ANNUAL
REPORT
2020
NEW PROFIT 2020 ANNUAL REPORT
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NEW PROFIT 2020 ANNUAL REPORT
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NEW PROFIT 2020 ANNUAL REPORT
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G E O R G E G A LV I S Executive Director of Communities United for Restorative Youth Justice (CURYJ), a New Profit grantee-partner that works to end cycles of violence and poverty by uplifting young people of color that have been impacted by incarceration to lead the way in transforming their community and developing the policies that impact them.
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Table of Contents 4 6 8 16 22
30 32 35 38
MEETING THE MOMENT PORTFOLIO BUILD INVESTMENTS CATALYZE INVESTMENTS SYSTEMS CHANGE INITIATIVES •
Inclusive Impact Action Summit and Proximate Capital
•
Systemic Solutions Initiative
•
Civic Lab
•
Future of Work XPRIZE
•
Education
•
Early Childhood Support Organizations
•
America Forward
LEADERSHIP BOARD OF DIRECTORS DONOR ROLL FINANCIALS
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Meeting the Moment This year has been full of collective trauma. The COVID-19 pandemic and the socio-economic crisis it has triggered, as well as the tragic killings of Black people
I N C L U S I V E I M PAC T
by police, have had devastating impacts across the
Our Inclusive Impact strategy, which emerges
spectrum of life in America. But we must acknowledge
through all areas of our work, is a comprehensive,
that the true weight of lives lost, livelihoods destroyed,
systems-change approach that centers proximity
lost learning time, and decaying social cohesion has
as expertise and seeks to address entrenched
been bore most heavily by systematically underserved
disparities facing leaders of color in philanthropy.
communities, particularly communities of color.
The core vehicle for our Inclusive Impact strategy is Proximate Capital, a $100M fund to dramatically
The totality of inequity in America has been on
expand the flow of capital and capacity-building
full display in 2020, across systems of economic
supports to Black, Indigenous, and Latino/a/x social
opportunity, health, education, justice, and others. The
entrepreneurs and social impact leaders.
resulting whirlwind has provided a stark warning to all of
(See page 22)
us that we cannot stand still and hope for a return to the pre-COVID status quo.
SYSTEMIC SOLUTIONS As noted above, the converging crises of 2020 have
Our responsibility is to stand strong in support of
starkly illustrated the inequities produced by our
redesigning these systems to provide equity and
social systems, and our Systemic Solutions initiative
opportunity for all. New Profit’s community is in a
is leading the way in philanthropy to help equip
unique position to do so, because the breakthrough
social entrepreneurs and other leaders with the
social entrepreneurs and other leaders we are
support and tools needed to take on these crises at
supporting today are already showing powerful,
scale. (See page 23)
proximate leadership in those redesign efforts. We are energetic and optimistic that our grantee-
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partners will continue to lead the way towards an
This is a fraught moment in our country, but we feel
equitable future. We will continue to do everything
tremendous resolve and energy to step up and meet it
we can to support them with our signature mix of
as we look ahead into 2021 and beyond. We are blessed
unrestricted funding and strategic support to help them
to have the support of such a passionate community
dramatically increase their impact. We also commit to
of philanthropists social entrepreneurs, civic leaders,
pushing even harder in our work to shift mindsets and
and others. We thank you all for your past, present, and
approaches in philanthropy with two key priorities:
future partnership.
NEW PROFIT 2020 ANNUAL REPORT
ALEXANDRA BERNADOTTE Founder and CEO of Beyond 12, a digital coaching platform that combines virtual college coaches, a campus customized mobile app, and an AI-powered analytics engine to help historically underserved students thrive in college and beyond. Beyond 12, a New Profit grantee-partner, currently provides 90,000+ students nationally with the academic, social, and emotional support they need to not only earn their degrees but to translate those degrees into meaningful employment and choice-filled lives.
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Portfolio This has been an extraordinary year for New Profit and our grantee-partners. Amidst the COVID-19 pandemic, a national reckoning on racial equity, and other challenges, we made a unprecedented number of new Build ($1M+ investments total over 4 years) and Catalyze ($50-100K investments total over 1-2 years) investments. Our support for new social entrepreneurs in the portfolio aligned with our five-year strategy, which prioritizes investing in leaders of color and in organizations focused on systems change. Supporting our grantee-partners through a year of trauma and disruption required all of the skills and competencies New Profit brings to bear: capacity building support across the board from organizational strategy to fundraising and communications; the expertise of our America Forward policy team; our partnership with organizations like Deloitte; our deep understanding of systems change; and our commitment to and understanding of the power of funding entrepreneurs who are more proximate to the systemic challenges we face. This support coupled with the brilliance and adaptiveness of the social entrepreneurs we support have helped position our portfolio to truly rise to meet the moment.
ONE PORTFOLIO HIGHLIGHTS: • We invested in eight Build organizations: 4.0 Schools, Beyond 12, CASEL, Equal Opportunity Schools, Pivot Learning, PushBlack, Saga Innovations, and Urban Alliance. These investments increased our Build portfolio to 24 organizations, 54% of which are led by leaders of color. We also saw four exceptional organizations leave our portfolio this year: Acelero Learning, Innovate Public Schools, Leading Educators, and UnboundEd. • In addition to providing continued support to three organizations from our inaugural Civic Lab cohort (see page 25), we invested in three additional Catalyze cohorts representing an additional 36 entrepreneurs. 72% of our 39 Catalyze organizations are led by leaders of color. • We continued to provide support to our inaugural Civic Lab cohort of democracy entrepreneurs as they worked to inform and activate grassroots civic engagement while advocating and promoting policies for safe and secure elections. In July, we hosted a virtual roundtable with 50 democracy entrepreneurs from diverse backgrounds, to engage in learning conversations about key insights from the field and collectively imagine the key elements for a radically inclusive, healthy, and responsive democracy.
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• In-partnership with the Bill & Melinda Gates Foundation, we selected a cohort of eight innovative organizations in K-12 education and adjacent areas. Our capacity building program for this cohort included deep scenario planning and financial contingency planning, board development, an introduction to systems change, policy advocacy, and operationalizing equity, diversity, and inclusion. The cohort also contributed to developing a report: An event or an era? Resources for social sector decision-making in the context of COVID-19 by Monitor Institute by Deloitte. • Launched in 2020, our Postsecondary Innovation for Equity (PIE) initiative supports 20 social entrepreneurs who are connecting young adults from low-income communities with the postsecondary credentials and work experience they need to access upwardly mobile careers. Through virtual convenings, the cohort built connections across organizations and explored a variety of topics, such as making labor market-informed programmatic pivots in light of the pandemic and centering racial equity in their strategies and operating models. The research and evaluation firm MDRC was selected as a partner that will work with the cohort through 2021. • In partnership with award-winning artist and activist John Legend’s FREEAMERICA and Bank of America, we continued to support 8 social entrepreneurs for the second Unlocked Futures cohort which seeks to support founders directly impacted by the criminal justice system. At the Inclusive Impact Action Summit in February and through a virtual “Office Hours” convening in May, the cohort connected with New Profit colleagues to workshop and codesign solutions to critical operations challenges. As we remain virtual through the COVID-19 pandemic, we adapted our programmatic timeline and content strategy to a “Learning Agenda” codesigned with our cohort. • In addition to receiving support from New Profit Deal Partners, the following Build Investments received pro bono strategic planning support from Deloitte Consulting LLP in 2020: Braven, Education Leaders of Color (EdLoC), PowerMyLearning, Springboard Collaborative, The Learning Accelerator. Monitor Institute by Deloitte also provided multiple workshops to our EdCatalyst Cohort on scenario planning in response to the COVID-19 pandemic. A Deloitte case team provided pro bono strategic support to New Profit’s Inclusive Impact initiative and internal Portfolio team. Since 2013, Deloitte and New Profit have collaborated to build the capacity of 43 high-impact organizations in the New Profit portfolio.
In the year ahead, New Profit is excited for our continued portfolio growth with a focus on investing in leaders of color and systems change organizations. As our organizations continue to navigate the ongoing challenges we face as a nation, the New Profit Portfolio team will continue to bring all that we can to support these leaders and their teams, and catalyzing continued collaboration and sharing of practices through our grantee network.
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Impact Stats BUILD INVESTMENTS
12.3M
Lives touched in aggregate by organizations in the New Profit Build and Catalyze portfolios in 2020 (44 organizations)
An assessment of all Build Investments active in 2020 who reported semi-annual data (not including those who joined in 2020) showed the following results:
Scale & Lives Touched
48 states (plus DC) were served by organizations in New Profit’s Build portfolio in 2020
28%
71%
median 3-year growth rate (CAGR) of
of current Build investments reported an annual
beneficiaries served by portfolio organizations
growth rate in their beneficiaries in 2019-20 despite the impacts of the pandemic
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Financial Growth & Sustainability
20% average growth rate of portfolio organization’s budget throughout the New Profit investment period
45% of Build portfolio organizations active in 2020 reported an annual expense growth rate of over 20% throughout their investment period
If you have any questions about our portfolio investing, please email portfolio@newprofit.org
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4.0 Schools
Acelero Learning
Investing coaching, community,
[exited in 2020]
curriculum, and cash in promising
Pioneering provider of HeadStart
leaders to test tomorrow’s learning
early childhood education and
models with students and families
family engagement services.
in their local communities. Social Entrepreneur: Hassan Hassan New Profit Deal Partner: Alex Cortez
Social Entrepreneur: Henry Wilde New Profit Deal Partner: David Levy Joined Portfolio: 2012
Joined Portfolio: 2020
Build Investments Aurora Institute
Beyond 12
Transforming education systems
Addressing the college completion
and advancing breakthrough
challenge at its root by acting as a
policies and practices.
data and service bridge between K-12
Social Entrepreneur: Susan Patrick
and higher education.
New Profit Deal Partner: Helayne Jones Joined Portfolio: 2017
Social Entrepreneur: Alexandra Bernadotte New Profit Deal Partner: Dr. Angela Jackson Joined Portfolio: 2020
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Braven
CASEL
EdLoC
Using a scalable coaching and
Through efforts in research,
Membership organization dedicated
fellowship model backed by
practice, and policy, CASEL aims to
to elevating the leadership, voices,
technology to bridge the education
make social and emotional learning
and influence of people of color
to employment gap for first
(SEL) an integral part of American
in education and to leading
generation college students.
Pre K-12 education.
more inclusive efforts to improve
Social Entrepreneur: AimĂŠe Eubanks-Davis
Social Entrepreneur: Karen Niemi
education.
New Profit Deal Partner: David Levy
New Profit Deal Partner: Shruti Sehra
Joined Portfolio: 2019
Joined Portfolio: 2020
Social Entrepreneur: Layla Avila New Profit Deal Partner: Trevor Brown Joined Portfolio: 2017
Enlearn
Equal Opportunity Schools
GirlTrek
Learning platform delivering
Collaborating with school districts
National health movement
real-time diagnostics and
to increase equitable enrollment in
activating over 1 million Black
personalized instruction for
rigorous courses.
women to be change makers in
underserved students.
Social Entrepreneur: Byron Garrett
their lives and communities—
New Profit Deal Partner: Doug Borchard
Social Entrepreneur: Vanessa Garrison and T. Morgan Dixon
Joined Portfolio: 2020
New Profit Deal Partner: Tulaine Montgomery
Social Entrepreneur: Scott Adams and Zoran Popovic New Profit Deal Partner: David Levy Joined Portfolio: 2016
through walking.
Joined Portfolio: 2019
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Highlander Institute
ImBlaze (Big Picture
Innovate Public Schools
Partnering with communities to
Learning)
[exited in 2020]
imagine and create more equitable,
Tech platform enabling real-world
Building on capacity of parents and
relevant, and effective schools.
internships for high school students.
educators to innovate and create
Social Entrepreneur: Dana Borrelli-Murray and Shawn Rubin
Social Entrepreneur: Andrew Frishman and Carlos Moreno
New Profit Deal Partner: Elizabeth Riker
New Profit Deal Partner: Molly O’Donnell
Joined Portfolio: 2017
Joined Portfolio: 2017
world-class public schools. Social Entrepreneur: Matt Hammer New Profit Deal Partner: Alex Cortez Joined Portfolio: 2015
Instruction Partners
Leading Educators
LEAP Innovations
Partnering with schools and
[exited in 2020]
Working directly with educators
systems to strengthen teaching and
Reinventing professional
and innovators to discover, pilot
learning in core content areas.
development for educators.
and scale personalized learning
Social Entrepreneur: Emily Freitag
Social Entrepreneur: Chong-Hao Fu
technologies and innovative
New Profit Deal Partner: Carrie Previtera
New Profit Deal Partner: Doug Borchard
Social Entrepreneur: Phyllis Lockett
Joined Portfolio: 2019
Joined Portfolio: 2016
New Profit Deal Partner: David Levy
practices.
Joined Portfolio: 2016
Pivot Learning
PowerMyLearning
PushBlack
Partnering with district and school
Award-winning platform brings
Using the power of narrative,
leaders in pursuit of educational
students, parents, and teachers
especially Black history and news,
justice.
together to drive learning.
to educate and activate subscribers
Social Entrepreneur: Arun Ramanathan
Social Entrepreneur: Elisabeth Stock
to build their personal power
New Profit Deal Partner: Doug Borchard
New Profit Deal Partner: Shruti Sehra
political change.
Joined Portfolio: 2020
Joined Portfolio: 2017
and create lasting economic and Social Entrepreneur: Julian Walker and Eskedar Getahun New Profit Deal Partner: Yordanos Eyoel Joined Portfolio: 2020
Saga Innovations
Springboard Collaborative
The Health Initiative
Evidence-based, personalized
Coaching teachers and families
Spurring a new conversation about
tutoring model supporting students
to help students cultivate reading
– and new investments in – health.
struggling with math to put them
habits. Closing the literacy gap by
Mobilizing an ecosystem of public
on a path toward success and high
closing the gap between home
and private institutions to increase
school graduation.
and school.
investments in the known drivers
Social Entrepreneur: Alan Safran and AJ Gutierrez
Social Entrepreneur: Alejandro Gibes de Gac
of health.
New Profit Deal Partner: Alex Cortez
New Profit Deal Partner: Kelly Cutler
Joined Portfolio: 2020
Joined Portfolio: 2019
Social Entrepreneur: Rebecca Onie and Rocco Perla New Profit Deal Partner: Kim Syman Joined Portfolio: 2019
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The Learning Accelerator
Transcend Education
UnboundEd
Connecting practitioners and
Supporting communities to create
[exited in 2020]
leaders to knowledge, tools, and
and spread extraordinary, equitable
Empowering teachers and leaders
networks to enact personalized
learning environments
to meet the challenges set by
learning.
Social Entrepreneur: Aylon Samouha and Jeff Wetzler
Social Entrepreneur: Beth Rabbitt New Profit Deal Partner: Kelly Cutler
New Profit Deal Partner: Trevor Brown Joined Portfolio: 2017
higher-standards, unfinished instruction, and institutional racism with high-quality classroom resources and professional development Social Entrepreneur: Lacey Robinson
Joined Portfolio: 2017
New Profit Deal Partner: Doug Borchard Joined Portfolio: 2016
Urban Alliance
Valor Collegiate Academies
Zearn
Providing high school students
Growing network of public
Nonprofit curriculum publisher
from underserved communities with
college-prep charter schools in
offering Zearn Math, a top-rated,
access to opportunities needed to
Tennessee empowering their
comprehensive K-5 math program.
solidify lifelong economic self-
diverse community to live inspired,
Treatment-control study found usage
sufficiency.
purposeful lives.
of Zearn Math is tied to student
Social Entrepreneur: Eshauna Smith
Social Entrepreneur: Todd Dickson
engagement and achievement gains
New Profit Deal Partner: Kevin Greer
New Profit Deal Partner: Alex Cortez
Social Entrepreneur:
Joined Portfolio: 2020
Joined Portfolio: 2017
New Profit Deal Partner: Shruti Sehra
after just one year of implementation Shalinee Sharma
Joined Portfolio: 2019
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CURT ELLIS As a parent, Curt knows that what his kids eat has a daily impact on how they feel, learn, and grow. As Co-Founder and CEO of FoodCorps, a former New Profit grantee-partner, Curt is mobilizing thousands of young Americans to advocate for a school system in which every child—regardless of race, place, or class—has the healthy food they need to thrive.
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Impact Stats C A T A LY Z E I N V E S T M E N T S
An assessment of our Catalyze Investments active in 2020 who reported semi-annual data showed the following results:
Scale & Lives Touched
49
11K
states (plus DC) were served by organizations
full-time employees and volunteers served with
in the Catalyze cohorts
our Catalyze cohort organizations in 2020
Financial Growth & Sustainability
$1.8M was the median Catalyze organization’s budget (based on expenses) in 2020
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New Profit Impact
100% of social entrepreneurs of color shared they are “very likely” or “extremely likely” to recommend New Profit's Catalyze Investments programming to other social entrepreneurs of color
100% of the EdCatalyst cohort reported they were “very satisfied” with the EdCatalyst fall convening
89% of the PIE cohort respondents reported they were “satisfied” or “very satisfied” with the PIE fall convening
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CIVIC LAB *
Alliance for Youth Organizing
New Politics Academy [exited in 2020]
Millennial Action Project
[exited in 2020]
Emily Cherniack
Steven Olikara
Pillars
POWER
The People
Khasif Shaikh
[exited in 2020]
Katie Fahey
Sarah Aduelo
(ENDING IN DECEMBER 2020)
EDCATALYST
Bishop Dwayne Royster
BEAM
COOP Careers
English Learners
nXu
Daniel Zaharopol
Kalani Leifer
Success Forum
Yutaka Tamura
Crystal Gonzales
Profound Gentlemen
Project Basta
The Calculus Project
Jason Terrell
Sheila Sarem
Adrian B. Mims Sr.
The Center for Inclusive Innovation Kimberly Smith
* PushBlack, an inaugural member of Civic Lab, has since become a grantee-partner in the New Profit Build portfolio
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POSTSECONDARY INNOVATION FOR EQUITY (PIE) INITIATIVE
Catalyze Investments
Arrupe College of Loyola University of Chicago Father Stephen Katsouros & Father Thomas Neitzk
ASU Local at Arizona State University Patrick Rossol-Allison
Building Futures Andrew L. Cortes
Code Path
Denver Public Schools Career Connect
Rush University Medical Center
Bernard McCune
Rukiya Curvey Johnson
Brooklyn STEAM Center
Generation USA
Honors Pathway
Kayon Pryce
Sean Segal
Gene Wade
IDEA U
Inner-City Computer Stars Foundation (i.c. stars)
Michael Ellison
Coalfield Development Corporation Brandon Dennison
Phillip Garza
Sandee Kastrul
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EQUITY (PIE) INITIATIVE
POSTSECONDARY INNOVATION FOR
LeadersUp
Oxford Teachers Academy
PeletonU
Jeffery Wallace
Mallory Dwinal-Palisch
Sarah Saxton-Frump
Project for Pride in Living
Project QUEST, Inc.
Propel America
Paul Williams
David Zammiello
Paymon Rouhanifard
Pursuit Transformation Company
Jewish Vocational & Career Counseling Service ( JVS) Lisa Countryman-Quiroz
(ENDING IN DECEMBER 2020)
UNLOCKED FUTURES
Jukay Hsu
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Austin Justice Coalition Chas Moore
CURY J
First 72+
George Galvis
Kelly Orians
The Forestry and Fire Recruitment Program Brandon Smith
Freedom Project
Operation Restoration
Sacred Generations
Unloop
David Heppard
Syrita Steib-Martin
Perscilla Frizzell
Gina Castillo
NEW PROFIT 2020 ANNUAL REPORT
SARAH AUDELO Executive Director of the Alliance for Youth Organizing, a nationwide network of organizations building the political power of young people, and one of the premier youth vote vehicles in the United States. With 20 network organizations across nearly 20 states, the Alliance, a former New Profit grantee-partner, supports and scales the work of local NEW P Rall O F Ipeople. T 2020 ANNUAL organizations, building a movement of young people, by young people, and for
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Systems Change Initiatives Since New Profit's founding, we have invested in both individual organizations and initiatives that we believe can unlock transformative change in inequitable systems. Our current systems change-oriented work includes:
I N C L U S I V E I M PAC T AC T I O N S U M M I T A N D P R O X I M AT E C A P I TA L
In February 2020, just before the COVID-19 pandemic upended all of our lives, New Profit held the Inclusive Impact Action Summit—a gathering of social entrepreneurs, philanthropists, and other leaders from across sectors to discuss how to increase equity in the social sector, so that the most promising ideas to create social and economic mobility can flourish. Coming out of the summit, New Profit announced its Inclusive Impact strategy: • The Inclusive Impact Strategy advances racial and economic justice across our nation, centering on areas of funding, policy, and practice. This comprehensive, systems-change approach centers proximity as expertise and guides our work across the social impact sector. Through a multi-racial, multi-ethnic network of philanthropists, social entrepreneurs, and other social impact stakeholders, we seek to address the entrenched funding disparities in philanthropy by driving unprecedented capital and support to some of our nation’s most promising innovators. Inclusive Impact recognizes that while Black, Indigenous, and Latino/a/x/Hispanic leaders often uniquely understand the multi-dimensional root causes of social issues and are proximate to the communities that the social sector seeks to serve, they receive only a fraction of philanthropic resources aimed towards solving them. • The core vehicle for our Inclusive Impact strategy is Proximate Capital, a $100M fund to dramatically expand the flow of capital and capacity-building supports to Black, Indigenous, and Latino/a/x/Hispanic social entrepreneurs and other leaders. • Currently, our Build portfolio includes 24 organizations, 54% of which are led by leaders of color. Our Catalyze portfolio includes 39 organizations, 72% of which are led by leaders of color.
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S Y S T E M I C S O L U T I O N S I N I T I AT I V E
The converging crises of 2020 have starkly illustrated the inequities produced by our social systems. To address these inequities, social change leaders must be equipped with the support and tools needed to transform systems and remove barriers that limit access to equity and opportunity. New Profit's Systemic Solutions Initiative (1) invests in social entrepreneurs catalyzing systemslevel impact, (2) develops systems change insights and tools, and (3) fosters a growing community of systems change practitioners, funders, and researchers: • The Initiative continued to provide strategic guidance to its inaugural investments, GirlTrek and The Health Initiative. During this transformative period, both organizations achieved major milestones in their efforts to catalyze systems-level change by shifting field narratives, orchestrating connections among field actors, and lifting innovative practices. Their progress has helped to illuminate critical insights about the cadence of systems change work and the types of organizational capabilities and governance models that are required to support such work. • The Initiative spearheaded two R&D projects: the Rural, Small Town, & Indigenous Leader Project (launched in Summer 2020), which supports proximate leaders in rural, small-town, and Indigenous communities in an effort to shift the systemic conditions that limit their access to philanthropic resources, and the DEI Learning Lab (launching in 2021) which will engage learners, postsecondary education nonprofits, and funders to amplify strategies, invest in efforts, and identify measurement tools that center and advance equity. • In February, the Initiative published Deconstructing the Bird Cage, which highlights the emerging impact approaches that social entrepreneurs are leveraging to catalyze systemic change. In March, the Initiative also held a two-day convening to explore the crucial role of shifting existing narratives to advance systems change. More than forty social entrepreneurs, funders, and field practitioners participated in the convening, which was facilitated by leading narrative change experts.
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YO R DA N O S E YO E L New Profit Partner who leads the vision, strategy development, and management of New Profit’s Catalyze Investments portfolio. In 2019, she launched Civic Lab, as part of New Profit’s Catalyze Investment portfolio, to invest in organizations led by visionary democracy entrepreneurs that are working to create civic trust and an inclusive democracy.
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CIVIC LAB
To build civic trust and an inclusive democracy, we launched our Civic Lab initiative in 2019, which has become a leading nonpartisan capacity building platform for democracy organizations in our country. The glue for an inclusive, healthy, and responsive democracy — like a healthy relationship — is trust. According to the Pew Research Center, 35% of Americans are “low-trusters" who believe that people cannot be trusted and only look at their own self-interest. Nonprofits can serve as trusted messengers who can mitigate misinformation and encourage civic engagement—especially with historically disenfranchised groups. During 2020, our Civic Lab initiative has served as a conduit for nonpartisan resources and as a trusted advisor to our portfolio organizations and the America Forward Coalition that collectively reach over 40 million people across the country. We have done this by: • Providing guidance on what 501(c)3 organizations can/cannot do; vetting, compiling, and sharing important resources; curating discussions with external and internal experts; and providing 1:1 coaching to our current portfolio organizations • Developing and publishing a widely-circulated framework and toolkit for the 3 categories of actions nonprofit organizations can take to support our democracy and their constituents: Getting out the vote; supporting safe and secure elections; and preparing for potential post-election disruption and developing an action plan. • In addition to supporting our organizations through this complex election season, our Civic Lab initiative is also poised to invest in and provide capacity building support to 24 nonpartisan democracy organizations that are building civic trust and an inclusive democracy between 2021 and 2024.
FUTURE OF WORK XPRIZE
In June 2020, New Profit launched the $6 million Future of Work Grand Challenge, powered by XPRIZE, MIT Solve, JFF, and Jobcase. The unprecedented cross-sector, equity-focused effort aims to rapidly reskill 25,000 displaced workers into living-wage, higher-quality jobs in the next 24 months and equip influential workforce boards with vetted tools to support the wave of displaced workers. These efforts will ultimately help prepare 12 million Americans from underinvested communities for workforce success by 2025. The Grand Challenge will spur innovation by seeking ideas from diverse entrepreneurs and advancing solutions that serve the most impacted workers. The initiative is supported by leading partners Walmart.org and Strada Education Network, along with Accenture, Annie E. Casey, Fossil Foundation, Imaginable Futures, JP Morgan Chase, Lumina Ventures, Siegel Family Endowment, The Joyce Foundation, and The Morgridge Family Foundation. Key highlights include: • As of late-October, 2020, 290 pre-registered teams were involved in the Rapid Reskilling XPRIZE; the MIT Solve Reimagining Pathways to Employment in the U.S. Challenge has garnered 900 draft applications thus far. • To ensure that the voices of people who will be impacted by solutions are part of the design and implementation, New Profit, Accenture, and Goodwill Industries International launched the XPERTs Worker Advisory Board (WAB). The WAB, consisting of 31 workers across 11 states, increases the engagement of frontline workers from racially, ethnically, experientially, and geographically diverse backgrounds in the prize as co-designers, advisors, and judges through the life of the initiative. Additionally, the Grand Challenge is intentional about seeking ideas from proximate entrepreneurs; it aims to support at least 40% Black, Indigenous, and Latino/a/x innovators. • New Profit, in partnership with JFF, has invested in six workforce development boards across the U.S. to pilot the most promising solutions that will surface in the two competitions: Capital Workforce Partners, Hampton Roads Workforce Council, MassHire Central Region Workforce Board, San Diego Workforce Partnership, Michigan Works! (West; Southwest; and Berrien, Cass, VanBuren regions), and Workforce Solutions Greater Dallas. Workforce boards will partner with social platform Jobcase to connect workers to solutions.
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E D U C AT I O N
New Profit's work to make the education system more equitable is centered in our portfolio and driven by our belief that all students should have access to high-quality, holistic, and individualized learning environments that help them reach their full potential. We fund and support organizations that achieve this goal, as well as organizations that inform and organize parents, young people, educators, and communities so that they can exercise their innate power in co-creating these high-quality learning environments. We prioritize efforts that address the needs of student populations that have been systematically underserved by our public education system. This year has presented a unique set of circumstances that have made it more important than ever to both redesign our education system in ways that address the holistic needs of our children, educators, and families, and to listen to and solicit guidance from those whose needs are not being met. • In addition to seven new Build Investments, we also provided six parent power organizations with short-term grants to fund direct COVID relief efforts for their constituents (including WiFi access, technology, food, etc.) as well as organizational efforts such as case management and connections to educational resources. • In July, we launched an open call for applications for organizations that advance the wellbeing of young people, educators, and families. We received submissions from over 170 organizations doing work in this field, and we piloted the inclusion of parent leaders in our investment selection process for this cycle, recognizing the critical importance of including their voice in our funding decisions. We expect to announce Build investments in two of these organizations over the coming months. • We continued to provide cohort-based support to the eight organizations in our Personalized Learning Initiative. This year, we focused on strategic communications and narrative development, as well as equity, diversity, and inclusion work.
E A R LY C H I L D H O O D S U P P O R T O R G A N I Z A T I O N S
The Early Childhood Support Organization (ECSO) Initiative is an innovative partnership with the Massachusetts Department of Early Education and Care (EEC) designed for system-level impact. Three selected ECSOs will partner with local center-based early education and care programs to implement proven approaches to improving instruction and practice in programs serving children ages birth through five years old. State funding supports direct services, while New Profit support provides unrestricted funds and Deal support to build organizational capacity to scale their models. In a field in which scale is notoriously difficult, this partnership has a plan for scaling the technical assistance models over four years across the state. If proven successful, it will serve as a national model. • In March, 2020, New Profit and EEC selected Children’s Literacy Initiative, The Lastinger Center at University of Florida and The Institute for Early Education Leadership and Innovation (UMass-Boston) as the ECSOs. • Our partnership supports ongoing opportunities for the ECSOs to come together in a community of practice to learn from one another and ultimately accelerate their impact. • After early care and education programs were closed due to the pandemic, the ECSOs have started their recruitment of programs in the final months of 2020.
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NEW PROFIT 2020 ANNUAL REPORT
VA N E S S A G A R R I S O N Co-founder and COO of GirlTrek, the largest public health nonprofit for African-American women and girls in the United States. GirlTrek, a New Profit grantee-partner, aims to create the next American civil rights movement centered on Black women walking for healthier bodies, safer streets, and a bold new culture of health liberation. Today over 1 million women (Trekkers) are participating in the movement.
NEW PROFIT 2020 ANNUAL REPORT
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America Forward America Forward is the nonpartisan policy initiative of New Profit. America Forward unites social entrepreneurs with policymakers to transform local impact into national, systemic change. Our Coalition of over 100 organizations advocates for public policies that advance equity, foster innovation, and reward results, and to date we have leveraged $1.7 billion for social innovation. Our members work in over 15,000 communities across America - touching over 9 million lives every year; this year, they are providing critical support to students, workers, families, educators, and nonprofit leaders in the midst of the unprecedented disruption caused by the COVID-19 pandemic. Looking ahead at 2021, the collective advocacy and policy work of the Coalition has never been more important - in shaping the agenda for the incoming administration and Congress, helping our communities recover, and building systems that are more equitable, innovative, and resilient.
E N G A G I N G D E E P LY I N T H E 2 0 2 0 P R E S I D E N T I A L E L E C T I O N C YC L E
Earlier this year, America Forward released a 2020 policy playbook for the current presidential cycle, including thirty-five unique and detailed policy recommendations that reflect in-depth input from our Coalition members. Using that playbook as a framework, America Forward and our Coalition members have adapted to the challenges posed by COVID-19 and found innovative ways to engage with leading Presidential campaigns and policymakers to drive forward critical priorities, including hosting a number of virtual roundtables and meetings with campaign policy staff throughout the year and hosting virtual fireside chats with members of Congress and Coalition experts. We also led the creation of Election 2020: America Forward Storytelling Project to highlight the America Forward Coalition's collective policy priorities leading up to and following the 2020 election, and launched a communications campaign lifting up our policy priorities in the context of the election cycle.
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NEW PROFIT 2020 ANNUAL REPORT
L A U N C H I N G T H E “A D VA N C I N G W H O L E L E A R N E R E D U C AT I O N ” I N I T I AT I V E
Taking a holistic approach to providing every student with the breadth of skills they need to thrive is critically important, especially in light of the COVID-19 public health and economic crisis. Over the summer, with generous support from the LEGO Foundation, America Forward launched the “Advancing Whole Learner Education” initiative, to advance crucial policies that will support the development and adoption of high-quality, evidence-based whole-learner approaches to education. America Forward published a Whole Learned Education Policy Roadmap, launched a Whole Learner website, hosted a virtual Whole Learner Fireside Chat series with members of Congress, field experts, and education leaders from across the country, and amplified key whole-learner content via a a Whole Learner communications and public engagement campaign in battleground states.
PROVIDING ROBUST SUPPORT FOR A M E R I C A F O R WA R D C O A L I T I O N M E M B E R S
Across the country, the organizations that make up the America Forward Coalition - along with the communities they serve - have been working tirelessly to adapt and evolve in response to the COVID-19 pandemic. When the pandemic hit, America Forward got to work supporting our nonprofit partners securing loans, providing guidance on federal programs and policy, and helping our Coalition organizations weather this crisis through advocacy and communications training.
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Leadership
Doug Borchard
Trevor Brown
Sara Conahan
Managing Partner and
Managing Partner,
Managing Partner,
Chief Operating Officer
Portfolio Investing
Investor Relations
Eliza Greenberg
Vanessa Kirsch
Shenkiat Lim
Managing Partner,
Founder and CEO
Managing Partner and
Executive Team
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Chief People Officer
Ian Magee
Tulaine Montgomery
Managing Partner and
Managing Partner,
Chief Financial Officer
Inclusive Impact
NEW PROFIT 2020 ANNUAL REPORT
ELIZA GREENBERG A member of New Profit’s Operating Council who oversees New Profit’s more emergent functions and strategies including Development, Communications, America Forward, Early Childhood Support Organizations (ECSO) and Future of Work. Eliza joined New Profit in 2011, and has since served as Deal Partner to multiple New Profit grantee-partners, including NEW FoodCorps, First Place for Youth, Health Leads, and ROCA.
PROFIT 2020 ANNUAL REPORT
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Steve Barnes
Josh Bekenstein
Managing Director Bain Capital
Managing Director Bain Capital
Sam Cobbs
Alisa Doctoroff
David Gergen
CEO Tipping Point Community
Chair The Jim Joseph Foundation
Founding Director, Center for Public Leadership, Professor of Public Service, Harvard Kennedy School
Stacy Janiak
Stephen M. Jennings
Vanessa Kirsch
Managing Partner – Chief Growth Officer Deloitte Consulting LLP
Principal Monitor Deloitte Consulting LLP
Founder and CEO New Profit
Wendy Kopp
Matthew Levin
Henry McCance
CEO Teach For All
Founder and Principal Investor Twin Shores Capital
Chairman Emeritus Greylock Partners
NEW PROFIT 2020 ANNUAL REPORT
NEW PROFIT 2020 ANNUAL REPORT
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Board of Directors
Duncan McFarland
Valerie Mosley
Kristin Mugford
The Bromley Charitable Trust
CEO Valmo Ventures
Senior Lecturer Harvard Business School
Mark E. Nunnelly
Jim Pallotta
John Rice
Chairman Toolbox Foundation, Dupre-Nunnelly Family Office
Chairman & Managing Director Raptor Group
Founder & CEO MLT
Brian Spector
Venkat Srinivasan
Jeffrey C. Walker
Chairperson Reflow Medical
Managing Director Innospark Ventures
Chairman New Profit
NEEW W PPRRO OFFIITT 22002200 A AN NN NUUA ALL RREEPPO ORRTT N
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DWIGHT POLER A lead investor in New Profit’s Inclusive Impact strategy and Proximate Capital Fund. From 1994 to 2017, he was part of the leadership of Bain Capital, where he founded and managed the European Private Equity Business from 2000-2017 and remains a senior advisor. Dwight now manages AccelR8, a fund investing in climate change mitigation. Dwight is a member of the Boston Foundation Board N E WCollege P R O F I T Trustee. 2020 ANNUAL of Directors and chairs its Finance Committee, as well as an Amherst
REPORT
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Donor Roll
INVESTORS
Accenture
ECMC Foundation
Mark and Carolyn Ain
Paul and Sandy Edgerley
American Express Anonymous (9)
Hinda and Joel Miller
Michael and Barbara Eisenson
Valerie Mosley
Charlesbank Capital Partners Stuart and Randi Epstein
Arrow Impact
Robert and Courtney Farkas
AT&T
Domenic and Molly Ferrante
Bain Capital Children’s Charity, Ltd.
Gantcher Family Foundation
Bank of America Charitable
Bill & Melinda Gates Foundation
Deborah and Steve Barnes
Josh and Sarah Greenhill
Bain Capital
Blair Hendrix
Josh and Anita Bekenstein
Imaginable Futures
Bain Capital
International Private Equity Limited
Bain Capital
Stephen and Laurie Arnold
Foundation
Douglas and Audrey Miller
Stephen M. Jennings and Monica
Kristin and Stephen Mugford FW Murphy Family Foundation Matt and Einat Ogden Christine Olsen and Rob Small James and Kim Pallotta Saul Pannell and Sally Currier Dwight and Kirsten Poler Jane Rappeport M K Reichert Sternlicht Foundation
Amy Brakeman
O'Neil
Arthur and Lindsay Reimers
Lynda and Jeffrey Bussgang
JPMorgan Chase Foundation
Arthur and Toni Rembe Rock
Kevin and Julie Callaghan
Ewing Marion Kauffman Foundation
Ann and Richard Sarnoff Family
Berkshire Partners Carnegie Corporation of New York Chan Zuckerberg Initiative DAF Silicon Valley Community Foundation Howard P. Colhoun Family Foundation Comcast Commonwealth Children's Fund Estate of Kathryn W. Davis Deloitte Alisa and Dan Doctoroff Doran Family Charitable Trust
Florence Koplow Jonathan and Jeannie Lavine
Foundation Ronald Schrager and Wendy Hart
Bain Capital
Peg Senturia
Matt Levin
Jeffrey Shames
Twin Shores Capital Ellie and Phil Loughlin Leon Lowenstein Foundation Lumina Foundation A.L. Mailman Family Foundation Anne and Paul Marcus Henry McCance
Siegel Family Endowment Skoll Foundation Social Ventures Alan and Susan Solomont Brian and Stephanie Spector Venkat and Pratima Srinivasan Strada Education Network
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SUPPORTERS Blake and Alexandra Stuart Peter Swift and Diana McCargo
Anonymous (10)
Aidan Hartigan
The Boston Foundation
Aurora Institute
Stacy Janiak
The Bromley Charitable Trust
Warren Bailey-Turner
Wendy Kopp
The Annie E. Casey Foundation, Inc.
Bain Capital, LP
Billy Lagor
The Fidelity Charitable Trustees'
Lisa Bernstein
Cathleen London
Initiative
Social Ventures
The William and Flora Hewlett
Patrick Brennan
Foundation Bill and Nancy Brownell The Hirsch Family Foundation Edmund & Betsy Cabot
Michael Moody Bill Nigreen
The LEGO Foundation
Charitable Foundation
Roz Nowicki
The McCance Foundation
Patricia Caddell
Tom O'Rourke
The Morgridge Family Foundation
Meredith and Joe Callanan
Own The Room Foundation
The Omidyar Group The Reeder Foundation The Doris & Stanley Tananbaum Foundation
Callanan Family Fund Camelback Ventures Dan and Robin Catlin
Jo Beth & William Abecassis Tanner & Abigail Tananbaum The Peter and Elizabeth C. Tower Foundation Tower Family Fund Travelers Foundation Lauri Union and Stanley Rosenzweig Wagner Foundation Jeffrey C. and Suzanne C. Walker Walmart Walmart Foundation Walton Family Foundation Jean and Rick Witmer Jan and Steve Zide Zide Family Foundation
NEW PROFIT 2020 ANNUAL REPORT
Ben Painter Peter Sarnoff Charles and Lynn Schusterman
Adria Chamberlain
Family Foundation
Croan Family Foundation
Alan Silberstein
Keri Dogan and Mark Hamel
Diana M. Smith
Fetzer Institute
Cathy and Sean Stannard-Stockton
Fisher Markin Fund
Peter and Laurie Thomsen
Zoe & Jon Bernstein
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Carl and Pamela Miller
The Chicago Community Foundation Kathleen T. Gabriele Grantmakers for Thriving Youth
Howard and Candice Wolk Mark and Susan Zankel
ESHAUNA SMITH CEO of Urban Alliance, a New Profit grantee-partner that provides high school students from underserved communities with access to opportunities needed to solidify lifelong economic self-sufficiency. The organization's innovative model is driving strong results: 100% of Urban Alliance students graduated from high school, and over 80% of alumni enrolled in a two-or four-year college.
NEW PROFIT 2020 ANNUAL REPORT
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Financials 51% Corporations and Foundations
4% In-Kind Services
1% Program Fees & Other Misc.
44% Individuals and Family Foundations
Revenue Breakdown
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NEW PROFIT 2020 ANNUAL REPORT
Individuals and Family Foundations
$21.4M
Corporations and Foundations
$24.6M
In-Kind Services $2.1M Program Fees and Other Misc.
$0.5M
TOTAL REVENUE
$48.5M
Almost all of our revenue consists of gift & grant commitments, to be collected over multiple years.
2019 Net Assets
CHANGE IN NET ASSETS
$23.3M
Change in purpose-restricted
$15.0M
Change in time-restricted
$6.7M
Change in unrestricted
$1.6M
TOTAL NET ASSETS
$73.2M
Purpose-restricted $46.8M Time-restricted $21.7M
Expense Breakdown
Unrestricted $4.8M
Impact Programming: $18.4M
Portfolio Investing Portfolio Grants Grantee Support Deloitte Pro Bono Select Donor Supported Initiatives
Ecosystem Building
New Profit Infrastructure*
America Forward
Administration Development
Gathering of Leaders/ Convenings
Communications
Field Building
Legal/Strategy Pro Bono
67%
8%
25%
$16.4M
$2.0M
$6.2M
TOTAL EXPENSES = $24.7M
Numbers may not add due to rounding. NEW PROFIT 2020 ANNUAL REPORT
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IN MEMORIAM
In 2020, we experienced the tragic loss of two extraordinary social entrepreneurs who were inspirational leaders in our community and warriors for equity in America. Our hearts continue to go out to their families, friends, and colleagues. We seek to honor their legacies through our work.
Layla Avila CEO/Executive Director Education Leaders of Color New Profit Build Grantee, 2017-2020
Leila Janah Founder and CEO Samasource New Profit Women’s Accelerator, 2016
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NEW PROFIT 2020 ANNUAL REPORT
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225 Franklin Street, Suite 350 Boston, MA 02110 info@newprofit.org www.newprofit.org