Launching Pay-In-Advance Software Raises $ 1.3 Million
A Tauranga-based software company creating a new way for consumers to donate to charity has raised more than $ 1.3 million for business expansion.
GoGenerosity is a software platform that allows customers to âpay it forwardâ by donating to charity through a small business.
At checkout, customers choose to pay a small additional fee on top of the price of their purchase. This extra money is collected by the business and converted into goods or services which are then donated to charity.
GoGenerosity co-founder Rohan McCloskey developed the concept after seeing the impact of the Covid-19 lockdown on Tauranga’s business community.
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McCloskey knew people wanted to support their community, but he also knew that many had been hit hard by Covid-19 and did not feel able to do so.
So he and his co-founder Aidan Lett created a digital addition to a point-of-sale system that collected donations from customers and allowed small businesses to use those donations to support local charities.
McCloskey described GoGenerosity as a software system that made charity work differently.
âMost people, when asked for money at the point of sale, assume that the money is just sent to charity. That’s the main point of difference for what we do, the money doesn’t leave the company, âsaid McCloskey.
If a customer donated a dollar through GoGenerosity to a gas station, that dollar would be combined with all other donations and used by the gas station to provide gasoline to families in need.
âFrom client to business to charity, the money stays in the community throughout the process,â McCloskey said.
GoGenerosity itself is not a charity and businesses will pay a monthly subscription to access the service.
The service tracked money entering and leaving the business, so users and business owners could see donations used.
Neither the companies involved nor Go Generosity received any tax benefits from the charitable donations.
In ongoing testing in the Bay of Plenty region, 30 companies had signed up for the platform.
Over the past eight months, these businesses have raised and donated over $ 40,000 in goods and services to charity.
Jesse Fairburn, owner of Rain Bar and Restaurant in Papamoa, is one such business owner.
Fairburn said the service is an easy way for business owners to get involved in their community.
âSometimes the generosity can go to waste and you don’t know where the money is going. This service has an open track, and you can directly see where and how the money is being spent, âFairburn said.
Fairburn said a defining moment for him was when he provided food to a family in need and saw that family get back on their feet and become regular customers of his restaurant.
While the platform is currently only used in the Bay of Plenty region, McCloskey plans to expand the service to domestic and global markets.
After a successful $ 1.3 million fundraiser, McCloskey said it was great to see the support from investors behind the concept.
McCloskey said the money would be used to roll out GoGenerosity nationwide, before it enters the international market.
âWe plan to enter the Australian market in 2022. From 2023, we want to enter the United States, India and Asia. But above all, we want to meet the needs of our own backyard in New Zealand, âsaid McCloskey.
McCloskey said he’s in talks with major retailers who may see GoGenerosity become a regular item at local checkouts.
âI just encourage people to keep an eye on us and remember to pay next. Every little bit counts, âsaid McCloskey.
The overall goal is for the Go Generosity platform to meet the needs of 100 million people each year, McCloskey said.