The Startup Nation is famous for its ingenuity in the high-tech field, yet many people are unaware that Israel is also a hotbed of social innovation. The notion of community service is very characteristic of Israeli culture, one deeply rooted in Judaism. The concept of Tikkun Olam, literally translated from Hebrew as “repairing the world”, connotes social action and the pursuit of social justice. Nonetheless, for many years, Israel’s high-tech industry has been accused of being detached from society and its surrounding environment.
It may be unfair to expect of early-stage startups (typically cash-poor with significant expenses) in the beginning of their growth process to think about social responsibility and giving back to the community. With no cash in the bank, how can we expect them to cough up money for charity?
This is where Tmura steps in and offers a great solution for these “young” startups that want to give back to the community but can’t quite afford it just yet.
Tmura: turning the Startup Nation into a charity nation
Tmura – The Israeli Public Service Venture Fund, is a non-profit organization that encourages early-stage startups to donate stock options that can be exercised when a company “exits” or goes public. The method proves to be profitable – Tmura recently announced that it received $1.5 million from Google’s acquisition of Waze and last month it earned over $400,000 from Intucell’s acquisition by Cisco. Currently celebrating its 10 year anniversary, Tmura has successfully raised millions in donations which it allocated to hundreds of charitable organizations in Israel.
Tmura’s goal is to support educational initiatives and youth-related charities by sharing the wealth being created by the country’s technology sector, in addition to developing a “culture of giving” within the high-tech sector. In other words, Tmura wants to convert Israel’s tech and business entrepreneurship into social entrepreneurship.
The people behind this unique model for modern philanthropy are Tmura’s founder, veteran VC Yadin Kaufmann, and Tmura’s executive director Baruch Lipner. The rest of Tmura’s staff members include ‘big names’ from Israel’s startup and VC scene that volunteer their time and expertise to help run the fund.
How can I take part in sharing the wealth?
If you have a startup or know of one that wants to be part of this social entrepreneurship, introduce them to Tmura. With Tmura, the potential revenue from your success will also contribute to the greater good. Share a little upside with society!
The following video explains Tmura’s story and how Israeli startups can help impact the world for the better:
OurCrowd and Tmura:
As part of our commitment to social responsibility, OurCrowd will require its portfolio companies to commit a portion of their equity to Tmura as a condition to closing funding rounds. OurCrowd is the first funding platform in the world to require its companies to make this type of commitment and we hope that others will do the same.
For further information, see our recent press release Israel’s OurCrowd Launches Social Responsibility Initiative with Tmura