The nonprofit world consists of numerous dynamics between funders, stakeholders, administrators, and recipients. As with other institutions that have been developed and sustained under a racist and classist framework, grantmaking contains racial inequities and underrepresentation.
In recent years, philanthropic enterprises have started to include important concepts such as equity and racial justice into the ongoing conversation on how funding is best distributed.
According to data collected from various foundations, the majority of leadership roles in foundations are White. Board chairs, executives, and board members are almost exclusively White. As these are the individuals who set granting priorities and select recipients, the lack of diversity at the top creates a domino effect on the rest of the philanthropic sector, which makes decisions largely without the input of people of color.
Underrepresentation in grantmaking is not due to a lack of qualified or interested candidates.
In fact there is little difference between the credentials held by people of color or their White counterparts in the industry.
Instead, it is the non-inclusive and discriminatory culture that is pervasive in many foundations and grantmakers that push BIPOC out of organizations.
BIPOC philanthropy professionals are more likely to feel isolated, undervalued, and underrepresented.
The same forces that hinder the professional and leadership development of BIPOC professionals can also impact how grant applicants are considered and funded. For example, the nonprofit consulting firm, the Bridgespan Group, identified four major barriers to capital encountered by nonprofits led by people of color:
- Connection: Nonprofit leaders of color are less likely to have access to the social connections and network that is often used by philanthropic organizations to vet and select grantees.
- Rapport: While grantors may want to support causes that impact people of color, they may lack insight into their own biases that affect how they perceive with people from those communities. Encountering insensitive language or microaggressions from donors can make it difficult for nonprofit leaders to build interpersonal relationships.
- Securing Support: Nonprofits that are responsive to the needs of their communities in a culturally-relevant manner may use strategies and evaluation metrics that are unfamiliar to grantors. The lack of understanding can cause donors to overlook programs.
- Sustaining Relationships: Grantors may enforce overly-rigid and culturally-inappropriate measurement and progress criteria on organizations that can strain the relationship, even if an award is granted.
The unifying source of the above obstacles is the fact that traditional philanthropy is centered in Whiteness.
In a society where recognizing and challenging White supremacy has only recently gained mainstream attention, this is a serious issue.
In his blog, Nonprofit AF, activist, writer and former Executive Director Vu Ley vividly describes the problem:
“We need to acknowledge that the things that most donors care about, the things that make them feel good, are often the things that will LEAST LIKELY change the systems of oppression and exploitation that make philanthropy necessary. By constantly working to connect these donors to what tugs at their hearts, what will make their eyes sparkle, instead of what will actually effect change, we reward and reinforce their avoidance of thinking about and their complicity in advancing white supremacy.”
(White supremacy and the problem with centering donors’ interests and emotions, https://nonprofitaf.com/2021/03/white-supremacy-and-the-problem-with-centering-donors-interests-and-emotions/)
Actively countering White supremacy in philanthropy can manifest in multiple forms. Simply drafting a statement about “inclusivity and diversity” and practicing “color-blind” grantmaking is not enough. An effective action plan would include at minimum the following steps:
- Hire more people of color in leadership positions: People of color are underrepresented in all aspects of philanthropy. Having a more diverse executive team can enable foundations and grantmakers to create important relationships and build a more inclusive portfolio.
- Address bias in funder-grantee relationships: Ignoring the power dynamics at play in the philanthropy space will not make it disappear. It must be continuously examined and discussed and include and uplift people of color in the conversation.
- Set aggressive DEI goals: Only a quarter of grantmakers have developed DEI (Diversity, Equity, and Inclusion) goals in their strategic plan. Considering the staggering extent of the funding gap for BIPOC-led organizations, grantmakers should feel no hesitation to revamp their processes and go big and fast in accelerating their giving to underrepresented communities.
This list is a start, but far from exhaustive.
If foundations and grantmakers really want to change the world, they must begin with themselves.
Are their policies and procedures actively anti-racist or perpetuating the most damaging aspects of White supremacy? The only way for funders to find out is to get out of the spotlight and give other voices a chance to be heard.
If you want to be part of a diverse grant writing community, and are looking for guidance on how to apply for grants, we’ve got you covered inside Grant Writing Made Easy, our comprehensive grant writing course.