Is Risk Right for Small-Staff Philanthropy?

By Elaine Gast Fawcett on behalf of ASF

Risk

Some say ASF members and other donors must embrace risk. Do you agree?

The word risk can have a bad rap in philanthropy.

If you’re like a lot of donors, you may find it tough to think of a grant you could call risky. In fact, most funders have grown accustomed to making grants they know (or at least suspect) will succeed. No one likes to fail. And failure—in philanthropy—means losing money that could have gone to another organization.

Yet, these days, some are saying risk is a value that small-staff philanthropy must embrace.

Continue reading →

Investing for Social Good

By Elaine Gast Fawcett on behalf of ASF

When investing and philanthropy come together, it can seem messy.

On the one hand, there’s investing, which focuses on financial return. Philanthropy, on the other, focuses on achieving social change, and tends to downplay financial returns. 

Impact investing, a relatively newer term for mission investing, combines the goals of investing and philanthropy. It means investing money intentionally into companies, organizations, and funds to get a social return along with a financial one.

Sound like having your investment pie and eating it too?

Continue reading →

It’s About Trust: Balancing Relationship with Risk in Social Entrepreneurship

By Suzanne Skees, Skees Family Foundation

The Skees Family Foundation and Th3rd Plateau co-hosted a dine-around for social entrepreneurs and their funders at the ASF 2012 National Conference last month. We had an “oversold” turnout of about forty highly engaged professionals, with a perfect balance: half funders and half entrepreneurs. Even our organic, locally sourced, family-style dinner was cooked by an Opportunity Fund microentrepreneur. The food and conversation surpassed our wildest hopes—and the input from attendees got me thinking even more deeply about risk and trust, and why we fund very early-stage social entrepreneurs.

Upaya Social Ventures

Our India client Draupadi; two neighbors sharing advice on their new jobs; ultra-poor kaccha house in Godha Village. (c) Upaya Social Ventures

The Indian sun broils down on our heads near the thatched-roof hut where 60-year-old Draupadi stands wringing her slim hands. She’s complaining about her arthritis and her three goats.

I’m in Uttar Pradesh, visiting a social enterprise we fund through U.S.-based Upaya Social Ventures. Draupadi’s skeptical of us because of her experience with local milkmen who charge high-interest loans and pay fluctuating prices. She’s stressed, because none of her new goats are milking. “Don’t worry,” her neighbor Saraswati assures her, “the milkman pays you only 15 rupees, but this company pays much more.” She explains that Draupadi will receive a steady weekly salary all year, through the milking and dry seasons.

As we do here in the U.S., Draupadi takes her friend’s word for it, and she takes a measured risk. After all, she used to get only a few days’ manual labor per month, hauling stones, bricks, or water at construction sites. “This job is better,” she admits. Continue reading →

Grantee Capacity Building: First, Do No Harm

ASF 2012 National Conference In Session

By Jennifer Ratay,The William and Flora Hewlett Foundation

Strong grantees and their talented leaders are the engines that power the success of foundations. This is true of small and large foundations alike.

During Exponent Philanthropy’s (then Association of Small Foundations’) 2012 National Conference session titled “Capacity Building, Stronger Nonprofits, Improved Outcomes,” TCC Group’s Paul Connelly led a panel of leaders from the Leighty Foundation, Arbor Brothers, and Row New York in exploring approaches to strengthening the organizational capabilities of grantees.

“Capacity building”—an abstract term with countless definitions—typically embraces efforts to improve the leadership, management, strategies, or systems of nonprofit organizations. When done well, it typically leads to higher levels of nonprofit performance and a better chance that the beneficiaries of nonprofits’ work reap improved results. Continue reading →

Impressions from the ASF National Conference

NationalAIDSMemorial-volunteers

ASF 2012 National Conference participants volunteer at The National AIDS Memorial Grove Service Project, San Francisco, CA, October 8, 2012

By Ted Donley, The Donley Foundation

At the recent ASF 2012 National Conference in San Francisco, I was captivated and inspired by several speakers and sessions in particular. I would like to share with you my favorites and what I learned from them.

Favorite Session: Funding Advocacy, Mobilizing Partners, Catalyzing Change

The amazing ASF member Doug Bauer of The Clark Foundation moderated this session where I learned that small foundations can be a force for change with advocacy and collaboration, in addition to their grantmaking. Nayantara Mehta from Alliance for Justice opened my eyes to the legalities of a foundation granting money for use in lobbying. Then, ASF member Billie Hall from the Sunflower Foundation told her foundation’s story of supporting a grassroots campaign to promote smoke-free public places. Continue reading →

Take It One Step at a Time

By Jean Buckley, Tracy Family Foundation

Jean BuckleyAs I sat in the San Francisco airport awaiting my flight, I wrapped my brain around all that I was able to soak up and absorb at the amazing ASF 2012 National Conference. There were so many knowledgeable and inspiring philanthropic leaders to tap into for advice and ideas. There was so much to take home. And there is so much yet to do in the communities that we all work in, love, and embrace!

But…it’s okay. Kim Meredith, executive director of the Stanford Center on Philanthropy and Civil Society and publisher of the Stanford Social Innovation Review, offered a comment that really resonated with me during her conversation with the many ASF members at the Saturday evening Master Juggler event for foundation executive directors.

Kim shared that “we can have it all, just not all at once.” This was a bit of an “ah, ha” moment for me. Kim’s suggestion might just have given Master Jugglers the nudge we need to simply take a deep breath and plug away one step at a time, one day at a time. It was simple advice from Kim, but so profound. Thank you, Kim. Thank you, ASF, for connecting ASF members to thoughtful leaders such as Kim.

ASF member Jean Buckley is president of the Tracy Family Foundation in Quincy, IL.

Education for Anyone, Anywhere

SalKhan
By Elaine Gast Fawcett, on behalf of ASF

Sal Khan is changing the way students learn. 

Just four years ago, the hedge-fund manager quit his job to teach math—for free—over the Internet.

It all started when he taught his 12-year-old cousin how to change kilograms to grams. Working out of his closet with an electronic doodle pad and a headset, Khan uploaded short tutorials to YouTube that soon went viral.

Today, he runs the nonprofit Khan Academy with a mission to provide a free world-class education for anyone, anywhere. Each month, 7 million students view his more than 3,400 tutorials online.

Initially funded with a $100,000 donation from philanthropist Ann Doerr, the Khan Academy now has significant backing from the Bill & Melinda Gates Foundation and Google. 

Khan’s model for learning is quite different from the grade school model we all grew up in. “You can get a C in a class and the school will still advance you on to the next topic,” he said at the ASF 2012 National Conference plenary lunch on Tuesday. “We say: Instead of learning something fixed, what’s fixed here is that you have a high level of understanding of a topic before you move on. What’s variable is how and when you learn it.” Continue reading →

The Capacity to Aspire

David Bornstein
By Elaine Gast Fawcett, on behalf of ASF

“The way we imagine the world will determine what we do.” —David Bornstein

What if we are closer to solving problems than we realize?

New York Times columnist and author David Bornstein believes that the solutions for the some of world’s biggest problems already exist. They may not be in your backyard, but they’re out there. It’s just a matter of finding them.

Bornstein addressed a roomful of leaders in philanthropy at Monday’s ASF 2012 National Conference plenary lunch. He spoke about the ways funders can find innovative solutions to major social problems by examining what works—and what doesn’t—around the globe.

“What if we could eradicate homelessness in three or four years? Change the foster care system so that 80, 90, even 100% of those kids came out fully functional? Or change schools so that children were kind instead of bullies?” he said. “We’re doing many of these things today. We have the solutions. It’s a blueprint—not a poem.” Continue reading →

How Innovation Can Transform Giving


By Elaine Gast Fawcett, on behalf of ASF

“Innovation can help you give in a way that matters more.” — Laura Arrillaga-Andreessen

Laura Arrillaga-Andreessen is obsessed with innovation.

In Sunday’s opening plenary lunch at the ASF 2012 National Conference, the family philanthropist and best-selling author of the book Giving 2.0: Transform Your Giving and Our World spoke to 800 small foundations about innovation as a force that drives change and expands our human potential.

It’s innovation, she said, that will help small-staffed foundations evolve their giving potential.

“All of us here are compelled to live in a way that touches and transforms individuals lives. We are compelled to give,” she said. “And through innovation, every single small foundation has power to give in a way that matters more.”

That’s powerful stuff. But what does it mean to innovate? Especially for a foundation with limited staff, time, or resources? Continue reading →

Finding ‘Our People’ at the Next Generation Retreat

ASF Next Generation Retreat
By Niki Calastas, Hurliman Scholarship Foundation

When was the last time you were surrounded by people you’ve never met and then, after spending 6 hours together, realized you had found your peer group?

At the Next Generation Retreat session of the ASF 2012 National Conference, many of us departed having found ‘our people’, feeling more energized, supported, and not alone in our feelings. Held on Saturday, October 6, the retreat brought together 40 young trustees preparing themselves for involvement in their family’s foundation.

Lending to the session aims of inclusion and flexibility, the retreat was held inside of the SF Chronicle Building, at The Hub.  When not being used by the Next Gen Committee, The Hub provides a community workspace for entrepreneurs and holds 20 private offices held by social enterprises, including Universal Giving, Bamboo Finance, SOCAP, and B Labs.  The space also features an art gallery, large event spaces, meeting rooms, and two kitchens (let us not dismiss the importance of food!).
The retreat began with participants standing and gathering in a circle to introduce themselves and then moving around the room for a ‘spectrum exercise’.  Continue reading →