Saturday blog posts aren't standard for me, but we're blessed in this down economy to be very, very busy with repeat clients and referrals.  So I'm in the office trying to get caught up.  Since it's not a standard blogging day, I'm going to avoid the standard topics and blog about  sharing and growing one's blessings through crowdfunding.

The power of the Internet allows people to use small amounts of money to make big differences for themselves and others through alliances with others who use small amounts of money to do the same. 

First, since you're savvy enough to be reading a blog you probably already know about donations to your favorite charity through Paypal.  I like to do this for Roslin Orphanage in West Timor, an organization I heard about through CNN's Heroes of the Year.  Without the Internet, it would be much more difficult and inefficient for me to (a) learn about and monitor a charity half a world away and (b) send that charity small amounts of support.  

On the local front, I appreciate  the ease of using GivingFirst, an online resource about Denver area charities that let's me make a relatively small one-time or monthly donation via credit card and split it up among several charities.   I learned about new charities through this site and can support them for as little as $10 a month without having most of that eaten up in credit card fees.

But that's not really crowdfunding.  My definition of crowdfunding is a large number of people providing relatively small amounts to equal a large amount that supports a single project.  One of the most successful examples of crowdfunding is Kiva, which helps to fund microfinance loans throughout the world.  Kiva's funding comes from donors who can "buy in" to a loan for as little as $25. 

I was also excited to learn about Modest Needs, an organization that allows people to donate very small amounts (as little as $5) to help someone with a one-time financial need.  I couldn't ignore the call of Modest Needs after I read an interview with its founder who shared this insight:  The people who had given him a hand up financially when he most needed "weren't rich. They were just nice."  I think we've all been on the receiving end of those kinds of people, and Modest Needs makes it much easier to be on the giving end. 

But crowdfunding doesn't have to be about selfless giving.  Lending Club uses the crowdfunding concept to allow people to invest $25 or more in loans to real people.  The rates of return on Lending Club are better than I can get with almost any other investment of that size.  Sure, the risks are greater as well, but given the small amount involved from each lender I can make a little money and help out someone with a good idea. 

All in all, I like the control I can get by giving and investing through crowdfunding and the Internet.  I'm doing well and doing good.  Now back to doing the same for my clients.