Philanthropic equity is a grant with the purpose of building the capacity of an organization to deliver positive impact in the future, rather than a grant that covers the cost for a certain number of impact outcomes to happen.
The latter is what we know as traditional philanthropy, where a donation, for example, pays for the cost of providing a set number of children with access to education. With philanthropic equity, the intention might be to help a non-profit to build a team, a new website to improve their fundraising or fund a pilot study that could help secure earnings in the future.
Although both types of grant making are needed, the method of philanthropic equity has a lot of commonalities to how EQT supports portfolio companies, and thus there are numerous of ways we can help non-profit organizations and social entrepreneurs build their capacity for greater impact in the future based on our existing skillset and ways of working. EQT Foundation therefore supports non-profit organizations and entrepreneurs with grants accompanied by advice on everything from digital business development to fundraising, future-proofing their organizations and amplifying their impact creation.