Purpose-Powered Progress: How Nonprofits Can Drive Discovery
Dec. 3, 2024—When thinking of cross-sector partnerships, collaboration between a company and a university is often the first thing that comes to mind. But nonprofit philanthropic organizations are increasingly stepping into the sponsor role. By defining a research area and investing to advance discovery, nonprofits can fast-track high-risk, high-reward ideas, forging robust—and potentially enduring—partnerships.
Research support
Nonprofits, often created to address research challenges related to a specific disease or social issue, help fill gaps in the research ecosystem. Some nonprofits may conduct their own research programs that align with their organizational mission. Others bring funds together to invest in external research with academic partners. Since nonprofits commonly have diverse funding sources, they may choose to fund projects that are high-risk or may not be appealing to other funders. Prime examples include foundations established to fight a rare disease, like the Cystic Fibrosis Foundation. For more on foundations, see this previous 3-Minute Read.
Beyond funding, nonprofits are often deeply embedded in their local communities and can help make critical connections between companies, universities, and other potential partners. Depending on the nonprofit’s focus, it can serve as a service provider for the ecosystem and provide value in supporting research and business functions. The Deerfield Foundation, for example, awards millions of dollars each year to organizations that develop therapies and treatments and improve human health. It is affiliated with UIDP member Deerfield Management, an investment company with a mission to advance health care through information, investment, and philanthropy.
Bridging gaps
Nonprofit funding can help bridge the stubborn gap between the discovery phase and successful research translation into practical products and technologies. Drug development is one research area particularly challenged by this gap; while drug company estimates vary, a recent study projected that less than 14% of biomedical discoveries make it to FDA approval.
SPARK NS, a nonprofit focused on neuroscience discoveries to address Parkinson’s disease, designs its programs to overcome the valley of death challenge in drug development. Funded by private wealth management firms (known as “family offices,” SPARK NS’s research framework offers two-year immersive programs that include up to $2 million in funding, training, and skills development, plus networking and mentorship opportunities. Academic principal investigators are teamed as a cohort and matched with expert industry advisors to move an idea forward. SPARK NS programs boast a 50% success rate at progressing projects through the translational phase. (The next SPARK NS call for proposals will be announced in April 2025.)
This is the kind of novel approach that UIDP is spotlighting as part of its Strengthen and Modernize Partnerships initiative. This year-long effort identifies creative programs and pilots to build a body of knowledge that can help strengthen and modernize cross-sector partnerships for decades to come. Share your ideas for addressing partnership challenges and enhancing impact from collaborations here.
Why it matters
Nonprofits play a critical role in the research landscape. With the freedom to craft programs that focus on specific problems using patient capital and address gaps in the innovation landscape, some of these organizations are revolutionizing the way innovation and discovery move forward. With a more robust focus on building collaborative environments and translating research from lab to market, nonprofits are poised to foster more partnerships, maximize impact, and solve grand challenges.
We want to hear from you. Have you or your organization partnered with nonprofits or other organizations like SPARK NS? Let us know on LinkedIn.