It’s often said that with age comes wisdom, and now in our third decade of service providing strategic support to thousands of private foundations, we’ve learned that although our clients come from different backgrounds and perspectives, they’re all committed to the transformative power of intelligent giving. Thoughtful, strategic funders leverage a variety of giving approaches to pursue and achieve their philanthropic goals. Take a look at three of the most common methods used by our clients to give strategically.
Responsive Philanthropy
This approach to giving involves soliciting proposals in a funder’s particular area of interest to support needs and priorities. Rather than providing general support for organizations to use as they see fit, responsive philanthropists allocate funds for specific programs, such as education and environmental sustainability.
Venture Philanthropy
With the aim of replicating worthy programs or bringing them to scale, venture philanthropists apply venture capital tactics and strategies to their funding. Their goal is to strengthen nonprofits for scale-up and sustainability. This often involves providing long-term operating capital to support basic infrastructure and mentorship to help their nonprofit “investees” get into good financial shape.
Checkbook Philanthropy
As its name would suggest, this approach to giving involves of-the-moment contributions to provide a more immediate response to a request for funding. Whether it’s at a fundraising dinner or an email solicitation, checkbook philanthropists pull out their proverbial checkbooks to provide general support, including critical and unrestricted donations for nonprofits.
Bonus: 2 Additional Approaches to Giving
Want to know the two other approaches to strategic giving, plus learn the pros and cons of each method? Check out our complete resource, Strategic Philanthropy: Five Approaches to Making a Difference.
Want to learn more about creating a foundation?
Check out our resource Frequently Asked Questions About Private Foundations.
Ready to talk to a philanthropic specialist?
Schedule a call with us here or reach us at 800-839-0054. Together, let’s #begiving.
