The recent settlement reached in the case against the Fearless Fund, which provides grants to businesses led by women of color, should not deter funders from supporting racial and gender equity initiatives. As I recently wrote in TIME Magazine: “Targeted efforts like those offered by the Fearless Fund and the program I lead, Magnolia Mother’s Trust, are essential to bringing balance to our economic structures. Such initiatives recognize the unique challenges faced by marginalized groups and provide the specific support needed to overcome these barriers.”
Instead of allowing a single decision by a conservative-leaning court and the subsequent settlement of the suit to derail an entire area of funding, it should galvanize the philanthropic community to double down on their commitment to these crucial causes. As Columbus School of Law Professor Roger Calvinaux pointed out recently in The Chronicle of Philanthropy, “Decades of precedent supporting affirmative action efforts by charities remains intact.”
This setback highlights the urgent need for more, not less, support for organizations working to level the playing field.
The stakes are too high to retreat now — the Fearless Fund aims to right the wrong that less than 1 percent of venture capital goes to companies led by women of color, while my work to provide guaranteed income to Black mothers experiencing extreme poverty also highlights the importance of programs targeted to the most vulnerable. Our most recent results show tremendous impact, such as the number of moms experiencing serious stress over finances slashed in half, and the number of moms able to pay their bills on time more than doubling. In a country where Black women earn 64 cents for every white man’s dollar and hold 90 percent less wealth, we need more of these programs, not fewer.
Key Actions for Funders
For funders who aren’t sure where to start — or if your existing practices align with your equity values — here are five actions you can take now to better support progress toward gender and racial equity.
- Trust and Empower Black-Led Organizations: Philanthropy must shift its focus from seeking out “shiny” high-profile individuals to trusting and empowering grassroots organizations deeply embedded in their communities. These are the groups doing the hard, often unglamorous work of creating lasting change.
- Provide Unrestricted Funding: Black-led organizations need the flexibility to respond to evolving community needs. Unrestricted funding allows these organizations to allocate resources where they’re most needed — and respond as those needs shift — rather than being constrained by narrow grant parameters.
- Simplify Reporting Requirements: While there was a trend towards less restrictive reporting during the height of the COVID-19 pandemic, many funders have reverted to burdensome reporting processes. It’s time to permanently streamline these requirements, allowing organizations to focus on their mission rather than paperwork.
- Accept Unsolicited Proposals: Not every impactful organization has the social capital to get on a funder’s radar. Philanthropy needs to share the burden of discovery by accepting unsolicited proposals from lesser-known but equally deserving organizations.
- Do Your Homework: As a funder, you’re used to potential grantees seeking you out. But many of the most impactful organizations are too busy doing the actual work to chase down new funding, even when it’s desperately needed. I’ll never forget the moment a program officer from the Kresge Foundation saw me in a TV interview and called me up to ask what I needed to grow my impact. That support has been integral to my organization’s work and wouldn’t have happened without her proactive attention.
A Call for Sustained Commitment
By providing consistent, trust-based support to Black women-led initiatives, funders can help create lasting change in communities across the nation. This support cannot take the form of a momentary spotlight, either, following trends in, say, electoral politics, or the latest buzzy social movement; it must be sustained, long-term, and about recognizing and nurturing the leadership that’s always been present in our communities.
Funders must understand that investing in Black-led organizations is not a seasonal commitment but a year-round necessity. Trust in the leadership and vision of these organizations, knowing they have the expertise and lived experience to create meaningful change. Philanthropy needs to go beyond the surface, supporting those on the ground, the ones often overlooked because they aren’t in the spotlight but are nonetheless making impactful strides.
Together, let’s challenge philanthropy to match the unwavering commitment of Black women to their communities. It’s time for funders to stand with Black women and finally repair the harms our unjust policies have caused Black Americans; which will inevitably lead to a more just society for all.
Aisha Nyandoro is the founding CEO of Springboard to Opportunities.
