Nonprofit Survival Tips

For many people it seems now more than ever that the world in which we live is different. When this change occurred is hard to pinpoint exactly. Some might say September 11th was the time that brought the world’s problems closer to home. Others might direct you to a different date.

Regardless, most people feel at the very least uneasy! It is hard to think that “this” is the new normal, but the reality is crystal clear that things will never be like they use to be in the past.

With so much uncertainty our own survival instincts slowly start to kick in and we individually think it is best if we just pull in. At this point it is paramount that you start the process of taking a mental inventory of yourself and learn what it means to: Know Thy Self.

Likewise nonprofit organizations need to take this same step as well. Go back now and look at your mission statement and make sure you are focused on what it is you said your purpose was for existing. Is the organization doing what it said it would do or has it gotten side tracked because it was able to get grant monies that sent the organization in a totally different direction?

Unlike individuals that might feel a real need to pull in and in some ways hide, nonprofits need to be the absolute opposite. This is your time to shine! The old cliché is true that “out of sight is out is out of mind” so it is up to your organization to be diligent in making sure you get all the public attention you can making sure everyone knows the programs you offer and the difference you are making daily in the lives of others i.e. Toot Your Own Horn!

Keep Your Friends Close: If you really stopped and asked a person to write down a list of all the friends they have the list might be several pages long, much like your donor list. However, if you pressed the issue a little more and ask the person to tell you who they think they could count on if they really needed help? Most people’s list would shrink to only a hand full. With that in mind, I would contend that nonprofits with small budgets probably have never heard of the term “donor cultivation” much less practice the steps needed to accomplish this task. In short, many nonprofits appear to be fair weather friends and lack the energy or will to sustain a long term relationship. This needs to be corrected if you want to have any friends at all you can really count on when you need them most!

Have you been shopping lately? Have you noticed smaller sizes but the same price? Also, have you felt like you are seeing more messages like: Save Now, Half Off or Valuable Coupon!

Granted we all want a deal and in fact we are being conditioned that the regular price is not acceptable. This prevailing attitude has and will make every consumer look closer at what we spend. As consumers we are also looking closer at the “quality” of what we spend our money on and the “quality” of what we are getting to make sure it is a good value.

A regular nonprofit is no longer acceptable! You heard me right, the survival of your nonprofit depends on how your new and improved version not only looks but how it functions. It is nothing new to nonprofits to be diligent with the money they have. Trust me nonprofits know all too well about how to live on ramen noodles! To not only survive but thrive in this environment your nonprofits must establish their: Point Of Difference.

What makes your nonprofit unique and what makes your nonprofit valuable? The standard bearer can no longer be anecdotal evidence of how good your nonprofit might be but you have to be able to back up what you are saying up with raw data and fact.

In uncertain times another point that is critical for survival is Keeping The Faith! You have to know that you can weather this storm no matter how long it might last. This is critical because nothing will kill a nonprofit faster than the prevailing attitude of its employees. If the people working for the organization think they are on a sinking ship then all the buckets will have holes.

To help you keep the faith you need to put your situation in context and for that you need to: Count Your Blessings.

Nonprofits are fluid organizations and many times the turnover in both staff and board members are so great that the long term institutional memory vanishes. A great deal of good would come if nonprofits have a social gathering and invite all the past board members and especially all the past presidents as well as others in your community that have played and currently play a vital role in not only establishing your nonprofit but making it grow. This introspective look should be a time to celebrate and really see how far you have come as well as reconnect those lost ties that bind!

Lastly, in order to survive you need to: Say Thank You! I can guarantee that if more nonprofits would commit to this one tip in a year’s time they would see a tremendous positive change in their organization.

I realize it is hard to create a habit, but I would like to challenge all nonprofit professionals to daily call a donor and tell them how much you appreciate them or write a note to a donor and mail it everyday! If you have to, place a calendar over your computer screen, on top of your phone or just somewhere you will have to look at it to remember. Mark off each day with an X when you accomplish this small but important task.

Likewise, ask your board to make a commitment and either call or write at least one donor every month i.e. assign names to specific individuals. Make it a point at your monthly meeting to reiterate how important this is to your organization and make sure to follow up with how everyone is doing.

Remember, Your Survival Depends on It!

Nonprofit Capacity Building / Organizational Development

Organizational development has been defined as the process through which an organization develops the internal capacity to be the most effective it can be in its mission work and to sustain itself over the long term.

It should be clear that just providing money to help solve problems that exist is only part of the solution. To truly strengthen the nonprofit organization there has to be active involvement by all concerned to establish ongoing organization development within itself. This continual involvement in improving the overall internal and external structure was not only crucial to growth but also the over all chance of survival.

You would think that if a nonprofit's survival depends on their ability to adapt, grow and change they would embrace the ongoing task of organizational development i.e. building capacity.

Likewise, it would be logical to think that this might also be seen as a high priority for people funding them! Regretfully, however, regardless of all the studies showing how important this concept really is, the people giving out the money don’t see it as their role to accept this responsibility making sure that nonprofits can sustain themselves. Basically nonprofits are left to do it themselves!

On one hand foundations and grant funders expect all nonprofits to be strong both in organizational structure and their ability to accomplish the mission set before them. They expect nonprofits no matter their size or budget to have the best trained staff, a fully vested volunteer board that gives both money and time freely, and have complete community support i.e. raising most of the money on their own via fundraisers. Lastly, it is expected that organizations should be able to show impressive quantifiable results when it comes to serving their clients!
Unfortunately, some funders are also jumping on the bandwagon creating elaborate evaluation methods for nonprofits when it really amounts to just pushing lots of paper and creating more pressure on an already over burdened staff.

The reality is running any organization with a volunteer board of directors in almost all cases creates some problems that are not easy to handle. Second, in order to run a business, and that is what a nonprofit is, it helps if you have some experience to know what you are doing. Understand the service delivery end is only one part of the puzzle for a nonprofit. It also helps greatly if the staff also fully understand basic business principles found by running a for profit company.

Today nonprofits are turning over every rock possible to find money to carry out their program. Unfortunately there are only so many places money can be found! Likewise it needs to be noted that there are three main spheres of influence that basically control and direct our lives daily i.e. the government, businesses and nonprofits; with each one of these groups having a specific set of goals and objectives that guides them. In short, the long term success of each depends greatly on their ability and willingness to take responsibility!

Who will take on the task that needs to be accomplished and who has the resources and the ability to do what is needed to be done? We see a constant pushing and pulling from the government and business sectors. In many ways the nonprofit sector is the safety net that catches the things not profitable for business to do nor acceptable for government to take over. So it exists…it struggles…it grows!

If you have any questions feel free to send me an email: john@minges.com

Also, make sure to check out my website: www.nonprofitexpert.com

DISCLAIMER: This information is not intended to provide legal or accounting advice, or to address specific situations. Please consult with your legal or tax advisor to supplement and verify what you learn here.