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Power You Can't Use On Your Own Terms Isn't Power: What Candid's "Invisible Majority" Webinar Left Unsaid

claudiotancawk
Jun 21
5 min read

Candid's recent webinar, "The Invisible Majority," put hard numbers on something small nonprofits have felt for years: they make up most of the sector, yet barely register in the foundation funding economy. According to Candid's own data, very small organizations account for roughly 60 percent of registered nonprofits but receive only about 0.4 percent of foundation grants. Even when they do win a grant, it is more likely to be a one-time award than a renewable relationship that larger organizations take for granted.


That imbalance is structural, and it matters for anyone trying to build a resilient organization rather than another fragile competitor in a zero-sum grants game.



The quiet part, Candid's own staff admitted

During the webinar, I asked the panel directly: "You're describing power nonprofits supposedly hold over foundations, but power that only exists in aggregate and can't be exercised by any single organization isn't power, it's a statistic. What would actual, usable leverage look like for one $50K nonprofit, today?"


The panel's honesty went a level deeper than most conversations in the sector are willing to go. One speaker directly conceded that a single small organization does not have the same usable leverage over a foundation that the sector supposedly has in theory. She reframed "power" as self-knowledge, storytelling, and peer organizing, but not a concrete ability to change funder behavior. Another panelist admitted that being bold and visible with funders may run "parallel to the system" rather than reliably produce funding.


This is the quiet part that usually stays implicit: aggregate power is not the same as individual leverage. Telling a $50,000 organization that "foundations can't exist without you" is true in the abstract and useless in the short term. That gap between theory and practice is the space where resilience either gets built or erodes.



What Candid got right

To be fair to the panel, they did something many sector conversations never quite manage: they explicitly rejected the easy, blame-the-nonprofits conclusion. The moderator acknowledged up front that "they just need to get better at grant writing" is the wrong takeaway from the data. Candid staff pointed instead to structural exclusion: eligibility rules that lock out younger and smaller organizations, social capital that favors insiders, and funder networks that rarely look beyond a familiar circle.


They also drew on Candid's own research into small, Black-led organizations, describing specific double standards documented in that work: nonprofits held to stricter scrutiny than peer organizations doing similar work; expertise extracted for training and marketing without compensation; and exclusion from the informal funder networks where introductions and warm referrals occur. Another panelist voiced what many grassroots leaders already know: the "table" of institutional philanthropy was not built for them, and some are now actively building systems outside it.


Those acknowledgments matter. They move the conversation past the idea that one more grant-writing workshop would close the 60/0.4 gap.



The limits of better tactics inside the same system

The practical advice Candid offered to small organizations was thoughtful and, on its own terms, useful. They pointed to Candid's transparency seals and shared evidence that organizations with a seal tend to see significantly higher contributions on average, even after controlling for size and location. They encouraged leaders to "call funders in," ask direct questions about repeated rejections, network through local chambers of commerce, and be bolder and clearer in setting expectations with new funders.


All of this can improve a nonprofit's odds in a system that allocates a finite pool of grants. But that's the whole problem: it is still competition for the same shrinking revenue category, governed by someone else's discretion. The nonprofit becomes more legible to funders, not structurally independent of them. A better profile on Candid, more strategic networking, and more assertive conversations may move a particular organization from "never funded" to "occasionally funded," or from one-off grants to short renewal cycles. None of it turns a fragile, grants-dependent business model into a resilient one.


If 60 percent of organizations are competing for 0.4 percent of foundation funding, the core problem is not individual technique. It is the pipeline's size and design.



Why this matters for resilience, not just fairness

From a Beyond Grants perspective, this isn't only a question of fairness within the grant economy. It's about whether small organizations can build leverage that doesn't depend on being chosen by a funder at all. The webinar's remedies – seals, networking, "calling in" funders, bolder relationship management – are refinements within the existing power structure.


They help answer:

  • How do we raise our odds of winning a grant from 1 percent to 3 percent?

  • How do we turn a one-off grant into a multi-year relationship?

 

They do not answer:

  • How do we design revenue that survives if every foundation in our city changes priorities?

  • How do we reduce the share of our income that depends on philanthropic discretion at all?


That second set of questions is what the Resilience Portfolio is meant to address. The goal isn't to become anti-philanthropy. It's to make philanthropic revenue one of several non-correlated streams, not the single revenue stream through which survival must flow.



Turning visibility tools outward, not just upward

One of the most interesting pieces of evidence in the webinar was the data on Candid's transparency seals and the resulting lift in contributions. Read narrowly, that result says being more transparent and legible to funders improves your funding. Read structurally, it points to something broader: organizations that clearly describe their work, demonstrate impact, and keep public information current are more likely to be trusted and invested in, period.


The question for a resilience-focused organization is why that trust-building work should be aimed only at foundations. The same discipline that documents outcomes, clarifies value, and keeps a profile current can support fee-for-service contracts with local government, paid training for peer organizations, licensing of tools or methodologies, or membership models for communities that want ongoing access to your expertise.


In other words, the infrastructure Candid promotes for grant-seeking can double as infrastructure for non-grant revenue, if leaders choose to point it there. The webinar was sincere in its content, but it lacked economic imagination: taking the same instinct for visibility and trust and aiming some of it at customers, not only at funders.



Building leverage one organization at a time

The invisible majority of small nonprofits cannot wait for aggregate power to translate into a new funding architecture designed from the top down. They need usable leverage now: revenue they can generate, contracts they can negotiate, assets they can price. Foundations aren't going away, and Candid's tools can help organizations work the system more effectively.


But power you cannot exercise on your own timetable is not power. It's potential, contingent on someone else's choice. The organizations still standing a decade from now will be the ones that treated the grant economy as one channel among many, not the horizon of possibility, the ones who took conversations like this webinar as a starting point rather than a destination.



A different conversation, coming next

This week's webinar is one entry point into the resilience question, and a useful one, precisely because Candid's own staff were honest about where their answers run out. On June 25, the Beyond Grants Podcast features Selena Coles, founder of Build Networks for Good, who, for small NGOs, starts from a different question entirely: not "how do we get better at competing for the same grants," but "how do we build three different revenue streams instead of one." Worth hearing as a direct counterpoint to this week's conversation.

 
 
 

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