UK tech entrepreneurs to give 2% of proceeds to charity following an exit
Founders from DueDil, Zopa and Huddle among 53 names signed up to Founders Pledge with £18.5m committed so far
Leading entrepreneurs behind some of the UK’s fastest growing tech and digital start-ups have committed to give a minimum 2% of their personal proceeds to social causes following an exit.
Damian Kimmelman of DueDil and the founders of Huddle and Zopa are among 53 names that have signed The Founders Pledge – an initiative set up by Founders Forum for Good to “bring about global change for good” – with an estimated £18.5m committed so far.
The co-founder of Tapdaq, Ted Nash, and the founders of Swifkey and Farfetch have also pledged to donate a percentage of their proceeds to charity on the sale of their businesses.
The Founders Forum for Good believes the scheme has the potential of raising £22m a year for the social sector on the back of figures that show there were 155 UK exits between 2010 and 2014 raising an average of £183m each.
David Goldberg, director of Founders Forum For Good, said of the initiative: “Over the last 10 years, the tech and digital sector has grown an inspiring group of founders that are building game-changing businesses.
“Through the Founders Pledge, this new generation of entrepreneurs has a mechanism to give back apply their disruptive mindset to be a change for good. The initial level of commitment has already been fantastic and we are looking forward to seeing how this drive for change grows and expands in to a global movement.”
On signing the pledge, DueDil CEO and co-founder, Kimmelman, commented:
“I strongly believe that philanthropy is not just about writing a cheque to charities, just as venture capital or private equity is not about writing cheques to start-ups.It requires a deeper level of engagement.
“Although start-up founders are typically not in the position to contribute financially to charities, by pledging a portion of their personal proceeds to social causes, they start considering it from an early stage.”