The Shuru business model is a simple one. After our initial seed capital gets things started, our operations and services to non-profit and charity groups will generate revenue.

While statistics vary between organizations and sectors, it’s safe to say that non-profits spend huge sums of money just to raise money. Fundraising efficiency (briefly: the cost to raise 1$) is frequently as high as $0.35 [citation required]. For each dollar an organization raises, they spend $0.35 just to cover the cost of bringing in that dollar.

We can do better. If organizations (or individuals) choose to have cause actions that request money from participants, Shuru takes a cut. The high volumes and viral structure of Shuru mean that we can offer much better fund raising efficiency. The exact numbers will be determined on a ‘per cause’ basis, and those asking for money will be expected to cover real costs associated with their campaigns, and to share in paying general business costs.

Campaigns that do not solicit money from participants will only be charged a negligible service fee ($5 – $20), also linked to costs.

Advertising for profit?

I have yet to come to a conclusion from the numbers, but it seems that if the viral numbers are extrapolated, it would be profitable for the cause-creating organization to advertise with links to the Shuru cause page. If bringing in one new user from web advertising causes a loss for that user, those losses can be recouped in the downstream or future generations started by that user. Yes?



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