Doing Good: Buffett To Give Away Fortune

Wow! In an upcoming Fortune cover story, Warren Buffett has announced that he will give away 85% of his fortune in the coming years versus waiting until after he has passed away. This is a living, $35 billion+ donation, surpassing his friend, Bill Gates. Of even more interest is that he plans to give over 5/6th of this to the Bill & Melinda Gates Foundation. Gates plans to step down from his operating role at Microsoft in the coming two years to focus nearly exclusively on this Foundation. The Gates Foundation along with a number of newly formed foundations exemplify what will be an increasing trend (and one predicted by Peter Drucker over 15 years ago). Successful people, having made significant money, will look for outlets to find greater meaning and connection in their lives. This will be the basis of "venture philanthropy". If innovation and entrepreneurship are key to solving many of our business challenges, aren't they even more important in solving our societal ones?

The Morino Institute sponsored a study on this field in 2001 called Venture Philanthropy: The Changing Landscape. An interesting read. This is an area of increasing focus for me and key to our nation's future. I believe that all entrepreneurs should search for those areas of potential change that have meaning to them and to begin to layout a game plan for how to bring innovation to that area as they do in their own business.

As Whitney Tilson recently wrote regarding Gates:

"In my email on philanthropy a week or so ago, I cited both Buffett and Gates as philanthropic examplars and wrote: "I think that 100 years from now, Bill Gates will be remembered more for his philanthropic accomplishments than for his business ones. I think every person who’s been fortunate enough to accumulate extreme wealth should want a similar legacy."  I now think that Buffett too may well be remembered by future generations as one of the all-time most important philanthropists."