Making long-term grants — one of SI’s hallmarks — is a game-changer not only for nonprofits, but also for corporate funders and the community. The Pincus Family Foundation is a perfect example.
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One of the reasons behind the Satell Institute’s major impact in the world of Corporate Social Responsibility is its requirement that members make multi-year gifts to the nonprofits they support. This unique approach (SI members must give $100,000 over four years to the nonprofit of their choice) provides important stability for nonprofits, allowing them to plan and staff appropriately and freeing them from having to operate on a one-year business cycle.
But nonprofits are not the only ones that benefit from the approach. Danielle Scott, president and CEO of the Pincus Family Foundation, a new SI member based in New Jersey, says it also provides important benefits to funders and the community at large.
Scott’s organization is proof of that. Founded by late entrepreneur David Pincus, whose family operated a successful clothing company for decades, the Pincus Family Foundation today provides significant multi-year grants to dozens of nonprofits, with a particular focus on improving the lives of children. It’s an example of how success in business can lead to enormous benefits for the community.
Speaking of benefits: Scott sees the many rewards that come from being a member of the Satell Institute. “I am looking forward to networking with other CEOs to build community, enhance my leadership skills, and look for collaboration opportunities,” she says of joining SI. Such peer-to-peer connections and idea sharing are among the top reasons CEOs cite for why joining SI is so valuable.
In this conversation, Scott — who began as David Pincus’s assistant nearly 30 years ago — talks about the foundation’s trust-based approach to philanthropy; its SI Nonprofit Affiliate, love.futbol; and why long-term giving is beneficial across the board.
The Pincus Family Foundation…
…was founded by David and Gerry Pincus. He converted the Pincus Charitable Fund to the Pincus Family Foundation in 2005. He handpicked his board of trustees, but the board did not come into being until after his death in 2011. He wrote them a letter that pretty much said they didn’t have to do what he did, but that he was leaving them the resources to go out and do good in the world.
David Pincus’s approach…
…was the epitome of kitchen-table philanthropy. Meaning, he wrote a list of organizations that he wanted funded and the amount he wanted them to receive, and I typed it and mailed checks.
We went from that to where we are today, with a staff, a process, and grantmaking capability.
The assets of the foundation…
…actually come from David and Gerry’s art collection. They amassed an art collection that was very nearly equal to that of the Barnes Foundation. It was a collection that included works by Andy Warhol, Jackson Pollock, Rothko, Barnett Newman….All of these things were sold by the estate after Mr. Pincus’s death. So that’s where our endowment comes from.
It was the Pincuses’ belief…
…that you don’t just live life for yourself. You find ways to help others. One of Mr. Pincus’s favorite sayings was, “If you can put a smile on a child’s face even for a moment, it has the potential to change the trajectory of their life.” In other words, a smile is a sense of hope. We still pride ourselves on living that legacy today, continuing as a heart-centric organization providing holistic hugs to the children who benefit from our nonprofit partnerships.
From the very beginning…
…we’ve been a proponent of multi-year funding. Because I was initially a staff of one, it did not make sense for me – nor did I have the capacity — to review repetitive applications that were coming in for funding.
Even as our staff has grown, we’ve stuck with that approach. It makes things easier on the funder, whether they realize it or not. And it eliminates stress and makes things easier for the grantee partner. For us it’s always been about multi-year support.
We also support multi-year funding…
…because we’re a proponent of patient investment. With a lot of issues in the community, there’s no immediate fix. So you have to have patient capital at the ready for organizations to truly have impact. You get a return on your investment not in one year, but over time.
Our four main areas of focus…
… are health and wellness; education; creative and performing arts; and play and recreation. We think that approach is holistic – if children, families and communities have equitable access to all these things, it will help them to be more financially mobile and give children the best opportunities for success in life.
We embrace trust-based philanthropy…
…because we know that our small core grants often go to smaller organizations. We don’t trouble them with a huge amount of paperwork and red tape to be able to report to us. We have a conversation. We ask questions, we make notes. Everyone is saved time and effort, and the job is still getting done.
We learned about the Satell Institute…
…through one of our nonprofit partners, love.fútbol. They’re an amazing organization. We really do appreciate their methodology and how they interact with the community. They’re not coming in trying to rescue anyone; instead, they ask (and listen to) what the community needs to thrive and collaborate on how they can help.
We’re really looking forward…
…to being involved with the Satell Institute. We’ve heard great things from other foundations, and it’s another resource that benefits our nonprofit partners. There’s no cost for us in terms of dues or fees, and it’s just full of opportunities. I am also looking forward to networking with other CEOs to build community, to enhance my leadership skills, and look for collaboration opportunities.
Looking ahead…
…we really want to continue the good work that we’re doing, but also go upstream. We’re having conversations internally about policy and advocacy. Instead of being a funder that is putting a BandAid on the problem, we want to find and participate in ways of preventing them from happening. That is our next step.