Venture Philanthropy
In general, project support will be in the form of finance, networks and non-financial support and expertise.
The NTR Foundation’s funding policy will be to focus investment into a small number of large multi-annual projects, using a venture philanthropy approach.
Venture Philanthropy is an approach which adapts some principles of venture capital to organisations that provide a public and/or social benefit. A significant difference between venture philanthropy and traditional grant-making is that venture philanthropy also involves the provision of advice and other capacity-building support, in addition to financial investment.
Key characteristics of the venture philanthropy approach include:
- High engagement by the funder - The NTR Foundation will have established a close relationship with the selected organisation, from the period of due diligence, through to business planning and if successful, this will contine during the period of multi-annual investment. The NTR Foundation may take a Board seat in the organisation it decides to invest in.
- Financial Investment - The NTR Foundation, in conjunction with the selected organisation, will decide on the most appropriate type of financing for the organisation concerned, always mindful of the need to ensure financial sustainability post NTR Foundation investment.
- Multi-annual support - The NTR Foundation will invest in a small number of large multi-annual International Projects, typically 3 years in duration.
- Non-financial support - In addition to financial investment, venture philanthropy involves the provision of value added services for the selected organisation from the NTR Foundation and NTR plc. Such services could include assistance with strategic planning, marketing and communications, executive coaching, HR advice, access to other networks and potential funders.
- Organisational capacity-building - If necessary, the NTR Foundation will also invest in building operational capacity and long-term viability of the organisations it chooses to invest in, rather than grant funding individual projects or programmes.
- Performance measurement - NTR Foundation investments will be performance based, demanding measurable social and environmental outcomes and a high level of financial accountability and management.
For further information on venture philanthropy please visit www.evpa.eu.com