Steve Case on why hybrid organizations are attractive

Steve and Jean Case are on stage here at the GPF. Steve's comment:

"In commercial sector, you write a check and expect to get that money “and then some” back. In nonprofit sector, you write a check and you’re going to get nothing back and be asked to give more."

2 comments:

Eugene Chan said...

There are *so* many things lacking with that quote that I can't imagine that is how Mr. Case actually feels about the nonprofit sector.

It also doesn't necessarily explain why a "hybrid" organization (Is that, like, a made up term?) would be any better at forecasting ROI.

A VC colleague who sits on a venture philanthropy board has a favorite saying when he introduces himself: "I fund not-for-profits too, they just happen to be startups in the technology industry."

Holden said...

Why is the analogy always between giving and investing? Giving is much more like consuming.

When you buy a meal at a fancy restaurant, you eat it, bam, it's gone. You don't "get your original investment back." You haven't bought something "self-sustaining." Rather, you used your money for what it's made for: you exchanged it for something you want. Giving better lives to others is another thing you can want.