|Trading name||Just Giving|
|Founder(s)||Zarine Kharas (CEO)
Anne-Marie Huby (Managing Director)
|Net income||£1.5m (2011)|
In 2000, Zarine Kharas and Anne-Marie Huby founded JustGiving, a company to provide online tools and processing services to enable the collection of charitable donations. The company's website allowed people to donate to charities registered with the site with a credit or debit card online, and offered people doing sponsored events the chance to build their own webpage to collect sponsorship from supporters.
2006 was JustGiving's first profitable year.
In June 2011, JustGiving claimed that it had provided its service for more than 9,000 UK registered charities and 1.9 million fundraising pages for users, collecting over £770 million since launch. The cumulative total passed £1 billion in March 2012.
Gift Aid processing
In the UK, donations by individuals are treated as being given after the deduction of income tax at the basic rate (20% in 2011), and charities can reclaim the basic rate income tax paid on the gift from HMRC via Gift Aid.
Charities that register on the JustGiving site complete the necessary legal forms to authorize JustGiving to request the tax from HMRC on the charities' behalf. JustGiving then automates the reclaiming of Gift Aid on individual donations made through its website, and passes this on to the charities. 85% of donations through the site are eligible for Gift Aid tax relief.
JustGiving charges a 5% fee on donations to cover the cost of running the business. As a for-profit organisation this fee may be used in any way the company deems necessary. The fee does not include card processing fees, which are deducted additionally.
For donations that are eligible for Gift Aid, the 5% is charged on the reclaimed tax as well as on the original donation, and the fees are deducted only once the claim has been settled by HMRC.
Additionally, charities have to be registered with JustGiving to receive donations. Charity registration has required a monthly subscription fee of £15 since 1 April 2002, regardless of whether any donations are made. Prior to that date, charities could register with JustGiving for free.
In May 2011, JustGiving launched JustTextGiving in conjunction with Vodafone, which allows mobile phone user to donate between £1 and £10 to a charity using a SMS message, which is paid for by the donor through reverse SMS billing. Vodafone invested £5 million to ensure that charities do not incur any set-up costs, or commissions deducted from donations, ensuring that they receive 100% of donations.
In April 2012, Claire Squires, who collapsed and died whist running the London Marathon, posthumously raised in excess of £925,000 for Samaritans through JustGiving (without including Gift Aid). JustGiving were to receive £26,000 but agreed to waive their 5% administration fee and donate it to Samaritans.
In 2004, JustGiving was recognized in the 2004 Charity Times annual Awards in their Fundraising & IT Services category. Charity Times claimed the company had “transformed the face of donating in the UK”.
Charities Aid Foundation (CAF) reported that JustGiving "was enabling charities to tap Britain's youth with viral marketing and sophisticated processing technology for online donations." They said that the main beneficiaries have been smaller charities, which find donation tracking and fundraising costly.
In 2008, The Guardian reported Kharas as acknowledging that "the commission charged by justgiving.com is controversial". In justifying their 5% fee, JustGiving states that profits are reinvested in new tools.
JustGiving is the trading name of Giving Ltd in the UK and Justgiving Inc. in the US.
ReachOut Online Limited was incorporated in November 1999, renamed as ClickForAction.com Limited in March 2000, and renamed again as Giving.com Limited in May 2000.
ClickForAction PLC was incorporated in April 2000, and renamed as Giving Ltd in May 2000.
Giving.Com Limited's sole shareholder is Giving Ltd.
First round capital included the venture capital firm Vesta Capital Advisors.
Both Vesta Group Limited and Pollcast APS own at least 15%.
In 2010 the New York Times reported that FirstGiving.com was “among the best known” online fund-raising sites.
As at 31 December 2010, as per accounts filed on 30 September 2011, Giving Limited had cash on hand of £5,924,865.
|2008||£||£||3,000  – 5,000 |
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