New research published by the Center for Effective Philanthropy shows that while nonprofits of all types are seeing an impact from the coronavirus pandemic, charities that provide direct services and serve historically disadvantaged populations are getting hit the worst.
The study, based on a May survey of CEOs from nonprofit, grant‐seeking organizations, also shows that:
Nonprofits that rely on foundation funding are experiencing fewer negative impacts and more stable funding than those relying more on earned revenue or gifts from individual donors.
Although staffed foundation funders and major donors have been helpful during the pandemic, major donors are significantly less likely to have talked with nonprofits that are led by women about how they will support them in the future.
According to the CEP, the survey also highlights what nonprofits have found to be most helpful from institutional foundations and donors, as well as what they need most from both groups now. Per the survey, funders can do more to support nonprofits, especially those that provide direct services and serve historically disadvantaged communities, by:
- providing more funding, if possible;
- providing unrestricted funding; and reaching out to provide transparency about how the pandemic will impact future support.
At a time when many charities are facing simultaneous increases in demand for services and decreases in revenue, it's increasingly critical for foundation leaders and donors to identify the nonprofit organizations aligned with their goals that are facing the biggest challenges, and support them, according to CEP President Phil Buchanan.
“This new data can help guide funders as they determine how they can have the most positive impact during the current crisis, especially in helping organizations serving the most marginalized and vulnerable in our society—the very people who are being disproportionately negatively impacted by the COVID‐19 crisis,” Buchanan said.
For more information, visit https://cep.org.
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July 15, 2020 at 07:52AM
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Direct service providers hit hardest by pandemic - 2020 - Nonprofit Business Advisor - Wiley
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