Transcript How PDO helps children

Poverty’s Demise .Org
http://www.povertysdemise.org/
40% Stage One Design
“the nucleus”
Darryl Penrice
Executive Director / System Designer
[email protected]
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Problem
Definition of Poverty:
“Poverty-the lack of subsistence level economic buying power”
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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.
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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
$100 E-gift
certificate for food
PDO Charitable Transaction Platform
$200 Cash
Donation
Donor / Recipient Screening System,
Communication Filter, Donation Converter,
& Donation Guidance System
PDO Double Blind Policy allows
donors & recipients to maintain
individual privacy
$100 E-gift
certificate for food
E-Gift Certificates are uniquely
coded to prevent abuse of
donations
PDO will feature donor-to-recipient,
adult peer-to-peer, & child peer-topeer chat networks
Total Transaction Time Required: Less Than 20 Minutes
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PDO Solution:
virtually adopt -MANY- children
2,500 E-gift
certificates for
RENT ($400 per)
New York
$1,000,000
Chicago
$1,000,000
PDO Charitable Transaction Platform
$4,000,000
Cash Donation
Donor / Recipient Screening System,
Communication Filter, Donation Converter,
& Donation Guidance System
25,000 E-gift
certificates for
Food ($40 per)
5,000 E-gift
certificates for
Gas Bills ($200 per)
Bangladesh
$1,000,000
South Africa
$1,000,000
Total Transaction Time Required: Less than 20 Minutes
25,000 E-gift
certificates for
Food ($40 per)
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Business Modeling
Recipient Portal Rev:
Donor Portal Rev:
interest earnings
-support acct
-good deeds acct
market activity
earnings
-online ads
-mp3 downloads
-cool goodies (gifts)
-utilities
interest earnings
-savings acct
-tuition acct
-good deeds acct
donations
Social Services & Products Electronic
Gift Certificates
(food, shelter, etc.)
$0 transaction fees
Donors 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 Impact
According 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:
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
Total Transaction Time Required:
Less than 20 Minutes
Bill Gates
President Obama
Allocates $84 Billion
American tax dollars be
spent to help American
children
Social Services & Products
Electronic Gift Certificates
(food, shelter, etc.)
Completely raise
13 million American
children out of
poverty for one year
PDO is 100% turn-key technology, and therefore can spread
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worldwide very quickly
Marketing and Outreach
PDO Screening & Registration
Drives
Partnerships
10 yr recipient profile goal 6.5 million
(Facebook has 150 million , user profiles in
just 5 years)
Contact people with children receiving
government and/or nonprofit public
Poor Schools = Poor children
assistance
full-time & volunteer staff onsite
economic needs documentation
Recipient Recruiting
Strategy
PDO Awareness Campaign
10 yr donor profile goal 24 million
Celebrity Endorsements
(1/8th of PayPal growth after 10 yrs)
NOTE: TRANSACTION VOLUME not donor profiles
will make PDO successful
Ex. Michael Jordan donates
$1 MM USD
to pay 3 months of gas bills
for poor Chicago area children
Offline Town Hall meetings
Online social networking / blogs
Grassroots / Viral Tactics
Donor Recruiting
Strategy
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Competitive Advantage
Market Incumbents
Weakness
 “Middle-man”
 Lacks transparency
 Only connects donors to other
nonprofits
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“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
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 opensource structure creates
barriers to entry from forprofit 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
Year
Funds Needed
Children Helped
Year
Self –Sustainable
Nonprofit 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
Note: PDO maintains nonprofit status, despite operating surpluses, by purchasing social
services & products gift certificates on behalf of poor children
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Status and timeline
6 months
Incubation Phase
2 years
3 years
PDO becomes 100%
self-sustainable
nonprofit by
Q1 of Year 6
Pilot Program
National Rollout of Services
• 260k Funding Goal
• $5.1 MM Funding Goal
• $10.2 MM Funding Goal
• Core Team Recruiting
• Technical
Implementation
• HQ + 2 branch offices
• Basic infrastructure
• Define protocols
• Grassroots Campaign
• Knowledge base
creation
• Donor/Recipient
recruiting
• Online recipient registration
• Reaching Self-Sustainability
• complete shopping cart
functionality
• 4 item shopping cart
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Leadership
Chairman / Executive Director
- Darryl Penrice
14+ 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 Clarke
4+ 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 Kelly
30+ 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 Studdard
7+ yrs. IT experience
- Sr. Staff Engineer Software Engineer, Motorola
- Software Engineer, Symbol technologies
Chief Financial Officer / Treasurer
- Mikhail Schnayder
4+ yrs. Financial Industry Experience
- Merrill Lynch (BOA), Credit Derivatives Documentation, and Citigroup
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