Philanthropic foundations are entities that aim at making a positive social contribution to society using donated assets of individuals or organisations. Endowments, charitable trusts, community foundations and corporate foundations are examples of philanthropic organizations. The European Philanthropy Coalition for Climate promotes the engagement of foundations in climate related social initiatives (Philanthropy Europe Association, 2022).
Advantages: Philanthrophic funds usually provide funding in the form of grants which need not be paid back. Moreover Philantrophies emphasize strongly on the social component of the project. The funding can be used to create awareness, community engagement and active stakeholder participation.
Disadvantages: To access funding from the philantrophic foundations, the requirements of the funding set by the foundation needs to be met. The access to philanthrophic funding might vary from country to country. Some foundations have a regional or national focus while some have international outreach.