www.act4greece.gr
Presentation
Confidential
What is act4Greece?
NBG SYNERGIA
The act4Greece program is a pioneering initiative for the promotion of social and developmental banking.
It aims at mobilizing financial resources from within and outside Greece and channeling them effectively –
with full transparency and accountability – to projects which meet pressing needs of Greek society and
support innovative ideas and entrepreneurship. Thematic areas for project implementation include welfare,
health and social solidarity, social economy and entrepreneurship, culture and cultural entrepreneurship,
environment and sustainability, research, education and training, young and innovative entrepreneurship
and sports.
The various act4Greece projects are being implemented by independent entities (e.g. NGOs, Charities,
Foundations, Institutes etc.) with a solid track record on the ground. The program’s specially designed
platform (www.act4greece.gr) will leverage potential of the crowdfunding financing model. Subject to the
existence of the appropriate institutional and regulatory framework, act4Greece aims at gradually covering
all types of crowdfunding participation, from donations, to lending operations, including microfinance,
and/or equity participation.
act4Greece is supported by National Bank of Greece (NBG) in strategic collaboration with organizations
and foundations of international standing, such as the Alexandros S. Onassis Foundation, the John S.
Latsis Foundation, the Bodossaki Foundation, the Hellenic National Commission for UNESCO and the
Hellenic Network for Corporate Social Responsibility.
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What is crowdfunding?
International experience
NBG SYNERGIA
Crowdfunding is a simple, widely known fundraising activity, by which any natural or legal person – whether an
individual, business or any other body or NGO – can support financially, in line with their means, in kind or
cash, various social and business initiatives that benefit the community and the environment.
Crowdfunding volume increased by 167% in 2014
1 compared with 2013 worldwide, $16.2 billion raised.
Volume is expected to reach $34.4 billion in 2015.
Europe: 144% growth of the online alternative finance
2
2 market in 2014 compared with 2013. €3 billion total
transaction volume.
3 €7 billion projected total transaction volume of the
European online alternative market in 2014.
2012-2014: 9,743 SMEs raised €385 alternative finance in
4 Europe (excluding the UK).
Sources:
(α). 2015CF-Crowdfunding Industry Report
(b). ‘Moving Mainstream: The European Alternative Finance Benchmarking Report, University of
Cambridge and Ernst&Young, February 2015
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2014
North America: 145% growth to $9.46 bn
Asia: 320% growth to $3.4 bn
Europe: 144% growth to $3.26 bn
South America, Oceania and Africa: 167%, 59%
and 101%, respectively
2014
Lending-based CF: 223%/$11.08 bn
Equity-based CF: 182%/$1.1 bn
Hybrid-based CF: 290%/$487 bn
Royalty-based CF: 336% στα $273million
Donation- and Reward-based CF: 45% and
84% respectively
2014
Business & Entrepreneurship: 41,3%/$6.7bn
Social Causes: 18,9% / $3.06bn
Films & Performing Arts: 12,13%/$1.97bn
Real Estate 6.25%/ $1.01bn
Music & Recording Arts: 4,54%/ $736m
3
NBG: a crowdfunding pioneer in the European
banking sector
NBG SYNERGIA
France: SG has established a partnership with SPEAR, a platform
enabling businesses or charities to successfully implement a responsible
project and to obtain a more advantageous loan thanks to solidarity
savers.
In 2014, SG financed 4 projects with social and environmental value
added for a total of 750,000 euros and enabled some of its customers
to know where their savings are going.
Belgium: KBC launched in 2014 a crowdfunding website (Bolero)
connecting
entrepreneurs
with
investors
(https://bolerocrowdfunding.be).
KBC sees crowdfinance as a valuable way for innovative startups and
SMEs to obtain financing.
The Netherlands: ABN AMRO was the first bank to run a crowdfunding
pilot platform (www.seeds.nl) in 2012.
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Crowdfunding: advantages and risks
Advantages
1
NBG SYNERGIA
Risks
Alternative method of
combined with other
sources.
financing
financing
2
Broadening of sponsoring options for
CSR.
3
Risk reduction for the investor who
can invest relatively small amounts
compared to classic investment
options; investors can track projects’
progress.
4
Access to more
investment networks.
and
5
Easy and quick procedures to raise
funds.
6
Synergies
across
multiple
stakeholders (foundations, donors,
NGOs etc.)
1 Counterparty (or credit) risk
2 Risk of fraud
3 Operational risk
4 Liquidity risk
5 Legal risk
6 Money laundering
bigger
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act4Greece: goals and thematic areas
NBG SYNERGIA
Thematic areas
1. Welfare, health & solidarity
Goals
o
o
2. Social economy & entrepreneurship
To support a broad spectrum of initiatives and
projects in the area of social and developmental
banking.
3. Culture & cultural entrepreneurship
To facilitate and manage funds offered by
individuals and legal entities.
4. Research, education & training
5. Youth & innovative entrepreneurship
6. Environment & sustainability
7. Sports activities
The choice of thematic areas is made on the basis of current conditions in Greek society and the economy.
It aims at enhancing awareness and broadening public participation to support collective social and
developmental initiatives and to highlight the value-added of solidarity and social engagement in facing
common challenges.
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Confidential
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Structure
NBG SYNERGIA
Supporters’
Assembly
Strategy Committee
Implementing Entities
Social protection, Social economy
Culture &
health &
&
cultural
solidarity
entrepreneurship entrepreneurship
.
Environment &
sustainability
Research,
education &
training
Youth &
innovative
entrepreneurship
Sports
activities
Management
Committee
Projects
Donors
Operational
support
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Roles
Supporters’
Assembly
NBG
SYNERGIA
Act4Greece
Consists of program participants (e.g. implementing entities) and supporters
of the initiative.
Participants meet at least once a year to exchange opinions and ideas, and review outcomes
and progress made.
Strategy
Committee
Consists of strategic partners (individual or legal entities) that contribute and/or support to the
act4Greece program. It meets at least twice a year, monitors and evaluates the progress of the
program, approves the implementing entities for each thematic area, approves the proposed
projects, prepares guidelines for the Management Committee and proposes new thematic areas
and projects.
Implementing
Entities
Legal entities (private, public or non-profit) that propose and execute projects and
manage the funds raised.
Management
Committee
Coordinates, runs and manages the act4Greece program and platform. Preselects
implementing entities and projects and makes proposals to the Strategy Committee,
monitors the implementation timetable, coordinates all the relevant entities,
manages promotional activities, selects the certified auditor, prepares and submits
progress, evaluation and monitoring reports to the Strategy Committee.
Projects
Donors
Operational
support
Specific projects that fall into one of the 7 thematic areas.
They provide financial and/or non-financial contributions. They can be natural or
legal entities.
Teams that provide technical, financial, legal and communicational support to the
act4Greece program and projects.
Confidential
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Accountability, disclosure and supervision
1
2
3
4
NBG SYNERGIA
Transparency and clarity in filing: Each action in the context of the Program shall be described with full
clarity and transparency so that each participant shall fully understand the relevant procedures before
deciding to participate therein. Through the platform, each interested party shall be able to pose
relevant questions/requests that will be answered by a special subcommittee in line with a specific
procedure.
Control for compliance: All activities are monitored and checked before the commencement of their
implementation in order to ascertain their compliance with the existing regulatory and legislative
framework and are then approved by the competent body of the Program.
Accountability: By 31 December of each year, the Management Committee shall submit a fundraising
accountability report to the competent bodies of the Bank and the Minister of Labor, Social Insurance
and Social Solidarity, as provided for by law. The implementation of projects similar to those launched by
public bodies shall also require the approval of the Minister of Labor, Social Insurance and Social
Solidarity. All cooperating bodies adhere to the requirements of the Program and the special terms of
operation of the Program. All related documents and data are kept in a relevant file for a least five (5)
years following termination of the cooperation and are available to the competent judicial and
supervisory authorities, in the event of fraud or other suspicious activities.
Supervision of the use of funds and creation of a comprehensive profile of each donor: All who
participate as donors declare that the funds they offer in the framework of the Program are of lawful
origin and are not the proceeds of illegal activities as defined by the provisions of Law 2331/1995, as
amended. Required checks shall be carried out and the relevant information will be requested for the
documentation of the participant’s financial profile, in accordance with the respective provisions in force.
EU legislation on payment services (the Payment Services Directive) shall apply in full.
Confidential
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act4Greece starts with 3 projects
NBG SYNERGIA
projects
description
1
School meals for schoolchildren delivered to
schools at Perama, Attica
• 1,405 schoolchildren, 138,000 meals, 9 schools at
Perama, Attica
2
Medical care and humanitarian aid extended to
frontier islands of the Eastern Aegean
• medical and humanitarian aid and psycho-social
support to socially vulnerable groups – native and
foreign – at Samos (phase 1)
3
Creation of an online educational and
research platform on the Greek Revolution of
1821
• creation of a digital historical archive of the Greek
Revolution of 1821 to facilitate research and to
develop educational tools
Confidential
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Project: School meals for schoolchildren delivered to
schools at Perama, Attica
NBG SYNERGIA
Pilot project: 1,405 schoolchildren, 9 schools
at Perama, Attica
138,000 meals for 97
days in 2015
Total Budget: €345.000
NBG contribution: € 200.00
Target: €145.000
«give €2.5 and offer a meal»
Confidential
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Project: Medical care and humanitarian aid at frontier
islands of the Eastern Aegean
NBG SYNERGIA
Medical care and humanitarian aid at frontier islands of the Eastern Aegean (phase 1: Samos
island, phase 2: Kos and neighboring islands)
Phase 1 - Samos Island:
provision of medical care,
humanitarian aid and
psycho-social support to
vulnerable groups; mobile
medical unit
Total budget: €136,736
Doctors of the World
contribution: €7,000
Target: €129,736
«support vulnerable people»
Confidential
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Project: Creation of an online educational and research
platform on the Greek Revolution of 1821
NBG SYNERGIA
Creation of a digital historical archive on the Greek Revolution of
1821 to facilitate research and develop educational tools
Total budget: €125,000
RCH contribution: € 10,000
Target: € 115,000
Creation of research
and educational tools
and material; support
young scholars
«be part of the history»
Confidential
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The role of NBG and of its partners
NBG
NBG SYNERGIA
Partners
o To coordinate partners and
1
implementing entities
1 Financial
Grants and donations (phase I)
o Microcredit-microloans (phase II)
o Equity participation (phase III)
o
2 To pre-select the partners
o
o
3 To provide banking services (eg.
opening accounts, loan provisions,
equity participation)
o4 To sponsor CSR projects
o5 To promote and communicate the
projects and all the relevant activities
o
6 To
host
and
manage
crowdfunding platform
2 Non-financial
the
Contribution in kind and
services
o Training, mentoring,
coaching
o Promotion and networking
o
7
o Monitoring and reporting
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Next steps: a platform to support start-ups/scale-ups
NBG SYNERGIA
Phase 3
Phase 2
Phase 1
• Crowdfunding platform for
CSR (donations)
• Basic operation of
payments – donations
• Provision of lending
operations
• Provision of equity
participation
Confidential
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• Auctioning operations for
lending and equity
participation
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NBG SYNERGIA
act4Greece Strategic Partners
Confidential
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www.act4greece.gr