Philanthropic advisory firms and intermediaries support and guide donors and grantees in the philanthropic sector. These organizations offer a range of services, including philanthropic strategy development, grantmaking support, impact measurement and evaluation, and administrative and operational services.

They fall broadly into two groups: those that work directly with donors, such as philanthropic advisory firms, and those that work with both donors and grantees, such as community foundations and donor-advised fund providers.

Philanthropic advisory firms work directly with donors to help them develop and implement their philanthropic strategies. These firms offer a range of services, including philanthropic planning and strategy development, grantmaking support, and impact measurement and evaluation.

They may also engage in family philanthropy, such as facilitating family meetings and providing governance and succession planning support. Some philanthropic advisory firms also specialize in working with specific types of donors, such as high-net-worth individuals or corporate foundations.

Community foundations and donor-advised fund providers work with both donors and grantees. These organizations provide a range of services, including donor-advised funds, philanthropic planning and strategy development, and grantmaking support. They may also offer administrative and operational services, such as financial management and accounting, and legal and tax services.

Differences and similarities between philanthropic advisory firms and intermediaries

So while they both support donors and grantees, there are some key differences – on their scope, and involvement in grantmaking.

Philanthropic advisory firms typically work exclusively with donors and offer a broad range of services related to philanthropic strategy development, grantmaking, and impact measurement. On the other hand, community foundations and donor-advised fund providers work with donors and grantees and offer a wider range of services, including donor-advised funds and administrative and operational support.

Another difference is the level of involvement in the grantmaking process. Philanthropic advisory firms typically work closely with donors to develop their philanthropic strategies and may provide ongoing support and guidance throughout the grantmaking process. On the other hand, community foundations and donor-advised fund providers typically provide administrative support for grantmaking and may have less involvement in the strategic decision-making process.

Despite these differences, philanthropic advisory firms and intermediaries play important roles in the philanthropic sector and provide valuable support and guidance to donors and grantees. They’re both important to donors and grantees for several reasons – and they’re essential to philanthropy.

First, they provide expertise and guidance on philanthropic strategy development, grantmaking, and impact measurement. This support can help donors and grantees to maximize the impact of their philanthropic investments and ensure that their resources are being used effectively.

Second, they provide access to a network of other donors and grantees, which can facilitate collaboration and partnership in the philanthropic sector.

Finally, philanthropic advisory firms and intermediaries provide administrative and operational support, which can help to streamline the grantmaking process and reduce the administrative