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Giving

When does it make sense for a funder to create or join a funder collaborative?

A forum at Weeksville Heritage Center helped arts nonprofits connect with the funding community. Photo courtesy of the Mosaic Network and Fund

The Journal of Local Development and Society recently published an article written by Kerry McCarthy, Trust vice president for philanthropic initiatives, and Shawn Morehead, Trust vice president for grants, that answers this question. 

The article, What one community foundation learned over 40 years of operating funder collaboratives,” shares lessons drawn from The New York Community Trust’s experience with hundreds of other funders through collaboratives. These lessons include:

  • Having a strong nucleus of foundations is critical
  • No single member can dominate the process
  • Developing a good working relationship with government is helpful
  • Creating a streamlined workflow is important
  • Foundations can learn from each other
  • Partner organizations should conduct ongoing evaluation of their work
  • Collaborations need a dedicated staff member or consultant to manage day-to-day operations
  • Existing collaboratives can pivot to quickly respond to immediate crises

ABSTRACT

The recent surge in funder collaboratives has allowed foundations to increase their impact as they tackle large-scale, complicated local issues. This article addresses the practice of philanthropic collaboration at The New York Community Trust, shares a decision tree to help donors decide when a collaborative is and is not appropriate, and provides six lessons on what makes for an effective funder collaborative. Two leaders from The New York Community Trust the community foundation serving New York City, Long Island, and Westchester provide a case study drawn from 34 funder collaboratives over the past 40 years to help others successfully embark on these joint ventures.

Read the full article.