1 1 poverty’s demise.org darryl penrice executive director / system designer...
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Poverty’s Demise .Org
Darryl PenriceExecutive Director / System [email protected]
http://www.povertysdemise.org/
40% Stage One Design“the nucleus”
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ProblemDefinition of Poverty:
“Poverty-the lack of subsistence level economic buying power”
Within the U.S. 13 million children annually spend part or all of the year living in poverty.
With less than 5% of the world’s population, the U.S. consumes over 25% of the entire world’s natural resources.
The fundamental problem of American child poverty is not access to
resources
The problem is ensuring that children are connected to a wage-earner, guardian, and/or institution that has enough economic buying power to provide sufficient levels of social services and products to fully support a child’s healthy development.
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PDO Solution:virtually adopt a couple of children
Recipient
Recipient
Donor / Recipient Screening System, Communication Filter, Donation Converter,
& Donation Guidance System
$200 Cash Donation
$100 E-gift certificate for food
$100 E-gift certificate for food
PDO will feature donor-to-recipient, adult peer-to-peer, & child peer-to-
peer chat networks
PDO Double Blind Policy allows donors & recipients to maintain
individual privacyE-Gift Certificates are uniquely
coded to prevent abuse of donations
Total Transaction Time Required: Less Than 20 Minutes
PDO Charitable Transaction Platform
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PDO Solution:virtually adopt -MANY- children
New York$1,000,000
Chicago$1,000,000
Donor / Recipient Screening System, Communication Filter, Donation Converter,
& Donation Guidance System$4,000,000
Cash Donation
2,500 E-gift certificates for RENT ($400 per)
5,000 E-gift certificates for Gas Bills ($200 per)
Bangladesh$1,000,000
South Africa$1,000,000
25,000 E-gift certificates for Food ($40 per)
25,000 E-gift certificates for Food ($40 per)
Total Transaction Time Required: Less than 20 Minutes
PDO Charitable Transaction Platform
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Business ModelingDonor Portal Rev:
interest earnings -support acct-good deeds acct
market activityearnings-online ads-mp3 downloads-cool goodies (gifts)-utilities
Recipient Portal Rev:
interest earnings -savings acct-tuition acct
-good deeds acctdonations
Social Services & Products Electronic Gift Certificates
(food, shelter, etc.)
$0 transaction feesDonors enjoy 1 to 1 donation recipient ratio
-corporate sponsored in early years
-maintained through operating surplus in later years
PDO’s open-source dev strategy keeps overheads low enough for PDO interests & market activity earnings to outweigh PDO’s annual operation cost, making PDO a 100% self-sustainable nonprofit organizations.
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PDO Potential ImpactAccording to the U.S. Census Bureau, a single child could be lifted out of poverty if his/her household receives an additional $6700/yr of income with which to purchase sufficient levels of social services and products.
If all 13 million American children living in poverty has PDO Recipient Profiles as of today, PDO’s unique design makes the following financial transactions possible:
Bill Gates
President Obama
Social Services & Products Electronic Gift Certificates
(food, shelter, etc.)
Makes tax deductible $1.3 Billion donation, rough 0.03% of his current wealth
Purchase a $100 bag of groceries for all 13
million poor children
Allocates $84 Billion American tax dollars be spent to help American
children
Completely raise 13 million American
children out of poverty for one year
Total Transaction Time Required: Less than 20 Minutes
PDO is 100% turn-key technology, and therefore can spread worldwide very quickly
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Marketing and OutreachPartnerships
Contact people with children receiving government and/or nonprofit public
assistance
Ex. Michael Jordan donates $1 MM USD
to pay 3 months of gas bills for poor Chicago area children
Celebrity Endorsements
PDO Screening & Registration Drives
Poor Schools = Poor childrenfull-time & volunteer staff onsiteeconomic needs documentation
PDO Awareness Campaign
Offline Town Hall meetingsOnline social networking / blogs
Grassroots / Viral Tactics
10 yr donor profile goal 24 million
(1/8th of PayPal growth after 10 yrs)NOTE: TRANSACTION VOLUME not donor profiles
will make PDO successful
10 yr recipient profile goal 6.5 million
(Facebook has 150 million , user profiles in just 5 years)
Recipient Recruiting Strategy
Donor Recruiting Strategy
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Competitive Advantage
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Market Incumbents Weakness
“Middle-man” Lacks transparency Not truly P2P Loans are not tax deductible
“Middle-man” Lacks transparency Only connects donors to other
nonprofits
“Middle-man” Lacks transparency Only connects donors to other
nonprofits
“Middle-man” Lacks transparency Only connects donors to other
nonprofits
PDO’s Competitive Adv. PDO connects donors directly
to recipient child
PDO allow recipients of donation to participate in allocating the funds they receive through the Recipient Portal
PDO offers 100% transparency of financial data through the “Public Eye” function
PDO’s nonprofit and open-source structure creates barriers to entry from for-profit companies
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Financial Plan: key points
• 10 Year Financial Projection Period
• Mp3 downloads & Cool Goodies (Gifts) revenues are calculated as per capita estimates of PDO’s donor & recipient user population
• All donors receive “support accounts”, only 1/3rd of donors have “good deeds accounts” (All interest earnings support PDO operations cost)
• All poor children receive “savings & tuition accounts”, only half of recipients have “good deeds accounts” (PDO shares the interest earnings with poor children)
• Online Recipient Screening & Registration System allows for faster creation of PDO Recipient Accounts beginning in Year 3
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Financial Plan: yearly forecast
Note: PDO maintains nonprofit status, despite operating surpluses, by purchasing social services & products gift certificates on behalf of poor children
Year Funds Needed Children Helped Year Self –SustainableNonprofit Status
(Operational Surpluses Below)
Children Helped
Year 1 $2.8 M 0 Year 6 $0.7 M 825,633
Year 2 $3.9 M 2,063 Year 7 $1.8 M 1,653,070
Year 3 $3.8 M 22,077 Year 8 $3.2 M 2,965,744
Year 4 $5.9 M 68,728 Year 9 $4.9 M 4,987,729
Year 5 $5.2 M 401,050 Year 10 $6 M 6,490,865
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Status and timeline
6 months
Incubation Phase
• 260k Funding Goal
• Core Team Recruiting
• Basic infrastructure
• Define protocols
• Grassroots Campaign
Pilot Program
• $5.1 MM Funding Goal
• Technical Implementation
• Knowledge base creation
• Donor/Recipient recruiting
• 4 item shopping cart
National Rollout of Services
• $10.2 MM Funding Goal
• HQ + 2 branch offices
• Online recipient registration
• Reaching Self-Sustainability
• complete shopping cart functionality
2 yearsPDO becomes 100%
self-sustainable nonprofit by Q1 of Year 6
3 years
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Leadership
Chairman / Executive Director- Darryl Penrice14+ yrs. IT experience - 4 Internet companies (Wunderground.com, Jstor.org, SRCD.org, Sparkice.com)- Prior Internet start-up experience (Founder WSP.com, a broadband digital content generator/event
management company, based in Beijing, China )Chief Development Officer- Anne Clarke4+ yrs. Grant Writing & Budget Management experience-School Chancellor over seeing an annual $3 MM USD budget at Emmanuel Primary School (UK)-Assisted with $10 MM USD school expansion, doubling enrollment Partnerships & Alliances Officer- Philippa Kelly30+ yrs experience in International Business & Intergovernmental Policy Development- EU-China Trade Project, Senior Advisor- Australian Embassy, Beijing Department of Foreign Affairs and Trade, Australia
Chief Technology Officer / President- Darius Studdard7+ yrs. IT experience- Sr. Staff Engineer Software Engineer, Motorola- Software Engineer, Symbol technologies
Chief Financial Officer / Treasurer- Mikhail Schnayder4+ yrs. Financial Industry Experience- Merrill Lynch (BOA), Credit Derivatives Documentation, and Citigroup