How to Turn $1 into $138? Give it to a Non-Profit

Non-profits provide great benefit to our communities and this study by the National Committee for Responsive Philanthropy quantifies their impact. The comprehensive study of 15 Minnesota non-profits shows that for every dollar that foundations invest in the organizing and advocacy work of non-profits, there is a return on investment of $138 for communities.

The report went on to say that grantmakers can achieve the greatest return on investments by following these recommendations:

1. Increase the percentage of grant dollars devoted to advocacy, community organizing and civic engagement.
2. Engage board members and donors in dialogue about how advocacy and organizing can help a grantmaking institution achieve its long-term goals.
3. Strengthen peer learning and strategizing about advocacy and organizing.
4. Engage nonprofit partners in strategic planning and grantmaking process of foundations.
5. Apply a racial equity lens to grantmaking.
6. Provide general operating support and multiyear grants.

These are all important recommendations, but having foundations pay attention to number six would make a huge difference for non-profits who struggle to fund their operating expenses every year. Let's hope that the message is heard by foundations across the state.