Announcements

Houston Endowment Launches $4.9 Million Collaboration Fund to Strengthen Organizational Capacity of Local Nonprofits

Foundation directs funding to 65 current grantee partners, signaling commitment to building a resilient nonprofit sector

Houston Endowment (HEI) has launched the Collaboration Fund, a new initiative aimed at providing its grantee partners with additional resources to grow and sustain their organizations’ operations. This targeted program is designed for current Houston Endowment grantees with smaller operating budgets and staff dedicated to supporting efforts in the Greater Houston area. The fund enables grantees to invest in areas that can strengthen their organizational capacity, such as human capital, work environment, and technical expertise. A total of 65 organizations have been selected, with $4.9 million in grants set to be distributed by the end of November.

“Our grantees know what they need to sustain their excellent work into the future. But it can be challenging for them to direct dollars toward strengthening and growing their organizations — they often put aside their organizational needs to deploy every available dollar toward their missions,” said Houston Endowment President and CEO Ann Stern. “That is why we created the Collaboration Fund — to further invest in our smaller but highly effective partners who consistently deliver for the benefit of our community.”

Houston Endowment envisions a vibrant region where everyone has the opportunity to thrive. As a place-based funder, a thriving nonprofit sector is critical to achieving this vision. Through direct conversations with grantees and a grantee perception survey conducted in partnership with the Center for Effective Philanthropy, Houston Endowment recognized an urgent need among grantees for organizational capacity-strengthening support. Many nonprofits prioritize their missions over infrastructure because they lack the resources to invest in their own growth and development.

The Houston Endowment Collaboration Fund was designed as a low-barrier, flexible funding opportunity. Grantees could apply for up to $75,000 in support across three categories:

  • Human Capital: Developing staff through training, leadership development, and team-building initiatives.
  • Work Environment: Enhancing physical and operational capabilities, such as office space, equipment, and technology infrastructure.
  • Technical Expertise: Supporting specialized skills and knowledge development, including consultancy services, governance, data and evaluation, and process improvements.

Each category was chosen to provide a broad scope of options, allowing organizations to determine where the funding could have the most significant impact. Notably, 90 percent of participating grantees applied for funding in two or more categories, highlighting the diverse needs within Houston’s nonprofit sector.

“As a foundation, we understand that our grantees are the experts on what they need to remain effective and to deepen their impact,” said Stern. “The Collaboration Fund is an opportunity for these organizations to invest in themselves and strengthen their capacity to drive change for years to come.”

In addition to financial support, the Houston Endowment Collaboration Fund offers grantees opportunities to connect through peer learning cohorts where organizations can share insights, resources, and strategies. 

With grant activities launching in 2025, grantees are planning a variety of capacity-strengthening initiatives, from staff development to office space improvements to strategic planning. One grantee, for example, will use the funds to install a new dance floor to support their community arts programming.

The HEI Collaboration Fund comes on the heels of another capacity-strengthening effort by Houston Endowment. The foundation recently awarded $3 million to United Way of Greater Houston to support the Government Funding Initiative, which will launch in 2025 and provide local nonprofits with the training and resources needed to identify, pursue, and manage local, state, and federal public grants. The new program will be managed by United Way of Greater Houston’s Nonprofit Connection.