When you succeed, will you give anything back to society?
(We hope the answer is yes!)
Running a successful company today means creating social value as well as commercial value.
However, we know that startups often lack the time, resources, and support to give back to society.
The Founders Pledge is the solution.
We are helping the smartest people in business to make a difference even before they can write big cheques.
Designed for startups that haven’t begun to consider an exit, from Seed to Series C.
Pledging takes 5 minutes and doesn’t require you to select the charity recipients today.
Pledge now, give later: you don’t need to wait until you’ve ‘cashed out’ to make a difference.
As a founder, I know time and money can be in short supply. The Founders Pledge allows me to commit to doing good before I have the resources to do so.
The Founders Pledge allows tech founders to commit to “give back” when they may be worth a lot on paper but very little (if anything!) in cash.
This is the easiest way to demonstrate your commitment to social responsibility and leverage your success for the greater good.
I made the Founders Pledge because I want to raise awareness about the responsibility of entrepreneurs to give where there is need, recognising the tremendous opportunities given to us
Simple, flexible and tax-efficient.
The Founders Pledge is personal commitment made on an individual basis that doesn’t require board approval.
Select recipients at any point, anywhere in the world.
Eligible for tax relief and Gift Aid
We operate a 100% model.
Your entire donation goes to the social causes you nominate.
How it works
The Founders Pledge is social impact made simple and takes less than 5 minutes:
Download and complete the Pledge Agreement indicating your level of commitment.
Select the charitable organisation(s) you intend to support if you know who they are; no need to decide today if you’re unsure.
Return the signed and witnessed agreement to us via email. That’s it!
Now is our time to start to do more.
The Fine Print
- The Founders Pledge is a personal commitment, made on an individual basis.
- The Pledge Agreement is a legal document in the form of a deed.
- The pledge is not based on company equity and it doesn’t utilise a warrant.
- The pledge is not on the cap table and it doesn’t affect voting rights.
- The Founders Pledge is fulfilled with cash, shares, or other securities from a pledgors personal proceeds following an exit event (sale, acquisition, flotation, or personal liquidity event).
- The pledge is made directly to Founders For Good. Upon an exit your gift will be deposited into our Donor Advised Fund, which is administered by Rhone with banking provided by Pictet.
- We will distribute your donation in accordance with your wishes and will never publicly disclose the recipients or value of your gift without your permission.
- There is no commission. There are no processing fees. Our 100% model means your money is having maximum impact.
- Every exit is different and we are happy to work with you to ensure the fulfillment of your pledge aligns with your specific circumstances, whether it is a structured exit, partial exit, or something in between.
- You can select individual non-profits, registered charities, charitable organisations, or community/corporate foundations anywhere in the world to receive your contribution.
- We can help you to identify, vet, and support best-in-class charitable organisations.
- You do not need to select recipients at the time of the pledge, but if you decide to do so you can change your designation at any point and as often as you like.
- If you’d prefer not to utilise the FFFG Donor Advised Fund and gift your proceeds directly to a charity or charities, that’s OK too.
- In this case, you will need to select the recipients today and will not be able to change them. Please click here to request the direct pledge agreement.
- The Founders Pledge is managed and administered by Founders Forum For Good (FFFG), a not-for-profit company limited by guarantee, which is registered in England and Wales.
- Our trustees work with donors to facilitate their proposed giving, and make donations based on recommendations having independently evaluated their suitability.
- Giving through our Donor Advised Fund has all the benefits of setting up your own trust without the cost or administrative burden. This allows donors to direct their giving in a more structured way.
- FFFG is able to hold donations made following a business exit if the donor is as yet uncertain as to what their chosen charitable causes might be.
- For donors paying UK income tax or capital gains tax, donations to UK registered charities will be tax-efficient and eligible for the government Gift Aid scheme.
- Gift Aid effectively increases the value of a gift by 25% provided sufficient UK tax has been paid during the year to cover that.
- Any gifts of a capital nature made to UK registered charities are exempt from capital gains tax. However, you should be aware that the precise tax treatment of any gift will vary according to its composition, which for business exits, will depend entirely on what has been negotiated as part of that commercial process.
- Donors should seek independent tax advice to assess the precise tax implications of their giving.
- A brief outline of the tax position can be found on HMRC's website.