Warren Buffett on Philanthropy

By Ian Wilhelm (Writer with Chronicle of Philanthropy)

In philanthropy as in business, supporting the right people is more important than all other factors, according to the billionaire financier Warren E. Buffett.

During a panel discussion last week on antipoverty work in New Orleans, one of the world’s most generous philanthropists was asked how he picks the charitable efforts he gives to.

“When I buy businesses, it’s the same as investing in philanthropy. I’m looking for somebody who will get the job done and is in synch with my goals,” he told the gathering of about 100 nonprofit leaders. “You can have the greatest goals in the world, but if you have the wrong people running it, it isn’t going to work. On the other hand, if you’ve got the right person running it, almost anything is possible.”

He said fund raisers should seek out donors who already have shown an interest in a specific cause.

“There are an unlimited number of good things to be done in the world, so you’re probably going to have to hook up with people on the funding side who have a common goal. If you’re working in education, go where the people who have shown an interest in education are,” Mr. Buffett said. “Whatever your project is, find people who are already interested in that project. I wouldn’t try to change people’s minds as much as go where the gold already is.”

As a philanthropist, Mr. Buffett is best known for giving more than $30-billion to the Bill & Melinda Gates Foundation and supporting the philanthropic work of his three children. He also quietly gives to other groups, such as the Glide Foundation, an antipoverty charity in San Francisco. (Read The Chronicle’s article about Glide.)

In New Orleans, Mr. Buffett was promoting the charity work of his friend Thomas Cousins, an Atlanta real-estate developer. Mr. Cousins helped revitalize an impoverished urban neighborhood in his hometown and is trying to export the approach to New Orleans and other cities.

Mr. Buffett has given money to help Mr. Cousins but would not disclose the amount. He did say his support for his friend’s efforts mirrors his approach to philanthropy overall: Pick good people.

“When you get a chance to bet on the right person for the right project, you had better get your money down,” he said of Mr. Cousins. “He had an easy sale with me because of who he is, what’s he’s done, the goals he has, and I’m just delighted to participate and let him do all the work.”
Read The Chronicle's article about the two philanthropists' work in New Orleans.