COMMUNITY Mission Impossible?
Nonprofits’ needs today go well beyond the numbers. By Terry Troy
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24 COMMUNITY LEADER | NOVEMBER 2023
goods and services to the people and communities that rely upon them. Some challenges are related to internal issues such as governance, staffing and financial accountability. Others face challenges from issues like fundraising and operations. Most of the issues are caused by forces that are beyond their control. Now, more than ever, nonprofits need our help. So, we asked professional organizations serving and tracking the industry as well as local nonprofits
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hey represent the very best of America, providing a way to work together for a common good. They transform shared beliefs and bring hope into action making a profound impact on communities and our society. America is home to more than 1.3 million charitable nonprofits that heal, inspire, nurture and enlighten people of every age, gender and race. Yet today they are facing very real challenges when it comes to the continued delivery of the
to help us identify the challenges facing their organizations. In general, the challenges facing nonprofits today include: an increased demand for services; declining revenues; an increase in the cost of services; a decline in personnel; and staffing and succession planning — the latter two being issues that are essentially tied at the hip. “But those issues are really just the tip of the iceberg,” says Rick Cohen, chief communications officer of the National Council of Nonprofits. “Each one of those RICK COHEN issues has a subcomponent to it. “Take revenue, for instance. Most people don’t realize that government grants and contracts make up about a third of the nonprofit sector’s revenue. But a lot of people focus on donations. However, donations from individuals and foundation grants only make up a little less than 11% of the nonprofit sector’s revenue. “Government contracts often are set and locked in at the same rate year after year. Despite the fact that delivering the cost of services and goods goes up and up, the contract stays the same year after year. That is just one of the