Philanthropy Australia’s Better Philanthropy Telescope 2025 has just been released, offering a pulse check on the biggest challenges and opportunities shaping the philanthropic sector this year. The report reveals a sector that is more committed than ever to collaboration, impact measurement, trust-based philanthropy, and growing a culture of giving in Australia. However, it also highlights significant external pressures, including economic instability, the cost-of-living crisis, the climate emergency, and upcoming political shifts like the Australian Federal Election.
Among the key themes identified, several stand out as critical for 2025:
Collaboration across the sector and beyond – Strengthening partnerships between funders, non-funders, government, and business to amplify impact.
Understanding and communicating impact – Measuring and transparently sharing the effects of philanthropic investments.
Impactful giving – Ensuring funding reaches the communities most in need in the most effective ways.
Trust-based philanthropy and shared power – Shifting decision-making to those closest to the issues, particularly First Nations-led initiatives.
Growing giving – Expanding Australia’s culture of philanthropy and making it more accessible to everyday donors.
If collaboration is the future of philanthropy, we must ask ourselves: How can we work together more effectively to tackle Australia’s biggest social challenges? At The Funding Network (TFN), we believe the answer lies in collective giving, open dialogue, and trust-based partnerships. Here’s how we bring this vision to life.
Despite their deep community impact, grassroots organisations often struggle to secure funding. In Australia, the largest 10% of charities receive 94% of all donations and 98% of government funding goes to charities classified as large or extra-large. The Better Philanthropy Telescope 2025 report highlights the need to bridge this gap by directing more resources to these early-stage initiatives, which are often at the forefront of social innovation. By identifying and supporting high-potential grassroots organisations, TFN ensures that more philanthropic dollars reach those who can drive real change at the community level.
TFN plays a vital role in identifying, vetting, and elevating high-potential grassroots organisations that might otherwise go unnoticed. Our live crowdfunding events provide a dynamic platform for these early-stage initiatives to connect with funders eager to create meaningful change. But TFN’s impact goes beyond funding. The true power of our model lies in the deep network of support we foster - offering not just financial backing but also the strategic guidance and connections that help these organisations grow and sustain their work. By amplifying grassroots giving, we ensure that resources reach those with the greatest potential for community-driven transformation, making every contribution even more powerful.
One of the biggest shifts in philanthropy is the move toward greater transparency and communication between funders and recipients. The Better Philanthropy Telescope 2025 report underscores the importance of understanding and communicating impact - something that is at the heart of TFN’s work. A crucial part of this transparency is impact storytelling. At TFN, we understand that numbers and data alone don’t inspire action; stories do. That’s why we provide training in storytelling and pitching to help social entrepreneurs better articulate their vision.
Our events facilitate open conversations between donors and the organisations they support, fostering a culture of authentic connection and mutual learning. This partnership-driven approach, enables funders to learn from those working directly on the ground. Relationships initiated through TFN events often turn into something more substantial and long-term. Gabrielle Mordy, Artistic Director & CEO of Studio A, recounts how a donor who supported Studio A through that first TFN event years ago returned recently to commission new art. “These relationships have longevity and depth, which is a significant aspect of TFN’s model,” she noted. “The power of storytelling and the ability to engage people about what all of us in this sector do is so critical to the impact we have. It's one of the most powerful skills you can have.”
Historically, philanthropic funding has been tied to rigid structures, lengthy reporting requirements, and donor-imposed priorities. The Telescope highlights that many funders are recognising the need to shift power to those with lived experience and reduce barriers for grassroots organisations.
TFN embodies this principle by providing unrestricted, flexible funding to organisations, allowing them to use resources in the way they know is most effective. This is particularly critical in supporting First Nations-led initiatives, which have historically been underfunded and subjected to donor-driven priorities that may not align with community needs. “Philanthropists and corporates need to recognise that the solutions already exist within communities – they’re just waiting to be activated,” notes our First Nations event partner Darryl Majid from First Nations business incubator Esparq Ventures. “What’s needed is support to overcome those initial barriers: early-stage funding and wraparound support.”
Our First Nations Giving Event is a powerful example of how this works in practice. By creating a platform for Indigenous-led organisations to share their work, TFN helps shift the narrative from "funders deciding what’s best" to communities leading their own solutions. This approach aligns directly with the report’s emphasis on decolonising philanthropy and empowering First Nations leadership.
As external challenges - from the cost-of-living crisis to global conflicts - intensify, Australia’s philanthropy sector must adapt by embracing collaboration, trust, and innovative giving models.
TFN is already putting these principles into action. Through collective giving, open dialogue, and trust-based philanthropy, we are proving that philanthropy can be more inclusive, more impactful, and more aligned with the needs of communities.
In 2025, we invite more Australians to join this movement. Whether you’re an individual looking to give for the first time, a corporate partner seeking meaningful engagement, or a funder ready to shift toward trust-based philanthropy, TFN offers a model that works.
Join us in shaping the future of giving.