Stanford Social Innovation Review

World of Good connects female artisans in poor countries with retailers (including Whole Foods Market, pictured) in the West. 

For-profit businesses can efficiently and quickly raise large amounts of money to fund growth and innovation by tapping equity capital—money that people invest in a company in return for ownership and a share of profits. The nonprofit world has no corollary, making it difficult, costly, and time-consuming to raise money. In this article the author explores ways that nonprofits and funders can create their own version of equity capital, and, just as important, develop an equity approach to doing business.

In the early, heady days of the venture philanthropy movement, its proponents touted it as revolutionary, while critics said it was just old wine in new bottles. The experiences of the Center for Venture Philanthropy show that the truth lies somewhere in between: Venture philanthropy is no miracle cure, yet it can be particularly good at building strong organizations, knitting together new networks, and shrinking the power gap between funders and grantees.

Managing Editor Eric Nee spoke with Self-Help’s founder and CEO, Martin Eakes, about the subprime loan crisis and its impact on the poor.

Critics of microfinance institutions (MFIs) ask them to choose between helping the poor or making money for investors, but this is a false choice. MFIs can have their impact and profit, too, says the author, the CEO of the Grameen Foundation. He sketches a new vision of microfinance as a platform, not a product; one that relies on high volumes, not high margins, and that uses limits on private benefit, holistic performance standards, and third-party certification to help MFIs meet both their bottom lines.

From the Girl Scouts, to Partners In Health, to the city of Providence, R.I., great organizations have one thing in common: great managers. These managers, in turn, share four simple management principles that they use to guide organizations from mere mediocrity to stand-out stardom.

Financial aid discourages innovative solutions to poverty. 

How to get more racial minorities into corner offices.

Public nursing homes outshine nonprofits and for-profits.

Would-be EDs cite inadequate mentoring, low pay, and poor lifestyle as career obstacles.

In new democracies, right-leaning elections attract foreign investors.

In most parts of the world, strangers helping strangers is strange.

Conservative Protestants are poorer partly because of their religion.

Polak offers entrepreneurial solutions to poverty in Asia and Africa.

Nobel Peace Prize winner Mohammad Yunus aims for a more just society for all.