Giving Compass' Take:

• The Trust-Based Philanthropy Project focuses on increasing trust in grantee-funder relationships by using technology that encourages transparency between the two parties.

• Individual donors can also utilize technology to better understand organizational missions and improve trust with nonprofit leaders before making strategic, charitable decisions. 

• Read more about trust-based philanthropy.

An important philanthropic project was just announced. It’s an extension of a movement that’s been discussed for years, bandied about with varying degrees of success, and is now implemented by some foundations, including the Day One Families Fund – Jeff Bezos official entry into philanthropy. This movement plays a key part in the Fluxx mission, and we hope to see this employed more often. We’re talking of course about the recently announced Trust-Based Philanthropy Project.

The Trust-Based Philanthropy Project aims to reimagine traditional funder-grantee relationships and they “work with foundations to create a philanthropic ecosystem that is trust-based.” The founders of this movement – The Headwaters Foundation, Robert Sterling Clark Foundation, and Whitman Institute – aim to do this by providing tools and resources to grantmakers that help them approach their work with transparency and humility. This is the kind of work that will help build a thriving philanthropic network, so we can all better serve grantees, our impact, and missions!

Yes, the Trust-Based Philanthropy Project isn’t the only project of its kind. For years funders have researched and examined their own entrenched power imbalances, partnered with grantees in the hopes of better serving their beneficiaries, and developed internal plans to allow for more transparent philanthropy. Rather, this project is a continuation of concerted efforts – a coalescing of years-long attempts to solve long-standing problems.

The Trust-Based Philanthropy Project encourages funders to adjust their process in six ways including: giving multi-year unrestricted funding, simplifying and streamlining paperwork, offering responsive transparency, soliciting and acting upon grantee feedback, providing support beyond the check, and encouraging grantmakers to do their own homework. This is where technology can really help facilitate change. The right technology acts as a partner to your organization will make these efforts easier for any team.

Read the full article about technology and trust-based philanthropy by Casey Pechan at Fluxx.