Sustainability Questions Are Offensive
Do you agree?
I recently read an article that mentioned how offensive the sustainability question was to potential grantees on grant applications. The author gave examples of different ways grant writers could respond to funders that ask about their efforts to create sustainable funding.
The premise was:
• Funders have a job; that job is to give money to non-profits.
• Funding is difficult to obtain, never mind sustain.
• Applicants need funds and writing grants takes a lot of time.
The sustainability question is a distraction and waste of time.
• The economy will turn around and funding will be back to old levels; this funding request will help bridge the grantee until that time.
In other words; your job is to fund, and my job is to ask for funding.
WHAT IF SUSTAINABILITY IS AN ACHIEVABLE CONCEPT
Look at funding through a funders eyes; funding is an investment. Funders have a mission and guidelines for fund disbursement, just as non-profits allocate funds to support and execute their mission.
Imagine a scenario where a non-profit serves the homeless community with a specific goal to help the homeless obtain housing first and a job second. Would it be reasonable for an out of work mortgage broker to utilize the non-profit's employment program because they need a job? Or, would their use of the program divert funds from the non-profits target population; mission work?
Well-matched partnerships that fund shared priority areas and initiatives build strong long-term relationships that serve each and the communities both serve.
SUSTAINABILITY IS REAL, EXPECTED AND NECESSARY
Sustainability is possible; you must diversify your income opportunities and put consistent effort into developing each.
Donors and funders expect transparency, strong business practices, and income diversification. Sustainable funding expectations are not a trend that will go away.
Most organizations just need some direction on how to succeed within the new funding landscape.
Begin by asking a few questions, does your organization:
• Onboard properly?
• Make contacts specific and targeted for the recipient NOT the organization?
• Cultivate interest and relationships?
• Thank those who support your organization?
Focus your efforts year-round on these issues to create sustainability.
Consultants are a cost effective tool to utilize while an organization reassesses and adjusts its strategy. Contact us today; we work off of a menu to create sustainable funding for your organization. We believe in coaching current employees to execute these efforts.
A Big Ugly Word in the Non-Profit World: Sustainability
Originally posted on LinkedIn on May 2, 2016
Non-profits and funders are stuck in a funding trap due to differing realities and measures of organizational sustainability and what is needed to get to that coveted place.
Who starts this conversation? What are the consequences of not having the discussion on sustainability? I believe funders and Boards need to give Executive Directors a safe opportunity to discuss these issues and support them in solving this essential component holding most, if not all, non-profits back.
Funding back office operations and development work are essential to a non-profits ability to deliver programs and services central to its mission. Yet, funding these areas is taboo. Without investment in these areas, how do you create efficiencies which will translate to more stable funding? You can’t. This quagmire forces non-profits into a perpetual cycle of inefficiency—the VERY thing that watchdogs and the media hold-out as the reason to hold back donations to non-profits.
Sustainability requires stability and efficiencies. Smart investments in infrastructure and development are the most efficient and cost-effective delivery system to achieve this goal. We know this in business and our personal lives, why is it different for non-profit entities?
Small to medium size non-profits are struggling. The paradigm needs to shift; the conversation needs to begin.
Start the conversation.
Today starts our 20 Tips in 20 Days for Non-Profits on Twitter and Facebook.
Non-Profit Sustainability
Non-Profit Sustainability, Originally Published on LinkedIn on Feb 9, 2016
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Non-profits, foundations, donors and government agencies, are in a battle of over what defines sustainability. Foundations, donors, and government agencies require non-profit grant applicants to state in their proposals how the project or initiative they are seeking funding for is sustainable. At the same time, non-profit applicants are given a list of cost restrictions that, if included, would preclude them from funding.
Upon funding, grantor-reporting requirements often include funding updates, initiative progress reports and could include metrics and feedback. What is left out of the pre-funding proposals are the true back office operational funds necessary to execute the funded initiative and reporting. These costs could include: computers, upgrading obsolete or unsupported software, internal computer networks and maintenance, support staff to promote/brand/market the initiative, program registration support, preparation of program materials, etc.. Each item or task just listed has associated costs and, with stable funding, provide operational efficiencies. Non-profits use back-office workers and equipment for multiple initiatives to deliver quality programming, grant reporting, and mission work. Not being able to properly fund these functions trap non-profits in a cycle of inefficiency. Vital functions, to any organization, cannot be funded in fits-and-starts if true sustainability is the goal.
Sustainability implies stability and efficiency. If the goal is sustainability, then investment in these areas is critical for the funder and the community that the grant was funded to serve.
Please visit www.tierneydevelopmentgroup.com for the full text of our Position Paper: Non-Profit Funding Quagmire: Sustainability. The barrier to sustainability. What is true sustainability and how to get it? January 2016, Kristen Tierney.
(c) 2016 All rights reserved. Kristen Tierney, The Tierney Development Group.