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Is it a problem when an arts group is too dependent on a single donor?

Dancer Jin Young Woon of Cedar Lake Contemporary Ballet source: Cedar Lake Facebook page, photographer not credited The recent case of Cedar Lake Contemporary Ballet in New York City shuttering as a result of the withdrawal of support from their major benefactor, Nancy Laurie, an heiress to the Wal-Mart fortune, has sparked a dialogue around the pitfalls of over-reliance on a single donor. The New York Times wrote about the dance company's closure  here , and Michael Kaiser addressed the larger issue in a blog post here . Clearly, significant dependence on a single donor by an arts group poses serious challenges, and adds to institutional risk. On the other hand there has been a significant growth of arts institutions, largely in the visual arts, that are the creation of single donors/collectors. Would the excellent Neue Galerie in New York be able to survive without the support of Ronald Lauder and his family wealth? Unlikely. And many of our now-great institutions with d...