A Framework to Help
Marshall H. Ginn, Principal
Capital Philanthropy
Whether you’re embarking on your first foray into making major contributions or you’re a long-time donor, you want to make sure that your philanthropy is done well and thoughtfully. Giving money away is not easy, despite what people might think. To make wise giving decisions and to find a nonprofit whose work you find meaningful takes time, energy, and a thoughtful approach.
I recently made a presentation at a national conference that focused on the questions grantmakers ask nonprofits when they are making funding decisions. As I looked at the materials I created, I realized that many of the concepts are equally applicable to individual and family donors.
If you’re eager to get out there and make some high-impact contributions, it’s important that you take a moment, pause, and do a little strategic thinking.
Let me offer a couple of Frameworks for Giving that might help you accomplish that.
Is It Important?
When you’re considering the types of gifts you want to make, and as you look at the nonprofits you might wish to support, you should make an effort to consider the things that could drive your decision making. When you’re making a charitable gift decision, what goes through your mind? What two or three factors are going to have a big impact on the types of organizations you support? Or on the size of the gift? Or on the relationship you want to have with that nonprofit?
First, identify those critical factors. For example, you might be keenly interested in supporting organizations that have a solid sense of their values, especially if you want to make sure that those values align with your own. Or you could be very eager to work with a nonprofit who had lots of opportunities for you and your family members to engage with them personally, such as volunteering, serving on a committee, or more.
And as you think of these factors, consider how they are likely to impact the discussions you (and your family) might have about those potential gifts or organizations. Will these issues or topics weigh heavily on your decisions? Are they “make or break” topics? Even if they might appear on the surface to be minor or picky details, if they will affect how much you enjoy your experience as a donor, pay attention to that.
Once you identify those critical factors, your next step is to make sure you actually ask a question about them when you’re talking to nonprofit organizations that you might support. If values are important to you, ask the organization if it has a “values statement” that they can share. If volunteer opportunities are important to you, ask the organization specific questions about how volunteers are utilized and supported.
If you don’t ask a question about the topic, you might be left making a giving decision based on guesses or assumptions. You won’t have all the information you need to make a thoughtful gift, and that could lead to frustration down the road in your relationship with a nonprofit doesn’t go as planned.
Lastly, if this is in fact a critical factor for you, make sure that you ask your questions of all of the nonprofits you talk to. Don’t raise the issue with only some of the groups you’re considering. You want to keep the playing field level and offer the same opportunity to any nonprofit you might wish to support.
Take a Good Look
Once you’ve identified your critical factors, and once you’ve come up with questions you want to ask organizations, there’s another step you should take. And this will require some additional thinking.
Are any of the questions you could ask focused on complicated issues or topics that might not be typically raised in these types of conversations? Take a moment to consider how these questions might be received by the nonprofit.
If you ask a question about values, for example, a nonprofit might wonder why you’re raising this. They might think, “Don’t they want to know about our programs? Why are they worried about our values?” It might be helpful for you to explain what you’re looking for and why you’re asking. Nonprofits will appreciate understanding the factors that are important to you as a donor. That gives them the opportunity to respond in the best way they can.
And speaking of responses, don’t be caught off guard if a nonprofit interprets your question in a way that you might not have anticipated. Even if you think that you’ve been extremely clear and transparent, you still might be misunderstood. It might require an extra few steps on your part to help the nonprofit to understand what you’re looking for. So be ready for that.
Finally, when you’re taking a good look at these critical factors and the important questions you wish to ask an organization, make sure to consider what you hope to learn. This is especially important if you’re creating a long-term, strategic philanthropy plan and you intend to have conversations like this with many organizations.
Are you prepared to pay attention to how organizations respond to these questions? Do you respond differently to the various ways organizations answer your questions? What if answers to these questions change over time? You could consider changing your questions based on those responses, perhaps. You might get really inspired by one conversation and think to yourself, “I’d like to have similar conversations with other organizations I support, perhaps there’s a new question I could ask.”
Thinking Doesn’t Mean Heartless
Even though I’m recommending a series of “thought exercises” through which you can frame your giving and interactions with nonprofits, I don’t want to suggest that you leave passion and emotion behind. These are powerful and appropriate motivators for making gifts.
In fact, perhaps the best way to begin any philanthropic journey is to start with your own personal “why.” Why do you want to make charitable contributions? Are you expressing gratitude? Are responding to a crisis or problem that grabbed your attention? Are you giving to honor your family’s connection to a community?
These and other similar reasons for “why” you give are all wonderful, and they offer a launching point for considering “how” you will give. Knowing your “giving why” can lead you to the types of questions you might want to ask organizations. It can help you to connect the transactional elements of giving – how much do I give, which organizations should I support, etc. – to the emotional and spiritual drives that guide your personal philanthropy. It can add an additional, special dimension to your decision making that enables you to know you’re making a difference in the world.
These and other similar reasons for “why” you give offer a launching point for considering “how” you will give.
October 2024
For other perspectives on how you can get the most out your personal philanthropy experience, check out the "Giving Done Right" podcast presented by the Center for Effective Philanthropy.
For additional philanthropy resources, visit the Resources page of the Capital Philanthropy website.
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