Why it Works : A clear need

International grantmaking is resilient

International giving by U.S. foundations has grown steadily in recent years, increasing faster than overall giving between 2006 and 2008¹. Despite the global recession, U.S. foundations maintained their commitment to international grantmaking in 2009².

During the economic recovery, U.S. foundations and other donors will be looking for new ways to reduce costs and increase the efficiency of their grantmaking process in order to maintain their support of foreign organizations.

Grantmaking to non-U.S. organizations can be complicated

International grantmaking poses challenges not found in domestic giving. In order to comply with IRS regulations, U.S. grantmakers often make an equivalency determination (ED) to ensure that an intended foreign grantee is equivalent to a U.S. public charity. Working with NGOs in different time zones with potential language and cultural barriers can add to the already challenging legal process of evaluating these organizations.

NGOsource will streamline international grantmaking

NGOsource will make it possible for U.S. grantmakers to quickly and accurately determine if their intended foreign grantee is equivalent to a U.S. public charity. Our ED process uses advanced research on the legal, financial, operational, and cultural parameters of charitable organizations around the world.

After a grantmaker joins NGOsource and submits an ED request, NGOsource will proactively gather information from the NGO and expertly evaluate whether it is equivalent to a U.S. public charity. Take a tour to learn more.

Our goal: increase international grantmaking

NGOsource aims to inspire a significant increase in cross-border philanthropy through greater efficiency. By eliminating the need for each grantmaker to conduct its own ED, NGOsource will reduce duplicative efforts. By lowering costs, NGOsource will make international grantmaking more accessible to the entire philanthropic community.

In our survey³ of U.S. grantmakers making international grants, 83 percent said their international grants would increase or stay the same if an ED service like NGOsource were available.

Learn more about how NGOsource will help.