. “I was always a sucker for a $200 phone call but never knew what my money was doing. This enables me to have a say.”

His most recent “say” has been as lead partner with REBOOT, a local initiative of the National Veterans Transition Services, Inc., that assists veterans in moving back to civilian life and finding meaningful employment. The partners also teamed up in 2011 with the Armed Services YMCA at Camp Pendleton

For 2012, the partners have picked education as the target, although they will stay connected to their military investees and others.

Look at the list of groups they’ve supported and you’ll see that children and youth programs have always been interesting to the organization, Ellis said, making this year’s focus on education a natural choice.
“We don’t know the answers,” said David Lynn, who works in La Jolla specializing in investments, database management and business analytics. He is serving as board liaison on the project that will involve seeking solutions to improve local schools as well as raising more money to that end.

The endeavor will also add a new layer as SDSVP enters its second decade, said interim executive director Marion Paul, who was an investee when she worked with Junior Achievement. This year’s education focus includes aligning with other groups that have common goals so they can have a collective impact, she explained.

“We want to help build the capacity of a sector, in this case education,” she added.

Lynn said they will select at least two nonprofit investees and will team up with San Diego Grantmakers, which works to stimulate local philanthropy, and other organizations to pull together a countywide effort to find better ways to educate students.

The process of deciding which nonprofits to support begins with a Discovery Team, which polls partners on what groups they might want to help. Then they invite in experts in that sector who share their thoughts and challenges in that particular arena.

Next, the Investment Working Group of 30 steps in to evaluate proposals and select the investees. Then the real work starts and a team leader steps up.

Ellis said that’s often “someone who falls in love with that nonprofit.” That person becomes a key point of contact and forms the team.

The help comes in a variety of ways, from Resource Teams that step in to assist with fundraising efforts, management practices, developing their boards and leaders, as well as providing financial management, information technology or marketing and PR expertise.

Each year during the three-year relationship, the partners and investees develop an annual plan. But it’s not just about the nonprofit, Ellis said. “We measure us and them against program outcomes and the impact in the community.”

And, Paul noted, it’s not about raising money for them but also about helping them raise money and building a stronger organization.

Often partners go beyond their donations to Social Venture Partners and make individual contributions to the nonprofits as well as rounding up corporate donations for them, she added. “It’s about leveraging our resources to get more.”

To date, that impact has been great. In 2011, the partners gave $175,000 in direct cash contributions; add in-kind services, additional personal donations and 9,510 hours of volunteer time and the tally hits $1.7 million in value to the community, according to the annual report.

And, in case you were wondering, yes there is a “social” in Social Venture Partners. Members get together for social gatherings as well as having fun with their projects, Paul said, noting that again this year they helped the Community Resources Center put together 300 gift baskets.

Learn more at www.sdsvp.org.

Why Can’t a Nonprofit Be More Like a Business?

Business people and funders often say they want nonprofits to act more like a business but then criticize them and withhold funding when they do. At First Friday on January 7, 2011, SDSVP Partners JoAnne Berg and Duane Tromblywere joined by Laurin Pause, Executive Director of Community Resource Center, to discuss this sometimes provocative subject. All three speakers serve on the SDSVP Board of Directors and have extensive experience in both the nonprofit and for-profit worlds.

by Mandy Sherlock

Nonprofit and for-profit businesses are different.

Anyone who has worked in the for-profit world understands that revenues are the measure of success. It’s all about the bottom line. In the nonprofit world, success is measured differently because there’s a disconnect between revenues and service delivery. The service recipient (“client”) is divorced from the revenue source. The funder or donor is not the person getting benefit from the service delivery - it’s the client. For-profits are very customer-centric, focusing on the needs of the customer. So who’s the customer in the nonprofit world? The “customers” are the funders. Nonprofits are serving their clients but at the same time, they must keep the funders happy. Because of this split, there are many unique challenges to running a nonprofit organization.

So how does a nonprofit determine if they are successful? Ultimately it comes down to outcomes. During a recent strategic planning session as an Investee of San Diego Social Venture Partners (SDSVP), Community Resource Center (CRC) asked themselves, “how are we successful based on the different categories of people we serve?” They determined that feeding a chronic homeless person in the breadline would be considered successful. But there are other levels of success too. After a three year process, CRC was able to put three homeless people, who had been on the streets for over 10 years, into safe housing which also provided a huge cost saving to the county. For a victim of domestic violence, CRC provides safe shelter which is the first step of success. The next steps include the woman staying away from the abusive situation, finding a job, getting a home and staying off welfare. This process of service delivery resulting in outcomes takes 2-3 years, where as in the for-profit company, a product can be developed and taken to market within a year. Instead of counting how many clients they serve as an indicator of success (outputs), CRC measures whether their clients move forward and become self-sufficient (outcomes). Success doesn’t have to do with money; it’s all about the client’s end result which is a major difference separating the nonprofit from the for-profit world.

Another difference: A nonprofit could have $750,000 in the bank and be broke. Why? A donor could write a big check, but restrict the funds. So just because there’s money in the bank doesn’t mean they can spend it. Typically donors don’t want to fund general operating support like lights and staff and printing. They want to give toward the program or directly to the people whom the nonprofit is serving. Often, funders have the unrealistic expectation that nonprofits can run their organization on 10 percent overhead. This is not possible because nonprofits are businesses too. Part of acting like a business is investing in infrastructure and staff and program capacity. For example, Community Resource Center needs real estate – buildings – in order to serve their clients and this involves marketing, sales and administration expenses. If a nonprofit organization doesn’t make these kinds of investments, they can’t implement their mission and ultimately they will fail. For this reason, SDSVP funds general operations and doesn’t restrict funds to its Investees.

In 2004, Community Resource Center’s technology system was failing them. Their computers crashed every week. Data was lost and they couldn’t access reports on time. A few years later when CRC became an Investee of SDSVP, their IT insufficiencies were diagnosed and they put together a plan of attack. In the first year, they spend $20,000 on upgrading CRC’s hardware, let go of their IT staff, substituted a service company and started a computer replacement plan…and ultimately saved $25,000! Now, employees are working efficiently, management information is available, and reports are on time. Because of SDSVP, Community Resource Center was able to invest in its internal infrastructure and come up with an innovative solution to produce an effective outcome.

Before joining San Diego Social Venture Partners, many members donated to charities. However, SDSVP transforms people from check writers to effective donors who build capacity and infrastructure in nonprofits. Money donated to nonprofits who work to prevent violence, feed the homeless, transition foster youth is wonderful but effective giving is about investing in organizations that can be a sustainable business and work to fix social problems for good.

Investing in Nonprofit Effectiveness

By San Diego Grantmakers

Investing in Nonprofit Effectiveness
Community Resource Center (CRC) empowers North County families in need with safety, stability, and a path to self-sufficiency. Yet CRC itself needed greater stability in the face of the economic downturn and dwindling funding. San Diego Social Venture Partners (SDSVP) ensured that CRC could survive and thrive by helping the group reframe its mission to focus on core strengths. Concurrent with completing its new strategic plan, CRC won $1.6 million in stimulus funds to help homeless and impoverished San Diegans.

SDSVP links the power of business with the passion of giving in order to help San Diego nonprofits be more effective. The organization was created in 2001, modeled after a Seattle group that applies venture capitalist ideas to philanthropy: investing in innovative nonprofits and supplying expertise to nurture those investments. The approach evolved into an international network of Social Venture Partners.

Matching Volunteer Skills to Organizational Needs
SDSVP is made up of over 140 people committed to being engaged givers. Partners pledge $5,000 per year for three years and leverage these funds by sharing their skills with “investee” nonprofits selected as part of SDSVP’s annual funding focus, which has included improving the environment, reducing hunger and homelessness, and supporting military families. SDSVP researches and identifies organizations that have the potential to achieve significant results.

SDSVP matches the needs of investees to the skills of volunteer Partners, deploying “Resource Teams” to work in areas like leadership development, fiscal management, strategic planning, technology, and public relations. Rachel Humphreys, founder of SDSVP investee organization La Cuna, notes that the “hands-on coaching and infrastructure support...has been more valuable than the funding we received.”

Strategic Donors and Funder Collaborations
SDSVP not only strengthens nonprofits, but also helps members become more strategic donors. Partners Ray and Gina Ellis joined to go beyond giving by participating in substantive ways, while David Lynn appreciates peer mentoring and learning. Bill Carpenter comments, “It seems more powerful to help charitable organizations launch lasting projects rather than just doling out money.” SDSVP connects Partners with their passions, catalyzing increased giving and volunteering.

SDSVP also fortifies philanthropic connections by seeking out “other funders who will pick up where we leave off,” says Alan Sorkin, longtime SDSVP leader and now president of SVP International. SDSVP has leveraged over $17 million by collaborating with grantmakers like The Legler Benbough Foundation and Union Bank. SDSVP members themselves often make additional grants: when SDSVP helped launch Junior Achievement BizTown,TM Partners assisted with the facility search and then contributed $3 million.

What Does This Mean About Philanthropy?
Some donors fund programs without considering how nonprofits will maintain them. San Diego Social Venture Partners uses a business-like approach to help organizations become successful and self-sustaining, because, as Sorkin points out, “A dollar given to an ineffective organization is a dollar wasted.” By engaging individuals to donate both money and know-how, and collaborating with other funders, SDSVP is working on multiple fronts to create positive change.

Learning About the Homeless

By Mark Fackler, SDSVP Partner and Board Chair

For people reading this blog entry that have not read my previous entries on the homeless, I encourage you to read Homeless Project Background. It will give you some background on my project. Briefly, I have made a commitment to give $20 each week to a homeless person and minimally ask their name and where they are from.

I have been meaning to summarize my thoughts on the homeless project since Dec 31st. After the year ended, it was strange for me not to have a $20 in my pocket at all times just in case I came upon a homeless person who I think would be interesting to talk to. I am saddened by the plight of the homeless. My views of the homeless have changed from a year ago and they also changed during the year long project. My conclusions follow.

I ended the year with $540 I did not give away. My goal was to give away $20 per week if an only if I could have a conversation with the recipient. So over the course of the year, I had twenty five conversations with the homeless. The homeless I spoke to had the following profile. They all live in La Jolla, California, an affluent area in San Diego County. They are the chronic homeless, men and women, and fifty years old or more. They are generally alcoholics. Some are mentally unstable, but stable enough that I did not feel threatened. They are nice, polite and gracious. They are filthy, weathered and wear pitiful clothes. They smell like alcohol at times. At other times, they smell nauseating.

And of course, they are real people. They are our brothers and sisters, our nephews and nieces. They are our moms and dads, our aunts and uncles. They are our children. They are our neighbors. They laugh. They cry. They bleed. They die. They are you and me.

Over the year as people have followed this project, some have told me that the homeless don’t deserve compassion or help. They tell me that the homeless are lazy. They are drunks and drug addicts. They tell me that to help a lazy drunk drug addict only perpetuates that lifestyle. I can certainly understand that point of view. Clearly there are many homeless who are alcoholics and drug addicts and some forms of help do perpetuate their lifestyle. However, what I found in my year long project is that these chronic homeless, these substance abusers are real people with life stories. So to not help them in inhumane. Please note here that there are many categories of homeless and I am dealing with just one category, the chronic homeless and substance abuser. An often misunderstood category are the homeless who just can’t afford rent for a few months and are evicted. These are often families.

Back to the chronic, substance abuse category, where we are faced with a dilemma. Help them and potentially perpetuate their behavior or don’t help them and loose a bit of our humanity.

How do we show our humanity and help them? I believe the best way is to support homeless is to support the charities that serve them. The homeless need professional help. They need medical attention, substance abuse counseling, job training, food, shelter, legal help and countless other services. If you are in San Diego, I would suggest you donate money to Community Resource Center or Corporation for Supportive Housing. San Diego Social Venture Partners (SDSVP) has vetted and supported both these non-profits. SDSVP considers them top notch organizations that help the homeless. Since I am Chairman of the Board of SDSVP, I decided to give my extra $540 to SDSVP. I like leveraging my charity donations and SDSVP has leveraged my gift for help for the homeless.

I would suggest two other things we can do for the homeless. If you feel safe, say hello to a homeless person. Again, if you feel safe, engage in a conversation. Ask them where they were born. Ask them what their favorite food is. Ask them about their family or where they went to high school. Help them feel like a human being. Be their friend just for the moment. That does not perpetuate an addictive behavior. That perpetuates love and kindness.

Check out Mark's Blog at http://facklerfamily.org

Kudos to Community Resource Center's Laurin Pause!

Community Resource Center’s Executive Director, Laurin Pause was recently selected by the County to receive their Public Health Champion Award for bringing collaborations and services to North County for the betterment of our community. Congrats, Laurin!

SDSVP Investees on Facebook

Keep abreast of what our Investees are doing to make San Diego a better place. Add Investee fan pages to your Facebook account. 1) Click on a link below, 2) login to Facebook and 3) click on the “Become a Fan” button.

• TKF
• ARTS
• ElderHelp
• Corporation for Supportive Housing
• Community Resource Center

...And don't forget to become a fan of San Diego Social Venture Partners, too!

Holiday Basket 2009 - Videos

SDSVP Partners joined forces with Investee, Community Resource Center to help families in need this holiday season. Take a look...



Partners pack food boxes



Community Resource Center's Executive Director, Laurin Pause explains what families will receive through the Holiday Basket Program

Community Resource Center Builds on Strengths

By Laurin Pause, Executive Director of CRC

What a difference a year makes!

With our first year with San Diego Social Venture Partners behind us and our operating infrastructure in place, Community Resource Center (CRC) ventured out to complete its strategic planning process and initiate goals to improve its Thrift Store revenue base and delivery of direct services to its clients. Little did we know that CRC would be facing one of its biggest challenges in 2008 with the advent of the economic crisis. After just one month of entering into a lease to relocate and expand its primary Thrift Store in Encinitas and dramatically increasing its food outreach programs, CRC experienced sharp declines in public donations and private foundations. CRC’s management was equipped to face these challenges head on and restructured many of its programs and staffing assignments which ultimately reduced annual operating costs by over $400,000.

At the same time, CRC was struggling with its strategic plan. A vision for the organization had been established the previous year yet the organization was unable to execute the vision. With the leadership of SDSVP Partner Sherri Neasham, along with the growing needs of our client base, CRC’s management had several “A-HA” moments and was able to define its strengths and a vision to define a model that assisted clients to a path of self- sufficiency using the organization’s strengths and tools that were already in existence. Even before its Strategic Outcome Plan was complete, CRC was incorporating these concepts into proposals which have already produced new funding and contract awards for the organization. With its mission and programs now aligned to provide “Safety, Stability and a Path to Self-Sufficiency”, CRC has established a strategic relationship with the County to deliver food programs and services to families in the North County and is currently poised to take the lead on securing funding for North County under the Economic Stimulus package.

Record Number of North County Families to Receive Shopping Carts Filled with Donated Food, Clothing, Blankets, Toys, and More

Community Resource Center’s 26th Annual Holiday Baskets Program is the largest comprehensive holiday distribution program of its kind in the county. Hundreds of volunteers will be transforming the Grandstands at the Del Mar Fairgrounds into a 20,000 square-foot shopping warehouse so that a record 1,200 low-income families can experience “free” holiday shopping this season on December 19, 20, and 21. Eligible North County families will fill their shopping carts or “baskets” with donated turkeys, staple foods, blankets, clothing, toys, and much more.

Economic challenges have slowed donations, but Community Resource Center (CRC) remains optimistic as calls come in from the community offering to help. “We have many of our veteran drive organizers on board, and we’ve had a number of new groups organizing new drives in November and December,” says Laurin Pause, CRC Executive Director. “We are particularly concerned about donations of food, jackets, and toys. The number of families in need of CRC social services has increased by 200% this year, and we are doing our best to keep up for programs like Holiday Baskets.” Holiday Baskets distributed 42 tons of donated food, more than 4,000 jackets, and 2,500 toys last December and organizers are counting on its big drives, along with several smaller ones, to help reach that goal again. “At the very least, we want to make sure the families most in need have food and warmth this holiday season,” says Pause. “Any help would be greatly appreciated.”

Over 200 groups are now collecting items for the program and include schools, Girl Scouts, Cub Scouts, Rotary Clubs, the Encinitas Sheriff’s Department, local businesses and government, Ecke Ranch, Lusardi Construction, churches, foundations, and much more. Community Resource Center supervises the deliveries, drop-offs, and distribution of items and the registration of families for the program.

More than 1,600 volunteers and staff will work around the clock to begin sorting over food, toys, outer wear and much more at the Del Mar Fairgrounds site starting on November 24 and continuing through December 21.

Those interested in donating, collecting, delivering, or distributing items for Holiday Baskets should contact Community Resource Center at 760-230-6305.

To learn more about CRC and Holiday Baskets, please go to www.crcncc.org

The program relies on the donation of items collected by over 200 groups in the community.

High Needs items for the Holiday Baskets program currently include the following:
- Non-perishable Food (canned or boxed)
- Jackets & Coats, all sizes (New or gently used)
- New Toys & Teen Gifts (unwrapped)

Drop-Off Centers for Holiday Baskets
- CRC Thrift Store, 111 “C” Street, in Encinitas (9-5 daily)
- Coldwell Banker Encinitas, 740 Garden View Court #100, in Encinitas (during business hours)

Preferred Donation Deadline: December 12th, but items will be accepted through December 19th. Those interested in donating or collecting items for Holiday Baskets should contact Community Resource Center at 760-230-6305. For online donations, volunteer opportunities, and other information, please go to www.crcncc.org

SDSVP Resource Teams

Last year, San Diego Social Venture Partners established Resource Teams to provide more essential services and resources to its Investees and other San Diego nonprofit organizations. Staffed with SDSVP Partners, these teams address six critical areas: Strategic Planning, Board Development, Finance, Public Relations/Marketing, Information Technology, and Fund Development. Here are some examples from Strategic Planning, Board Development and Information Technology.

The Strategic Planning Resource Team combines leading-edge nonprofit planning practices with business outcomes, making Investees more competitive within their sectors and the wider nonprofit community and better-positioned to succeed.

Volunteer San Diego (VSD) has met real community needs with SDSVP’s help. VSD partnered with SDSVP on a collection drive for fire victims, received business plan coaching for the Social Enterprise Academy, and worked with the Strategic Planning Resource Team.

“Thanks to SDSVP, Volunteer San Diego is realizing more revenue from social enterprise programs and has a dynamic strategic plan that will help us increase the impact and value of volunteers throughout the county in coming years. I am particularly grateful for SDSVP Partner Sherri Neasham’s support and enlightened questioning and thinking. Never heavy-handed, she has allowed the plan to emerge from community, SDSVP, board, and staff participation, resulting in initiatives that everyone owns and finds inspiring. Sherri is one of VSD’s best ambassadors and a great example of the power of volunteers and SDSVP.”
Sue Carter, Executive Director, Volunteer San Diego

The Board Development Resource Team has supported many of our Investees, including several agencies outside SDSVP’s portfolio. This Team has helped organizations clarify roles and responsibilities, hire new staff, refocus missions, review bylaws, and re-energize their Boards.

“The Board Resource Team offered expertise to Just in Time for Foster Youth. Not only did the organization learn about developing an ideal board, it also participated in a comprehensive brainstorming session that imparted valuable business practices and highlighted the need to invest in infrastructure in order to grow. Just In Time learned the importance of hiring skilled staff to work on day-to-day operations, allowing board members to act strategically on the big picture, and recruiting talented, passionate, committed board members.”
Louarn Sorkin, SDSVP Partner/Just in Time Board Member

The Information Technology Resource Team has installed entire networks, built databases, created RFPs for consultants and managed the IT implementation process.

“Community Resource Center’s involvement with the Resource Teams has had a major impact in several ways on the organization’s infrastructure. The improved Information Technology support reduced annual expenses by two-thirds and enhanced operational capabilities of all staff. In addition, the Teams dramatically improved public relations through an enhanced website and marketing tools and utilized the Board Development Resource Team to enhance their Board and corporate structure.”
Laurin Pause, Executive Director, Community Resource Center

Resource Team Chairs

Board Development & Governance
Joyce Ross

Finance & Accounting
Lenore Hawkins

Fund Development
Barbara Bry

Information Technology
Eric Busboom

Marketing/Public Relations
Peter Cohen

Strategic Planning
Duane Trombly

Community Resource Center

Morgan Day and Bob Papera, Lead Partners

“The impact of SDSVP on day-to-day operations at Community Resource Center is evident across the organization. From board development to improving infrastructure, SDSVP support has increased our productivity and enhanced our ability to provide services to our clients.”

Laurin Pause, Executive Director

Community Resource Center (CRC) unveiled its Food Stamp Outreach program, funded by SDSVP, in the fall of 2007. Since that time, over 1,150 Food Stamp Outreach materials have been distributed to families, over 200 applications have been issued to qualified individuals or families, and over 60 households have received application assistance. The North County welfare office has already documented an increase in the number of families receiving food stamp assistance.

With SDSVP support, CRC has not only realigned its food services to a more outcome-based model, but has also embarked on a major organizational transformation—including board education and expansion, improved information technology systems, and development of capable senior leadership within the agency. These enhancements have positively impacted the growth of CRC’s Holiday Baskets program, the largest holiday distribution of its kind in the county. In 2007, Holiday Baskets served a record 1,200 low-income households.

In addition, SDSVP’s contacts within the business community have provided CRC the opportunity to enhance its public image and marketing ability through the creation of a new website. The collateral benefits have included increased public awareness of and financial support for their fund-raising events and programs. CRC has clearly gained from this increased exposure.

Community Resource Center includes SDSVP in Annual Report

From CRC’s Annual Report

In 2007, CRC was selected by SDSVP to receive over $100,000 in grants over the next three years to launch our newest initiative, the Food Stamp Assistance Program, which provides outreach and application assistance to low-income residents in the North County area. With SDSVP’s support, CRC is focusing its attention on the Food Stamp Program to augment our existing food programs. SDSVP has also been guiding CRC through this pivotal point in our growth by providing expertise on strategic planning, fundraising, board education and development, information technology, and general business.

To view the full Annual Report, click here

To learn more about CRC, please join them for their “Moonlight on the Promenade” on September 27, 2008 at the Del Mar Fairgrounds Mission Tower Ballroom. It will be a memorable evening that will include an auction, dinner, live music, honoree tribute, and dancing. For event information, please visit www.crcncc.org or call Suzie Colby: (760) 230-6305.