How Marcus Rashford’s Free Meals Campaign Shines a Light on the Changing Landscape of Athlete Philanthropy
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Marcus Rashford of Manchester United celebrates after scoring his team’s second goal during the … [+]
ASSOCIATED PRESS
On October 28, 22-year-old Marcus Rashford scored a hat-trick in Manchester United’s 5-0 Champions League win over RB Leipzig. Rashford’s performance came on the same day his petition calling on the UK government to fund a free lunch program for students from poor families reached over 1 million signatures. A week earlier, the government had failed to extend an existing program during school holidays until Easter 2021.
After the government’s decision, Rashford’s social media campaign drew support from across the country. The companies offered to feed the children during the holidays. Local councils from all political backgrounds have pledged to provide meal vouchers. Premier League clubs and players also donated.
Rashford has already addressed this problem. In June, the UK government decided not to expand a meal voucher program for students during the summer holidays. Following the move, Rashford led a public campaign asking lawmakers to reconsider their decision, citing the economic impact of the coronavirus on many families. After days of public pressure, the government changed course and created a Covid summer food fund to feed children from low-income families during summer vacation. Rashford was ultimately honored by Queen Elizabeth II for his efforts.
Players Coalition members and grant recipients watch a video during a Players Coalition … [+]
ASSOCIATED PRESS
Philanthropy and activism in sport reached an all-time high in 2020. In the United States, the combination of ongoing nationwide protests against racial injustice and the November general election initiated unprecedented levels of philanthropy and disgrace. athlete activism. Athletes from all walks of life and notoriety have donated and raised awareness of racial justice causes and initiatives to fight voter suppression in the United States. Michael Jordan and Jordan Brand have jointly donated $ 100 million over 10 years to groups that advocate for racial equality and social justice. In June, the NFL pledged $ 250 million over 10 years to the Players Coalition, a 501 (c) (3) charity and 501 (c) (4) advocacy organization focused on social justice and l racial equality. The Players Coalition was founded by New Orleans Saints security guard Malcolm Jenkins and former NFL wide receiver Anquan Boldin. A number of prominent athletes and artists, including LeBron James, Damian Lillard, Patrick Mahomes and Kevin Hart, have formed More Than A Vote, an organization focused on the fight against voter suppression. The list of organizations and initiatives formed by athletes is long.
In recent years, athletes have successfully leveraged public platforms to raise awareness of causes of choice. Public awareness builds strength in numbers, and large campaigns have proven to be useful in empowering decision-makers, attracting needed stakeholders and creating change. These initiatives are both effective and low risk, compared to more traditional forms of philanthropy and athlete activism.
The I Promise School, a public school supported by the LeBron James Family Foundation, is seen in … [+]
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In general, it is common for athletes’ philanthropic efforts to include the formation of individual charitable foundations. Charitable foundations are attractive because they offer maximum control over charitable giving and the active participation of the founding athlete. Foundations can target specific causes, raise awareness, develop long-term charitable missions, and create links with particular communities. They are also useful for tax planning purposes related to an athlete’s charitable donations. Many well-known athletes, including Roger Federer, Maria Sharapova, Tom Brady and JJ Watt, have foundations.
However, foundations require a level of regulatory compliance and organizational formality. Foundations must also raise funds to support the cause of their choice and cover operational costs, which is increasingly difficult in times of economic uncertainty. Foundations that are not properly managed, or that engage in certain prohibited activities, may face penalties or even revocation of their tax exempt status. Poor management of the Foundation can lead to reputational problems for athletes and in some extreme cases lead to personal liability. However, if the founder puts in place dedicated and capable officers and directors, supported by experienced advisers, the foundation’s approach can provide an excellent vehicle for an athlete’s long-term philanthropic vision.
Foundations are not the only alternative. There are other methods of achieving philanthropic goals. For example, Donor Advised Funds allow donors to make irrevocable donations to charities and from time to time make recommendations about grant recipients. Like foundations, donor-advised funds are useful for personal tax planning purposes. They also take away the personal responsibility, time commitment, and costs associated with running a foundation. They can also be more private options for those concerned with the disclosure requirements associated with running many foundations. Community foundations offer another way to focus an athlete’s gifts. Usually focused around a particular location, most community foundations offer donor-advised fund options that focus on a particular location in which the foundation will have close relationships with local nonprofits.
Rashford’s efforts are an example of the impact and reach that cause-driven, social media campaigns can have. However, as athletes and other public figures seek longer-term philanthropic solutions focused on specific causes or communities, traditional forms of philanthropy will remain an ideal option. In the meantime, as individuals explore their philanthropic ambitions, the ability to publicly leverage platforms to rally support for a cause is an extremely useful and effective option.