In the blog, Advancing the Nonprofit Sector, I wrote about five reasons to “refresh” your nonprofit’s income strategy. Refreshing your income strategy is about gathering and studying your income opportunities and designing a strategy to obtain the income you need with the most impact. Over time, by following the strategy you obtain income to sustain you.
What does a solving the nonprofit income challenge look like in a nonprofit? It means the nonprofit has enough money in the pipeline to pay for your operating expenses on a regular basis and funds to save a little. While you are still aware of the need for income, you are comfortable. You eliminate organization-wide income anxiety. A solution is similar to having good salaries in your household. With good salaries, you live, save a bit, and, from this position, plan for a more abundant future.
Here is a sixth reason to refresh your nonprofit’s income strategy, the most important one of all.
6. Your Current Strategy Doesn’t Solve Your Income Challenge.
Too many nonprofits’ income strategy never worked well in the first place. For these nonprofits, it’s always been a “hope for the best situation.” Here leaders engage in wishful thinking that adequate income will turn up. It is important for these groups to know that a solution is possible. While an understandable challenge for new nonprofits, a strategy that falls short can even afflict mid-size and large nonprofits. All nonprofits need to create a strategy that solves their income challenge.
When and why have you refreshed your nonprofit income strategy?
Karen Eber Davis provides customized advising and coaching around nonprofit strategy and board development. People leaders hire her to bring clarity to sticky situations, break through barriers that seem insurmountable, and align people for better futures. She is the author of 7 Nonprofit Income Streams and Let's Raise Nonprofit Millions Together.
If you appreciate these Added Value posts, please consider subscribing.