The Problem With Gifting Circles - It isn't a Gift or a Circle

Have you ever been invited to a Women's Gifting Circle? I have been invited three times in the past few months. In the past few weeks more than five of my friends have been invited by multiple groups. "Gifting Circles" are not circles and the "gifts" are not gifts. These groups are illegal pyramid structures.

Learn more about the details, structure and non-viability of Gifting Circles. I describe in detail how they operate and ultimately fail. They neither create abundance nor empower women. These systems need to stop. We need REAL, sustainable economic empowerment opportunities for women, not scams.

1. The problem with “Gifting Circles” It isn’t a Gift or a Circle To read the blog, visit www.green-ideas.com

2. Why am I doing this? More than five of my closest friends have been invited into a “Gifting Circle” in the past three weeks. I am committed to a radical re- visioning of our economy one that moves into alignment with Earth’s rate of regeneration I have spent a good portion of my career exploring economic empowerment of women. I have been invited to three different “gifting circles.”

3. This is URGENT! “Gifting Circles” have caught like wildfire Women need to understand why this system isn’t sustainable. The more women involved, the more get hurt.

4. The economic need is significant Women are desperate for new economic opportunities That enable them to provide for their families Women need truly sustainable economic opportunities We need sustainable alternatives to an unhealthy economic system!

5. What you will see in this presentation

6. I was invited to a “Gifting C ircle” called “Women Empowering Women” where:

7. Why the Gifting Circle attracted me

8. This is what I was told about the circle

9. Sounds great right? But . . .

10. The Story of a Gifting Circle The circle I was invited to used a “dinner party” theme to differentiate the levels

11. Then she f ound two “Entrées” to give her $5,000 each . . . $5,000 $5,000 Tally 3 women $10,000

12. And with weekly “abundance calls” they found four “Salads” who also gave $5,000 $5,000 $5,000 $5,000 $5,000 Tally 7 women $30,000

13. And with all the good vibes they found eight “Appetizers,” each gave $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 Round 1 15 women $70,000

14. The f irst Dessert w alked away w ith $70,000 and nobody knows who she is!

15. But, what do you do if both Entrées want to be Dessert? And now the Entrées are ready for Dessert! The group has to grow!

16. They split into two groups Round 2 2 circles 30 women $80,000 Tally in Round 2 31 women now involved $150,000 “gifted” or invested 3 women have profited NOTE: Appetizers pay $5,000 directly to Dessert. When Dessert receives $40,000 she steps off the “circle.”

17. Round 3 4 circles 60 women $160,000 Tally – Round 3: 63 women now involved, $310,000 “gifted” or invested, 7 women have profited Then Four Groups

18. Round 4 120 women $320,000 Tally – Round 4 - 127 women now involved, $630,000 “gifted” or invested, 15 women have profited Eight Groups Growth is Exponential

19. Round 5 240 women $640,000 Tally – Round 5 - 255 women now involved, $1,270,000 “gifted” or invested, 31 women have profited 16 groups

20. Can’t it just grow forever? Growth That Exceeds Resource Capacity Always Leads to Collapse! Population doubling time for the Gifting Circle is 6 months. Global population doubling time is approximately 25 years.

21. But isn’t abundance infinite? In the non-physical realm, abundance is infinite, for example: Love = infinite Joy = infinite The physical world is finite: We are limited by population, economy, etc. It’s exciting to live in a finite world. It causes us to be more creative!

22. But what about The Law of Attraction (thought + allowance = manifestation)? “I’m not hurting anyone else by manifesting financial abundance for myself, right?” Manifesting “abundance” does not necessarily mean manifesting money. Within the “gifting circle” structure, in order for some to win, most women lose

23. In order for the “Desserts” to profit, at least 88% must lose their money Round Number of Circles Women Involved Cumulative Dollars Invested # of women who have profited # of women who have lost money % of women who lose their money 1 1 15 $70,000 1 14 93% 2 2 31 $150,000 3 28 90% 3 4 63 $310,000 7 56 88% 4 8 127 $630,000 15 112 88% 5 16 255 $1,270,000 31 224 88% 6 32 511 $2,550,000 63 448 88% 7 64 1,023 $5,110,000 127 896 88% 8 128 2,047 $10,230,000 255 1,792 88% 9 256 4,095 $20,470,000 511 3,584 88% 10 . . . 512 8,191 $40,950,000 1,023 7,168 88% 31 1 billion 17 billion $86 trillion 2 billion 15 billion 88%

24. Gifting Circles Increase the Divide Between H aves and Have-nots! At some point, the circle must collapse, leaving 88% without ever receiving a gift. Not exactly equitable.

25. But isn’t this better than the 1% taking all the wealth in the US economy? No! The Gifting Circle is Worse!

26. The Bottom 88% Lose Big Time! It’s the women who are shy, have less time or just a smaller network that lose their money.

27. Many women who join gifting circles can’t afford to lose

28. The top 12% are taking from their community (friends and family)! What does the loss of $35 million do to a community? How does this impact friendships?

29. I haven’t yet measured the economic impact, but it has ruined friendships . . . I have heard many stories of broken friendships and have personally experienced the loss of friendship because of my lack of support for a friend’s participation

30. “But if Dessert reinvests, it’s not a pyramid, right?” $5,000

31. Dessert becomes one of 16 appetizers Dessert could reinvest her entire $40k, replacing all the other appetizers for ONE group (but since the group split, the need is now $80k). Also if she wants the 8x return (like $5k to $40K), she would need to invest in 8 different groups and help bring in 64 new appetizers to make that happen. Remember the group splits! Previous dessert at $5k It’s still a pyramid!

32. No matter which way you frame it

33. Or what you call it . . .

34. Or how you make it look . . .

35. A “Gifting Circle” isn’t a Circle Nothing circular in this shape!

36. And the “gift” is not a gift

37. If it isn’t a circle or a gift, what is it?

38. Which is why it’s illegal Participation is a felony governed under the “endless chain scheme law.” Have you ever heard of a Ponzi Scheme or Bernie Madoff ?

39. A number of women who reached “Dessert” have felony convictions This is much worse than getting caught with a few illegal plants . . .

40. Links to Stories of Other Women Convicted of Fraud for Gifting Circles

41. However . . .

42. Sustainable Economic Empowerment Opportunities for Women are Growing 44% of coops are still in business after 10 years, vs 19% survival rate for non-coop businesses Women will create over half of the 9.72 million new small business jobs expected to be created by 2018 Women are leading the way in social enterprise and outperforming standard businesses

43. Women pool their money and make small-med investments in women-run businesses. Philanthropic women’s groups that pool their money and give it to a particular charity or cause with a 501c3 tax status. No financial commitment, but emotional and spiritual investment and support. 10 people put in $100/month and at different points of the year, each person gets back exactly what they put in: $ 1,200. And yes, there are sustainable Women’s Circles that do economically e mpower women! This is VERY different from the pyramid “Gifting Circle!”

44. There are lots of other ways to give, invest and receive money that empowers women This is a way to legally fund your friend’s project or business with a gift! Women-run businesses qualify for specific low-interest loans If you have the money to invest, Social Impact Funds vet new ventures If you have a small project, you can apply for micro-credit

45. Why “Gifting Circles” or Investment Pyramids Don’t Work

46. Who put this presentation together?

47. Stop the “Gifting Circles” Invest in REAL abundance! Share this with everyone you know Thank you for taking the time to read this! For more visit www.green-ideas.com - Amber Bieg Remember . . . “Gifting Circles” are not circles and the “gifts” are not gifts. These groups are neither creating abundance nor empowering women.