DonateStock celebrates Black Philanthropy Month

August is Black Philanthropy Month! DonateStock is honoring this global celebration and concerted campaign to elevate Black giving. Dr. Jacqueline Bouvier Copeland founded Black Philanthropy Month to recognize the heroes and their devotion to fighting systematic racism, raising visibility, expanding reach, and broadening direct services of local organizations working on the frontlines of social change within Black communities. BPM focuses not only on Black organizations but also on their allies and the critical role they play in supporting this movement.

In 2019, America’s charitable giving reached a record-breaking $450 billion, however, just 4% of the money went to nonprofits run by Black and other minority leaders. 2020 was an even greater year for gifting. For example, $11.4 billion was contributed to the COVID-19 campaign, while $7.6 billion was allocated to racial equity. While efforts to spread awareness about the giving gap have been successful, more action is needed for a substantial change in racial equality. According to a recent poll by the Associated Press, 22 percent of Black and African Americans were shown to be more likely to donate to charities, with the same statistic being reported for Hispanics. Overall, 28 percent of people of color surveyed said they would be willing to donate more if approached.

According to research by the National Center for Responsive Philanthropy, community foundation financing for Black neighborhoods accounts for just 1% of the total. They state that "The total Black population is 15%, resulting in a $2 billion financing gap for Black areas." 

💡Do you know that Black-led nonprofits receive substantially less investment than organizations that do the same work but have white leadership?

💡The revenue of Black-led organizations is 24% smaller than their white-led counterparts, and their unrestricted net assets are 76% smaller.

Black communities have been giving back to those in need for centuries, and this legacy lives on today. Studies have shown that out of all racial and ethnic groups, Black families have contributed the largest proportion of their wealth to charity since 2010—despite a long history of structural barriers that have prevented Black communities from building generational wealth and creating a clear equity gap.

GIVING GAP
In September 2020, Christina Lewis, founder and president of All Star Code, Stephanie Ellis-Smith, CEO of Phīla Engaged Giving, and David Setiadi, CTO of Point of Care Funding, launched Giving Gap (formerly known as Give Blck), where the premise that philanthropic support of Black-led nonprofits is a critical piece to tackling systemic racism.

Giving Gap is a donor platform to advance racial equity in giving and mobilize positive action for Black lives by connecting people to causes they care about. They are building the movement for the equitable funding of Black-founded nonprofits by amplifying Black-founded organizations.  

Giving Gap provides three main resources: 1) a platform that allows individuals and institutions to learn about and give to vetted Black-founded nonprofits 2) research, data, and reporting that documents the strengths and needs of Black-founded nonprofits 3) Fundraising and awareness campaigns to facilitate giving and positive action for Black communities.

“Black Philanthropy month has been a call to action since its inception. This year's theme ‘Fierce Equity of Now: From Dreams to Action’, however is a rallying cry. The observance should prompt the entire philanthropic sector to live and work into our promises to support Black communities' efforts to achieve equity. For Black-founded and led organizations, it is a moment to celebrate the catalytic impact of Black philanthropy as we renew our commitment to support our communities achieving their highest potential.” - Giving Gap CEO, Aisha Alexander-Young