The culture of American Jewish philanthropy is generous and deeply values-driven. It can also be fragmented, informal and vulnerable to mission drift, especially during leadership transitions or moments of rapid giving. Over the past year, in conversations with foundations and major donors, I heard questions that deeply resonated with me: 

How can we create or expand a field when the nonprofit organizations involved do not have a culture of collaboration and there is a sparse donor pool? 

How do we transmit values to the next generation in a way that maintains the founders’ values while providing future generations with flexibility in a rapidly-changing world?

Strategic philanthropy is a nice term, but how can we apply it in the real world to increase the impact of our giving? 

Are our board practices keeping us both compliant and effective? 

How do we write grant agreements that protect us from financial, operational and reputational risks? 

Should we provide general operating support rather than program funding – and if so, in what cases? 

When does it make sense to spend down a foundation? 

Do I need to hire staff to support my growing philanthropy?

Those questions led me to create a set of brief articles called “Foundations in Focus,” each focused on one question and offering practical advice for funders. Each piece is designed to be read in minutes and provide possible next steps for readers. The series aims to turn common points of puzzlement into shared language and actionable advice for funders, foundation boards and professional staff.  

Three principles shaped the series. First, brevity with utility: each piece is short, but every paragraph earns its place and translates concepts into actions. Second, neutrality with clarity. We present the tradeoffs and recommend processes that fit diverse values and contexts. Third and finally, immediate usability — every one of these pieces should be applicable today, wherever and for whoever they are relevant.

Most of the pieces draw from decades of experience and are enriched by recent efforts with and on behalf of clients of JFN Consulting. I had a mentor, Samuel J. “Buddy” Silberman, who liked to say, “Life is too short to learn only from your own mistakes.” Over the course of the series, I try to share learning from both failures and successes. Here are some examples of subjects covered:

Maintaining a foundation’s values in a generational transition

Tools such as “Legacy Letters” are concise documents that capture founders’ values, lessons learned, governance, grantmaking guidelines and expectations for the future. They are springboards for cross-generational conversation, leading to board training for the new generation. 

What strategic philanthropy means

Many funders describe their work as strategic, but strategy is more than selecting an area of focus. True strategic philanthropy begins with defining a problem, setting measurable goals, identifying barriers, and aligning resources and timelines to overcome the barriers and achieve enduring impact. Approaching philanthropy this way turns good intentions into focused, coordinated action and helps boards make decisions grounded in evidence rather than habit.

Why board training matters

Informal practices can bring family members together, but informality can also create legal and operational risk. Board education helps board members understand what a highly-performing board means — from legal duties and conflicts of interest to strategy, due diligence, site visits, and decisions about renewal versus exit. The goal of training is confident, well-informed, ethical and fair governance that leads to impactful philanthropy.

Designing Effective grant agreements

A strong agreement includes benchmarks, sensible exit rights for key person changes or program failure, and thoughtful handling of intellectual property. In current times, grant agreements should also address concerns about antisemitism or delegitimization.

General operating support and trust-based philanthropy

Unrestricted support can be appropriate in some contexts, such as when partially funding the implementation of a strong strategic plan in a trusted organization or when a grant is small relative to the donor’s annual budget. I argue that it should not be a universal default.

Deciding whether to continue in perpetuity or spend down

There are factors on both sides. Reasons to sunset include meeting urgent needs now, concern that future generations will not devote sufficient time to philanthropy and trepidation about values drift. Reasons to continue in perpetuity include the long time horizons needed for social change, the desire to be present to seize future opportunities, and perpetuating the legacy of the founders. The decision whether to spend-down should be made in a process that considers the priorities of each foundation’s goals and priorities.

Red and yellow flags in due diligence

Making a grant involves at least three kinds of risk: wasted funds, worsening the problem and reputational damage. For this reason, due diligence should include a careful examination of both the organization and project being considered for funding. I offer a list of red and yellow flags.

The series is not a theory of everything. It is a toolkit for decisions when clarity and craft matter. It will not necessarily answer your questions, but help you surface the choices and considerations that will clarify the decision-making. 

The series is also not intended to be the final word on any subject. Working at JFN, I continuously refine my thinking based on feedback from the 3,100 funders involved in the JFN network. I invite you to tell me what is missing or would make the brief pieces more useful. 

I invite anyone facing one of the issues to use these nuggets where relevant and let us know if you find them helpful. Where relevant, consider using these pieces as a basis for board discussion. Jewish philanthropy works best when it marries conviction with craft, purpose with process, and generosity with learning. The needs in our communities are urgent. The call for wisdom and discipline is just as urgent. My hope is that these concise lessons help more funders move from good intentions to better practice, one board conversation at a time.

Yossi Prager is the senior managing director of JFN Consulting.