Here’s a guest blog where it’s all about the business focus for nonprofits. Somethings that’s very important when it comes to monthly giving. Once organizations see the power of those small donors, they’ll be more likely to focus on it more.
As you know, nonprofit organizations are playing the positive role in the betterment of communities. Non-profit organizations are similar to for-profit organizations because they also need money to achieve their goals. Robust tools to advertise, use of technology, expert help, great skills, physical and online presence are the resources non-profits need for the accomplishment of their goals. And to find these resources, non-profits need strong financial support. And volunteer help is always appreciated.
What many not always realize is that management of non-profit organizations is really very similar to running a business, which is the focus of this post. All told, roughly 1.6 million nonprofits employed 10 percent of the domestic work force in 2010 and accounted for 5 percent of Gross Domestic Product
Nonprofits must have Clear Directions and Goals
Clear goals must be explainable and understandable by everybody on the inside and outside -every constituent -impacted by the organization. Without goals and targets, a company can’t reach its ‘destination’ and that’s no different for a nonprofit.
Nonprofits need Qualified Employees
This can be a little bit of a ‘pickle’. An organization can’t run successfully without the support and skills of the educated people. A non-profit should be able to hire educated people just like companies do. It is evident that educated and skilled people will only join an organization if they get rewarded through an attractive salary. So, a non-profit must arrange wages for talented people for the progression of the organization.
Nonprofits need Resources
A company needs resources to achieve goals. Nonprofits need resources just as much but this depends on the amount of funds raised by the charity. This is where volunteers play such an important role. While companies see the future and they’re willing to borrow money as needed, most non-profits are risk averse and they’re less likely to do so.
Nonprofits need Financial Management
Financial management is the most vital part of every non-profit organization. By tracking their financial statements they’ll better understand the areas where funds come from and those areas that require more funding to grow as an organization.
As finance is the backbone of any organization, it’s important for non-profits to have access to expert accountants to manage the finances. They also have to maintain a clear position of income and expenses and present this to supporters as needed, through the 990 and annual reports.
Nonprofits need Technical Knowledge
These days, the organization’s growth depends on technical expertise. Web sites. Social Media. Text giving. Donation Processing. Nonprofit leaders must access the right people who can use technology in the right place and at the right time. Technology is essential to reach donors and collect the funds.
Nonprofits need Volunteer Management
Volunteers are crucial for non-profits. They can bring specific skills and knowledge without requiring a salary. But it’s important for the organization to manage these volunteers so that they’re able to get the optimum use of their talents.
Nonprofit needs Staff Management
Finally, it’s crucial to manage staff as well. The optimum staff and volunteer cooperation will help the organization run smoothly. Setting realistic goals for each staffer and evaluating on a regular basis, while keeping the big organizational picture in mind is an ongoing process.
Those organizations that act like businesses, addressing the above requirements, are typically most successful in obtaining volunteers, donations, keeping their donors and achieving the impact in the community they set out to accomplish.
Guest blog contributor: Jessica Watson has been writing for websites for four years now. Currently, she is with Aurion UAE freezone company registration agents; they offer their services across all states of UAE. (A Direct Solution does not endorse the UAE or Aurion).
