Strengthening Communities of Color through Capacity Investments

Nonprofit organizations play a vital role in addressing societal challenges, though many

struggle to sustain their operations due to limited access to resources, e.g., staff and

funding, but capacity building is so much more.

Capacity building is the process of increasing an organization’s ability to achieve its

mission and goals. It involves improving the skills, knowledge, and resources of the

organization to enable it to make informed decisions and adapt to changing

circumstances while also functioning more efficiently and effectively. It is an ongoing

process that enables nonprofits to strengthen their internal structures, enhance their

effectiveness, and achieve their mission in a sustainable manner.

Philanthropy must invest in nonprofit leaders of color:

Nonprofit capacity building is particularly important for nonprofits led by and serving

communities of color because they often face unique challenges that can hinder their

ability to lead and sustain their organizations. These challenges include systemic racism,

bias, and discrimination, which can limit their access to resources and opportunities.

Overcoming systemic barriers: Nonprofit leaders of color often face systemic barriers

that can limit their access to funding, networking opportunities, and other resources.

Capacity building can help them overcome these barriers by equipping them with the

skills and knowledge they need to navigate the nonprofit sector and secure the resources

they need to sustain their organizations.

Strengthening leadership skills: Nonprofit capacity building can help leaders of color

develop the skills they need to effectively manage and lead their organizations. This can

include training in areas such as strategic planning, financial management, and board

development. Leaders of color do not “just need more training,” they need equitable

access to social and financial capital.

Building networks and partnerships: Capacity building can help nonprofit leaders of

color build strong networks and partnerships with other organizations and individuals in

the nonprofit sector. This can help them access new funding opportunities, build

collaborations, and expand their reach.

Empowering communities: Capacity building can help nonprofit leaders of color uplift

the communities they serve by strengthening their organizations and increasing their

impact. This can lead to greater community engagement, increased trust, and a stronger

sense of ownership and investment in the organization's mission.

Increasing visibility: Grassroots and emerging nonprofits, especially those led by people

of color, are often less well-known than larger, more established organizations despite

having fewer degrees of separation from the constituents they serve. Organizations who

invest in their capacity early on can build upon their positive reputation in the

community, which can attract new donors, volunteers, and partnerships.

How to know what investments an organization needs:

Create opportunities for nonprofit leaders to tell you what they need and listen. Capacity

building can encompass a range of activities, including training and development,

financial management, fundraising, strategic planning, governance, and leadership

development. The goal is to support the nonprofit in identifying and building the

necessary infrastructure needed to deliver high-quality services and create a lasting

impact on the community they serve. Additionally, below are a few specific ways

nonprofit organizations can build capacity:

Professional development: Providing staff and volunteers with training and

development opportunities can enhance their skills and knowledge, which can lead to

increased efficiency and effectiveness.

Strategic planning: Developing a strategic plan can help nonprofits identify their goals,

strengths, weaknesses, and opportunities, and create a roadmap for achieving their

mission.

Financial management: Developing sound financial management practices, such as

budgeting, cash flow management, and financial reporting, can help nonprofits make

informed financial decisions and manage their resources effectively.

Board development: Recruiting and training a diverse and skilled board of directors can

provide nonprofits with strategic guidance, oversight, and support.

Collaboration and partnerships: Building partnerships and collaborations with other

organizations can enable nonprofits to leverage their strengths, share resources, and

achieve common goals.

Roadmap for success:

Equitable capacity building investments for nonprofit leaders of color provide the

resources necessary to overcome systemic barriers and uplift communities. Our

partnership with Resilia ensures a fully customizable, self-directed learning platform, one-

on-one coaching support, a funder finder, and most important—every member of the

participant organization has access to the platform—not just the executive director. This

means volunteers and board members all have access to the learning tools and resources

to aid the organization at every level!

Learn more about our partnership with Resilia.

POC Collaborative Community Resource Center is an Omaha-based 501(c)(3) nonprofit

organization that serves as a centralized hub for training, resources, support, and learning

related to forming, launching, and operating a for-profit, nonprofit, or social enterprise

business.