NONPROFIT SECTOR
All charity trustees have a fundamental duty to protect the assets of their charity and to use them to further the purposes of the charity for the public benefit.
It is a sad fact that when the economy is suffering, nonprofit agencies, and the vulnerable people who desperately rely on their services, are hardest hit. Many agencies find themselves struggling to survive – at a time when they should be expanding their services.
Big cuts in donations as a result of the economic crisis and the desire to maintain programs and services means these agencies need to seek ways to improve performance and efficiencies, and learn new and better ways to deliver their purposes. Currently, the only alternative is to increase redundancies and cut administrative costs.
Prompted by the increasing demand of nonprofit agencies to improve performance and efficiencies, nonprofits are concentrating their often limited resources on the fundamental areas of skill and knowledge.
- Fundraising
- Grant writing
- Public communication and disclosure
- Program development
- Good governance
- Legal compliance
- Volunteer programs
A nonprofit agency should make information about its operations, including its governance, finances, programs, activities and successes available to all stakeholders, including the public. Producing well-structured material that is easy to read and scan is of utmost importance.
Solicitation material and all correspondence addressed to donors must be crystal clear, professional and reader-focussed – and where possible include a call to action.
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| NONPROFITS ARE SUFFERING
In the US, nearly 94% of nonprofit fundraisers recently surveyed said that the economy is currently having a negative effect on fundraising.
In Britain, one in three companies expects to lay off staff within months, and corporate donations have fallen by 20%.
Shelter, Oxfam and the disability organisation Scope have already announced redundancy programs.
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