Five Years of Grant Philanthropic Advisors: Observations in Philanthropy
In 2019, I had a kernel of an idea to help philanthropists in their strategic decision making. Today, we’ve served dozens of clients and grown to a team of 8 to provide an objective, independent point of view on philanthropy advising. You have been critical in our journey as a firm – thank you!
Today, the need for independent philanthropic advising has never been greater. We’re witnessing the greatest wealth transfer in history; new generations of philanthropic leaders are taking the helm; more women are taking charge of philanthropic assets and decisions employing innovative approaches; and an ever-evolving world is demanding new, impactful solutions to social and environmental challenges that warrant private funding.
The following observations are affirmed for me almost daily:
1. Giving Effectively is a Journey: Curiosity and Collaboration are Key
Philanthropy should not be stagnant. We have found that those who approach their philanthropy with questions and open mindedness have the greatest satisfaction. Theories of change may shift; giving portfolios may change; funders may even find failure in some philanthropic investments. Those who keep learning, can zoom out and adjust their strategy over time find great satisfaction in their giving. Embarking on a learning journey can be profound. It is not just about site visits; understanding the data and root causes behind your issue area(s) and how public policy shapes particular cause(s) is essential.
Collaboration with other philanthropists and thought leaders can accelerate learning and help to leverage philanthropic dollars. No one funder should carry an issue or a community alone. Seeking additional perspectives to inform giving strategies yields greater impact and understanding.
“To give away money is an easy matter and in any man’s power. But to decide to whom to give it and how large and when, and for what purpose and how, is neither in every man’s power nor an easy matter.” – Aristotle
2. The Only Constant is Change
Families evolve: marriages, births, retirements, and even losses affect the dynamics at the giving table. With each transition, governance structures need to be re-evaluated. External forces also shift: community needs fluctuate; natural disasters occur; nonprofit leadership shifts; and public policies can change how philanthropy is effective within particular issues. We’ve found that strong governance acts as a stabilizing force, helping philanthropists adapt nimbly to these changes while remaining true to their values and goals.
Thoughtful adaptation to change isn’t just necessary—it’s often the catalyst for transformative, long term impact.
“Change is the law of life and those who look only to the past or present are certain to miss the future.” – John F. Kennedy
3. Working Through Tough Issues Yields Powerful Results
Navigating family dynamics can be challenging. Having uncomfortable conversations around decision making and who is involved is tough for any family. Forcing issues to the surface can be invaluable for a family philanthropy to ensure a smooth path forward. I’ve seen families face difficult and emotional issues that impacted their giving decisions; choosing to work through the issues together led to stronger, healthier relationships long term and ultimately, greater philanthropic impact.
Similarly, engaging in an honest dialogue with nonprofit partners to co-design projects, set proper expectations and/or pilot ideas has brought to bear more sustainable funding relationships. Being transparent and trusting as the funding relationship is molded makes for a more transformative impact over a longer period of time.
“Heat helps us get to the essential.” – Priya Parker
4. The Philanthropic and Nonprofit Sectors are Essential to a Changing World.
The philanthropic and nonprofit sector is uniquely positioned to catalyze social change in ways other sectors cannot. We are the social entrepreneurs who wake up every day ready to take risks to solve big social and environmental problems. Government generally lacks the ability to respond quickly and nimbly to issues; government leaders may also be constrained by the political will or lack thereof to respond effectively. Likewise, business leaders may not want to put their own capital or brand at risk to solve social and environmental issues.
The nonprofit sector responds quickly to issues with innovative solutions. Nonprofit leaders are not accountable to voters or shareholders like other sectors; their commitment is simply to serve the greater good. Offering society’s long term “risk capital” allows nonprofit leaders to make big bets on ideas; solve problems and bring them to scale; and to test and prove solutions that can later be outsourced to government and/or businesses to implement widely. I have found philanthropists are deeply motivated to support innovative social ideas and the intelligent people behind them.
“The people who are crazy enough to think they can change the world are the ones who do.” – Rob Siltanen
5. People are Inherently Good and Want to Help in their Communities.
A common critique exists today regarding philanthropists. It is argued that philanthropists are hoarding their assets inside giving vehicles having taken large tax breaks for their gain and there is little evidence of their giving making a significant charitable impact to solve big social problems. I have found the absolute opposite to be true in our work. Our clients are genuinely curious about their communities and issues; they want to lean in, learn and help. They want to connect their friends and colleagues to the inspiring nonprofit leaders making change. However, the path to philanthropic effectiveness is not always clear in the beginning. Sometimes, philanthropists find themselves “stuck” for a variety of reasons.
Undergoing a philanthropic strategic plan to clarify values, a desired mission and a governance structure can help a family get “unstuck” and move in a productive direction. I have worked with dozens of clients who are empowered by a clear framework for giving; the process is joyful and no longer burdensome. They’re inspired by what they learn and want to do more to impact their causes – not just in donating dollars, but in using their voices, volunteering their time and connecting other philanthropists with nonprofits they support.
“Do your best until you know better; then do better.” —Maya Angelou
As I look back on the past five years, I’m filled with gratitude for our clients, our partners, and the philanthropic community at large. The generosity, compassion and innovation that power our sector is tremendously inspiring. I’m excited to work with our team to continue supporting clients as they navigate this dynamic landscape, celebrating the resilience, innovation, and deep-rooted optimism that defines philanthropy. Thank you for your support along the way.
About Grant Philanthropic Advisors:
We’re an independent, Charleston-based firm helping clients to focus and maximize their philanthropy—in turn, strengthening the fabric of our communities. Founded in 2019, we help donors move from responsive patterns of giving by assisting clients to identify values and become more strategic in their philanthropy. Our goal is to help donors to become more effective as change-makers. Our team has a combined 100 years of experience working in the field of philanthropy.
We work with foundations (large and small staff teams), donor advised fund holders, multi generational families, individuals, philanthropy supporting organizations and corporations to design philanthropic strategies. We work with philanthropies that grant $1 million to $40 million annually. Our clients span the Southeast with a concentration in Charleston, Atlanta and Charlotte.