The Growth of European Venture Philanthropy

Nonprofits and NGOs are growing in scale, creating banks and financing mechanisms that in turn review proposals and fund smaller efforts in target areas whether education, housing or health care. Venture philanthropy support, as explained by an article in Stanford Social Innovation Review, includes financing, mentoring, networking, performance measurements and more. The authors suggest that Europe’s venture philanthropy, which happens to rely more on debt support than grant making, could take on a more diverse character than that in the United States. Social needs are great in the midst of the eurocrisis. Venture philanthropy could struggle or flourish as it supplements struggling government programs: “Instead of relying on the traditional social democratic or welfare model of funding and operating social services, governments throughout Europe are now actively experimenting with models based on social enterprises and social entrepreneurs,” the writers explain. “These new government approaches, combined with the growth of private venture philanthropy, may set the stage for significant changes in the European social landscape.” – YaleGlobal