New Innovation Fund Encourages Breakthrough Business Models that Combine Enterprise and Social Good for Nonprofit Sustainability

GREENSBORO, N.C., June 1, 2012 /PRNewswire/ -- A partnership between a domestic violence shelter and an affordable housing developer. A nonprofit that serves women refugees from Africa with a growing jewelry-making business in need of seed capital to scale up its operation. A global health organization seeking financial advisors to review its "micro-insurance" model so HIV/AIDS patients can continue their antiretroviral treatment. These are the kinds of cross-sector, collaborative models that the Alliance for Global Good is seeking to support through its new Innovation Fund, announced this week.

Designed to increase the sustainability of medium-sized, US-based nonprofits that work on solving global problems, the Fund is awarding $60,000 grants to encourage financing models which may range from creating new social entrepreneurship revenue streams or cost-sharing initiatives or mergers to reduce overhead and increase efficiencies.

"Organizations heavily reliant upon traditional financial sources such as government funding and individual contributions can too easily fall victim to the economic see-saw," said David M. Brand, AFGG's President & CEO.  "A mix of traditional funding and self-sustaining, earned revenue can provide for greater resilience."

The Fund, announced at AFGG's Inaugural Bipartisan Conference on Innovation in Giving & Philanthropy last November, was developed through market research that confirmed the dearth of similar resources, and endorsed by 10 presidents of leading global nonprofits. 

"We're looking for applicants that have a mature strategy for concrete initiatives that could benefit from late-stage financing," said Dr. Susan Raymond, Executive Vice President of Changing Our World, who worked with the AFGG team to shape the Fund's focus.

Proposals are due June 27, 2012 and will be reviewed by an AFGG-appointed, independent panel of experts from the venture capital, philanthropic and academic sectors. Awards are anticipated in early fall 2012. Also planned is a "Mulligan Fund" which would enable an Innovation Fund grantee to apply for a "do over" with an improved plan for success.

About the Alliance for Global Good

Founded by philanthropist Leonard Kaplan out of concern for global crises that threaten succeeding generations, the Alliance for Global Good brings together exceptional organizations and initiatives for collective impact and promotes philanthropic efficiency and effectiveness.  www.afgg.org.

SOURCE Alliance for Global Good