by Nate Wooley | May 15, 2013 11:43 am
When people give their hair to Locks of Love they do so hoping that their tresses will help some needy or sick child feel better.
But does that always happen? A watchdog group called Nonprofit Investor is questioning just how the hair is distributed and handled.
In an opinion piece in Forbes, Nonprofit Investor founder Kent Chao says his organization’s analysis of Locks of Love indicate that up to $6 million worth of donations go missing each year. Using Locks of Love’s own numbers, the group estimated that the charity should be producing at least 2,080 hairpieces per year. Instead, the group produced 317 in 2011.
The retail value of the missing hair, according to Chao using Locks of Love’s numbers, is $6.6 million. While some of that is accounted for in the nearly $600,000 worth of hair that Locks of Love acknowledges selling, there’s still $6 million worth missing.
When asked, Locks of Love could not provide any specific numbers for the amount of hair sold or the amount discarded as “unusable.”
Source URL: http://investorplace.com/2013/05/locks-of-love-charity-pressed-about-6m-in-lost-locks/
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