Multi-Year Funding For Nonprofits in Tough Economic Times
posted on: Thursday, April 26, 2012
by Yna C. Moore
Multi-year funding is among the most effective types of support a foundation can award a nonprofit. They signal a foundation's commitment to the effectiveness, capacity and impact of their nonprofit partners:
- They trust and believe that the grant will be used wisely.
- Because they listen to their grantees, they understand the complexity of the problems they are trying to address and realize that solutions often take years (sometimes even decades).
- They recognize that multi-year funding gives nonprofits the ability to plan ahead and respond to unanticipated opportunities and challenges.
(More on the importance of multi-year funding can be found on chapter 2 of Criteria for Philanthropy at Its Best.)
Yet, historically, multi-year funding is as hard to come by as the winning lotto ticket.
Did your nonprofit see an increase or decrease in its multi-year funding during the past few years? Tell us by taking the poll below.
Labels: economic crisis, multi-year funding
by Yna C. Moore
Multi-year funding is among the most effective types of support a foundation can award a nonprofit. They signal a foundation's commitment to the effectiveness, capacity and impact of their nonprofit partners:
- They trust and believe that the grant will be used wisely.
- Because they listen to their grantees, they understand the complexity of the problems they are trying to address and realize that solutions often take years (sometimes even decades).
- They recognize that multi-year funding gives nonprofits the ability to plan ahead and respond to unanticipated opportunities and challenges.
(More on the importance of multi-year funding can be found on chapter 2 of Criteria for Philanthropy at Its Best.)
Yet, historically, multi-year funding is as hard to come by as the winning lotto ticket.
Did your nonprofit see an increase or decrease in its multi-year funding during the past few years? Tell us by taking the poll below.
Labels: economic crisis, multi-year funding
posted by National Committee for Responsive Philanthropy at
9:34 AM
2 Comments:
Yna,
I'm eager to see the results of your poll. Multiyear support can be a stabilizing force for nonprofits during volatile times, enabling them to concentrate their efforts on advancing their mission. However, GEO's recent field survey of 755 staffed grantmaking foundations in the U.S. found that multiyear support did not fare well over the past several years, with only half as many funders (60 percent in 2008 and only 29 percent in 2011) reporting that they awarded grants over two years or more on a regular basis. One of the more hopeful pieces of news from the survey, however, was that over half (54 percent) of those who reduced their multiyear commitments said the cutbacks were due to the economy and were temporary.
By
Danielle Yates, at 3:20 PM
Thanks, Danielle. It's interesting to see how the numbers are reflected by "on-the-ground" experience "the other side", ie. the nonprofits at the receiving end of grantmaking.
By
Yna, at 3:25 PM
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