Gahanna, Ohio. For Harvey Jones of the Gahanna American Legion Post 797, giving to the community is his life purpose. He has found a great need for it even during these recessionary times.
Harvey Jones is the manager of the Gahanna Post and has participated in countless events within the community, helping out wherever and whenever he has the opportunity, providing support for veterans services throughout the entire Central Ohio area.
The Legion has carried out operations for almost 7 years at the leisure of the VFW Post 4719 where is currently resides and relies on donations and the support from generous individuals and businesses.
"Philanthropy doesn't just mean giving away money," says Hervey. "It can be giving away just about anything that can be used by those in need. Anyone can be a philanthropist.”
As a way of enforcing his beliefs that giving comes from the heart, and not always the pocket, the Legion has opened up its doors to even greater in-kind donations this year. As part of a partnership with the Ormita In-Kind Donations Programme they will be able to begin accepting virtually any donation offered to them and, in turn, be able to convert them into products or services they need to further their mission.
“Unsold production time, empty rooms, unfilled advertising space, vacant appointment time, depreciating inventory, mislabeled stock, end-of-line items, last seasons merchandise, entry tickets or idle assets account for nearly 9.6 trillion dollars of “dead capital” which goes to waste every day,” says Daniel Evans, Director of Ormita. “By donating even a small percentage of their capacity, a business can receive huge tax-deductions, create more brand awareness and improve staff moral – all things that are essential during a recession.”
Like Harvey Jones, Daniel Evans also knows a thing or two about in-kind donations. Shortly after the 2004 Boxing-Day Tsunami he convinced camping equipment manufacturer Arthur Ellis, St Johns Ambulance of New Zealand, Contamination Control, Korean Air and Air Seychelles to provide nearly $250,000 worth of camping, water purification equipment, first-aid materials and freight to the people of the Maldives and Seychelles. In return for these donations, he says, the businesses received press coverage and improved their standing as socially responsible corporate citizens.
“Whenever I fly I now try and take Korean Air because I know they care about people,” says Mr. Evans. “At the end of the day, the freight cost them very little but improved their brand loyalty.”
The problem is that most charities do not find in-kind donations easy to handle, and donations of time or capacity such as that provided by Korean Air are not, historically, tax deductible.
In mid-2008, Daniel Evans, together with business partners across 7 countries, established Ormita to counteract the worst effects of the recession on those most in need, and provide a solution to the problem of managing and distributing in-kind donations.
Ormita acts as a closed “marketplace”
The benefit of Ormita for donors is several-fold:
Donations are typically only tax-deductible at “manufacture value”, instead of full retail-value. This is because, if a donated product is used directly by the recipient, the IRS finds it hard to substantiate what a “fair market price” is. Using the Ormita platform, a charity can list an “offered” product at retail price and exchange it, on a non-cash basis, with another non-profit organisation. Transactions are recorded in “barter dollars” with one barter dollar being equivalent to one US Dollar. This allows a value to be placed upon the offered goods, deductions for gift vouchers of time or space to become tax-deductible in some instances, and, most importantly, provides the charities with a way in which to exchange goods or services that they may otherwise have had to decline.
“We would encourage any business owner to consider the welfare of their local community by becoming a philanthropist,”
Businesses donating in-kind goods or services to the Gahanna American Legion Post 797 will be able to benefit by recovering value from their idle capacity, surplus stock and unsold time. Additional to this are the hidden benefits of donating. “Businesses reduce floor space and disposal costs, keep their excess product away from harmful discounting marketplaces, fill up their employees time and build a sense of community: all of which translates into goodwill with staff, suppliers, shareholders and customers,” says Daniel Evans.
Ormita provides its service free of charge to non-profit organisations and their donors and has also enrolled several charities including the micro-finance organisation, Foundation for Development Cooperation, and the African literacy project, Project Educate Africa Inc as foundation partners.
For company executives thinking about giving in kind, Daniel suggests they look at their excess capacity. Trucks that are not used 24/7 could be utilized by nonprofits on weekends to move equipment, for example. "And a lot of companies have unused meeting rooms that can be used by nonprofits for board meetings or workshops," he says.
Businesses may also have down times which they could use by volunteering their time and talents and, in turn, may generate more cash customers as they gain greater exposure in the community. “Best of all – it doesn’t cost people to donate but they gain so much,” says Mr Jones.
HOW TO DONATE
Donations of cash or in-kind offerings can be made by contacting the Gahanna American Legion Post 797 on (614) 837 3931 or by emailing harv.jones@yahoo.com.
Non-Profit organisations and potential donors can also find out more about the benefits of becoming involved in the Ormita In-Kind Donations Programme by going to: www.ormita.com/
