Stripe, a financial services provider, continues to raise capital from investors by allowing its employees to sell privately held shares every 6 months. This allows the company to defer an Initial Public Offering (IPO) strategy but rewards employees with access to a limited equity market at set intervals. Investors can deploy their funds into a privately held company.

Nonprofits mirror this activity in their fundraising efforts. At specified intervals, social sector organizations appeal to donors, foundations, and companies to make philanthropic investments in their missions. Those organizations perceived to have a remarkable impact, the ability to scale, or to generate visibility for a cause often receive greater support than those that may be less effective or working on causes not as valued by large segments of society. Although the nonprofit employees are not selling shares to enrich themselves, they are putting their work on public display and having it evaluated by the philanthropic market.

What if the nonprofit sector took a private equity mindset at times? What if we offered a limited number of spaces to donors to fund our enterprise, so the return on investment was better for the community, individuals, and the environment? How might we recognize that passively passing a hat around may be a legacy that does not work for all our supporters?