"The philanthropic world hasn't really operated on a business
model," Wagner says. "A person writes a check, the organization
runs off and spends it. There's no accountability. I think when
these foundations and organizations take large amounts of money,
they should have to perform with it. That's how the business world
works."
So Wagner opted to start his own multimillion-dollar foundation
rather than pour millions into ex-isting funds. He follows a model
that Morino calls "venture philanthropy," combining tough-minded
business precepts with the softer, traditional model of charitable
giving. Wagner donates to inner-city youth programs, but his
foundation also trades capital for an equity stake in
minority-owned businesses doing high-tech work.
Wagner requires "accountability, responsibility, all the things
we're used to in the business world," even when donating to small,
nonprofit organizations like
Dallas' Oak Cliff Boxing Club, which
gives underprivileged youngsters a place to go for recreation after
school.
He understands that a nonprofit's success can't be measured exactly
like a corporation's, but he insists that some benchmarks be set
and met.
"We're going into this just like a VC would," Wagner says. "We're
going to say this is what we expect in 90 days, 180 days. We'll
have mutually agreed-upon targets, and they'll have to meet them."
As Wagner makes clear, the techneau riche philanthropists bring
more than their ample money to the table. After all, these are
people who made it with their brains, so they're confident that
intellect and expertise, properly deployed, can work wonders.