Tools to Improve Organizational Stability
Every organization, non-profit, and for-profit are reliant on outside revenue such as donations and grants to fund their programs and events. Understanding the financial parts that go into making an organization continue to flourish in their endeavors and goals. This blog post is a continuation of our breakdown of the Modules series, Organizational Stability.
Tools and Ways to Improve your Organization's Stability
Grant funding for organizations can change every year depending on global and local economics and politics. Due to these inconsistencies, it is best to be gathering financial backing from numerous areas. Some examples of diverse revenue streams include donations from individuals or large corporations; specific funds dedicated to a program also known as grants from partnerships or government organizations; or income received for paid work. Utilizing earned income doesn’t mean you are trying to turn your recipients into customers but to be able to find clients and provide a service. A sports organization could rent their space to paying clubs during mutually agreeable times.
Being able to be creative and use your already existing resources in the way the sports organization did is known as leveraging your assets. Social Entrepreneurship moves beyond leveraging assets and starts to create consistent income. It combines business practices, new and innovative goals, and objectives to provide services that encourage systemic change. Ways that a recurring income can be set up consists of monthly or recurring donations, events (virtual or in-person), or online fundraising competitions. Fundraising can be difficult as it costs your organization time and resources, but the work put into it can lead to great benefit.
Individual donors hold a large part of non-profit income and it is very important to keep good relationships with your donors. Targeting messaging specific to donor, having methods for donors to get more involved with the organization, and when donors do contribute be sure to send thank you notes and donation receipts in an adequate time frame. If you are applying for corporate donations or grants they are often time-bound and based on performance so be aware of deadlines. Ensure that you pick a grant funder that aligns with your organization’s mission, goals, and programs.
Maintaining clear finances is an essential part of continuing the organization’s community impact and stability. In addition to our Module on Organizational Stability, there are resources available to track your funding revenue streams, information on finding partners, and an Action Kit on Donor Strategies.
By: Ola Adebayo (GIL Team Member)