Non-Profit Development: Hire an Employee or Hire a Consultant?

Executive Directors can no longer be expected to run the management, operations and development responsibilities of a small to medium size non-profit.  Non-profit funders and donors need to recognize the inefficiency and disservice to the non-profit in doing so.   Make a commitment to fund development and operational support costs.  I cover the operational piece in other blog posts, today we'll discuss development.

Funding development work frees-up Executive Directors to make valuable connections and partnerships in the community, run the organization, manage staff, and programs more effectively.  A commitment to development illustrates to staff, program managers, donors and funders that funding their positions and the non-profits long-term viability are a priority worthy of financial support. 

The idea of adopting small business practices is often an uncomfortable reality for non-profit staff and management.  Today's funding climate requires non-profits to think more like a small business:

  • Creating more predictable and diverse income, i.e. stability.

  • Staying up-to-date on social media platforms, rapidly changing messaging and donor expectations to cultivate financial relationships and partnerships.

  • Grant funders require non-profits to demonstrate the steps they are taking to diversity, requiring accountable outcome measures for these plans.

How do you fund development work?  The real question is: how do you not?

 The options are: to train an internal candidate; continue to require the executive director to do this work; hire a development professional, or; hire a development consultant.

If your non-profit hasn’t consistently funded marketing and development work since the economic downturn, I recommend hiring a consultant. If you have funded both and need a full-time, in-office development professional to work 40 hours a week in the office, hire a development professional.  If you are unsure, hire a consultant.

Determine Which Fits Your Organization Best

A good consultant offers you real time best practices, flexibility, benefit cost and overhead savings.  As you increase income and realize savings funnel those resources into outreach efforts to further your development work and deliver on your mission.

Hiring a seasoned development professional that hasn’t consistently funded development work in the last several years is a risky proposition.  Is this person up-to-date on the rapidly changing development and marketing landscape?  Are they aware of and comfortable working on the wide variety of platforms and touch-points that each donor segment prefers?   Are they willing to stay up-to-date with the rapid rate of change on and of each?

How to Identify a Consultant?

Hire a consultant from your local catchment area with a passion for the organization's mission with a business or non-profit development background.  The personal connection to the organization's mission and the catchment community is invaluable to the work that will be done.  A one-stop shop consultant is ideal and the most cost effective option (graphics, branding and messaging).  Development, marketing and messaging need to be seamless and responsive.

Make the Most of Your Development Commitment

Funding development allows Executive Directors to focus on creating sustainable business practices.  These efforts support not only the new development work but the programs, services, and staff behind fulfilling the non-profit mission.

Your Board may be uncomfortable fundraising, most are, yet they may be willing to, at least in part, put their funding efforts behind the essential development position that their Executive Directors and the organization needs.

Community Foundations have a vested interest in helping non-profits take this essential step.  They are poised to be leaders in creating the structure and support non-profits need to become truly sustainable.

These discussions need to occur within a framework and with the goal of progress and long-term financial sustainability.  It is a commitment necessary to remain viable in today’s non-profit marketplace.

kristen tierney