As more corporations come to understand the value of their charitable donations, corporate philanthropy is on the rise. These philanthropic efforts are inspirational, often having a direct and positive impact on the local community through thoughtful grantmaking.
However, launching and managing annual giving campaigns can be a challenging task.
Often, many corporate offices lack the necessary support staff to ensure their charitable donations are directed to a worthy cause. This makes partnering with grantmakers a necessity.
Corporate giving is evolving, and funders need to keep up
Corporate giving no longer consists of one-time checks or end-of-year donations. Today, it’s about fostering long-term relationships and measurable outcomes.
However, many corporate offices lack the necessary resources to connect with grantees or manage the full grant lifecycle. To address this, many companies are increasingly seeking partnerships with grantmakers who share their values and demonstrate the ability to drive measurable impact.
As expectations around giving evolve, it presents a new opportunity for grantmakers. As more organizations seek specialized support, grantmakers must adapt their approach to corporate funding.
Understanding how corporate giving works and what companies expect helps giving partners build lasting relationships that drive impact on both sides.
What is corporate philanthropy?
Corporate philanthropy refers to the ways companies contribute to the public good. While monetary donations are part of the picture, it’s only one part of a broader community involvement initiative.
Companies can contribute by offering:
- Direct donations
- In-kind gifts or services
- Employee matching programs
- Paid volunteer time
- Grants through a corporate foundation
Corporate giving serves a dual purpose. It supports local initiatives, helping to drive meaningful community change. And it also positively influences brand perception, positioning the corporation as a philanthropic community leader.
How corporate giving is changing
Modern companies are shifting away from traditional philanthropy, such as galas or one-time donations. Instead, they’re opting to offer continued support to grantees doing meaningful work aligned with their company’s values and mission.
Unlike one-time donations, these partnerships focus on measurable outcomes. For example, if a company invests in Environmental, Social, and Governance (ESG) causes, it wants to see the data that proves the progress of its philanthropic investments.
Corporate funders need to know that their efforts and donations make a difference and drive meaningful change.
Why grantmakers should care
According to Giving USA, corporate philanthropy increased by 9% compared to the previous year, with over $44 million donated to charitable organizations. As corporate philanthropy continues to gain popularity, strong relationships with grantmakers matter.
Corporate offices often team up with giving partners to help them navigate funding challenges, identify nonprofits that align with their values, and manage philanthropic reporting and compliance.
By partnering with corporate funders, giving partners benefit, too.
They tap into:
- New, diversified funding streams
- Shared visibility and brand awareness for all stakeholders
- Wider networks, including employee engagement
- Opportunities for long-term collaboration
In an environment where funding is competitive and outcomes matter, strategic corporate partnerships enable grantmakers to advance their mission and drive meaningful impact.
What companies want from their giving partners
Expectations placed on grantmakers from corporate partners are high. They want strategic alignment and trust that their partners will get the job done.
Companies often rely on giving partners to:
- Recommend nonprofits aligned with their goals
- Oversee the full grant lifecycle, from application to disbursement
- Provide regular updates and results that they can share internally or with stakeholders
The ability to meet high corporate expectations and keep them informed about the status of their grants, while utilizing effective donor management tools to maintain those relationships, can transform a one-time project into a meaningful, multi-year partnership.
Barriers to corporate–grantmaker collaboration
Although grantmakers and corporate funders share the same goal, partnerships sometimes fall short.
This is caused by several barriers, including:
- Goal misalignment: Tensions will likely arise if stakeholders are not aligned. These tensions are often a determining factor in whether a corporate funder continues a working relationship with a grantmaker.
- Conflicting timelines: Corporate fiscal years and grant cycles often don’t align with the same calendar. This can cause unnecessary delays in both grant disbursement and reporting.
- Reporting challenges: A lack of shared expectations and transparency around metrics can lead to frustration. Before corporations continue providing support, they need to understand the direct impact of their monetary contributions. Without this understanding, they’ll likely pull their support.
Acknowledging these risks upfront enables both parties to establish partnerships that are transparent and sustainable.
How grantmakers can build stronger partnerships
Grantmakers face high expectations. When giving partners fail to meet these expectations, the result is lost corporate partnerships and fewer funded projects that directly impact the local community.
To avoid this, grantmakers need to build stronger partnerships.
This means they:
- Research each company’s values, priorities, and past philanthropic efforts
- Tailor their proposals to reflect shared goals, not just funding needs
- Prioritize communication early by setting expectations, sharing updates, and ensuring timely responses
- Use tools that simplify reporting and make impact easy to demonstrate
- Build accountability into the relationship so that both sides can measure progress
- Create a feedback loop to continually refine your processes
Modern giving partners require a streamlined grant management software that provides a shared dashboard for both funding partners and grant recipients. Philanthropy software empowers corporate funders and grantmakers to manage charitable giving with greater efficiency, transparency, and impact. These platforms integrate tools for grant tracking, donor engagement, and compliance reporting into a single, centralized system.
This software makes it easy for grantmakers to:
- Manage funding applications and send strong proposals to funding partners
- Streamline approval processes
- Send automatic approval reminders to ensure grants move forward
- Disburse funds promptly
- Create clear, consistent compliance reports
When grantmakers come prepared with the correct information and the right systems, they position themselves as reliable, mission-aligned partners.
Start a conversation: Corporate partnerships are a long game worth playing
Corporate giving is changing. However, for grantmakers willing to invest in meaningful relationships, it’s a change worth embracing. With the right approach, systems, and values alignment, corporate partnerships can be a source of funding stability, innovation, and long-term impact.
Grant management systems are essential for giving partners to help streamline corporate philanthropy. With shared dashboards, transparent reporting, and responsive communication, grantmakers can strengthen donor relationship management and forge lasting partnerships with both corporate donors and mission-aligned recipients.
Want to streamline your data and reporting to stand out to corporate funders?
See how Foundant makes grant management easier. Or, discover how Foundant’s grantmaker software and grants management dashboard simplify the entire lifecycle of corporate giving and support stronger funding relationships.