Giving Compass' Take:

• In early June, three foundations came together for the Funder Collective for More Effective Partnerships to discuss the impact of flexible funding for WASH initiatives and the implications of this type of funding on key stakeholders involved. 

• Discussions included how funder support can go beyond financial help.  Will this be a new trend in philanthropy? Is this a more effective way for funders and grantees to be successful in the overall mission?

• Read about the challenges for philanthropists in tackling clean water initiatives.

On June 7th, a rather rainy day at the Philanthropy House in Brussels, Belgium, Improve International convened a group of 14 people for the 3rd gathering of the Funder Collective for More Effective Partnerships. Over coffee, they met or got re-acquainted. Then representatives of three different types of funders – the Stone Family Foundation, Vitol Foundation, and Viva con Agua — talked about their take on a similar topic:

Can flexible funding lead to better and longer lasting results when it comes to water, sanitation, and hygiene interventions?

An active discussion led to the following key takeaways:

  • Flexible funding is less about supporting projects and more about supporting people to achieve impacts.
  • Flexible funders are patient
  • Flexibility is great but adds complexity
  • Funders can support non-profits and entrepreneurs beyond finance.
  • To contribute to learning and communication, funders should invest in robust, yet efficient monitoring and evaluation
  • There are formal and informal collaborations for funders. Advantages include:
    • Better supporting the enabling environment or systems strengthening, streamlining processes for grantees, and increasing efficiency for funders themselves.
    • Reducing duplication of effort for grantees, such as sharing reporting requirements.
    • Increasing efficiency by sharing ways to measure social return on investment.
    • Spreading risk by co-funding untested activities, those in unstable environments, or with low profitability.

Read the full article about flexible funding by Susan Davis at WASHfunders