Capacity Building – The Other Side of the Philanthropy Equation
It’s time to start a broader conversation about how government can support the capacity of Not for Profits to engage with philanthropy writes Krystian Seibert, Policy and Research Manager with Philanthropy Australia.
In policy debates about growing philanthropy in Australia, we often focus on the ‘supply-side’ how new taxation arrangements or improved regulatory frameworks could encourage more giving. It’s like an aquifer running under your land it’s great to know it’s there but unless you can dig a well then the flowing water isn’t much use to you.
An innovative, vibrant, sustainable and independent not-for-profit sector can only benefit from philanthropy if they know how to tap into it more importantly, this is also the only way for our community to benefit from philanthropy.
That’s why building the capacity of Not for Profits to engage with philanthropy needs to be a priority.
Many organisations are geared towards building this capacity. This will in turn inhibit their ability to grow and innovate.
It’s a bit of a vicious circle you need investment to grow and innovate, but without the funds that come from growth and innovation, it’s hard to make the investment!
Governments of all political persuasions talk about the benefits of a vibrant and sustainable Not for Profit sector, and for good reason.
But Government also has limited funding which it can direct towards Not for Profits , and in any event neither Government nor the Not for Profit sector wants a situation where organisations are too dependent on any one source of funding, including government funding.
The ‘under-supply’ of capacity building investment within the Not for Profit sector provides an argument for some form of government support for capacity building, to enable Not for Profits to engage more effectively with philanthropy. Funded by the Australian Government, it continues to invest in the professional and business development of cultural sector organisations to maximise their partnership potential and long-term growth, and by working with business and philanthropists to facilitate partnerships and investment.
If Government supports capacity building initiatives within the cultural sector, it’s reasonable to ask why such support couldn’t be replicated in other parts of the Not for Profit sector.
One area in particular where such capacity building initiatives could be of particular benefit is the disability sector. Of course, there are also other areas which could merit consideration as well.
In any event, it’s time to start a broader conversation about how Government can support the capacity of Not for Profits to engage with philanthropy because at the moment it’s the side of philanthropy equation which doesn’t receive enough attention.
About the author: Krystian Seibert is a regular columnist for Pro Bono Australia on philanthropy, public policy and research.