Are You Blocked from Investing in Your Nonprofit?

roadblocks to investing in nonprofits

Is it appropriate for a nonprofit to invest in their own growth? What percentage of an organization’s funding should be reserved for investment in building and managing the organization? There are several high-profile examples of organizations that are clearly doing it wrong, causing many to question which organizations are worth supporting. As a result, several charity benchmark websites have appeared, providing a seemingly precise evaluation of any charity’s efficiency in just a few clicks, but is this an accurate assessment of a nonprofit? Many nonprofit leaders say no.

Casey Ernstes of the Plenty team talks in depth about this issue on the Plenty site this month, asking readers to compare nonprofit organizations to any other business they would choose to invest in. Are nonprofit organizations held to an unfair standard, one that for-profit organizations are immune to? Is there a better way to assess how well an organization is serving its mission?

Read in-depth on this issue here to find out more about the challenges nonprofits are facing, and how they can guide the conversation toward a more effective and accurate evaluation of their efforts.

Jump to Plenty’s site for the full article.

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The Connected Cause is a place for experts in the nonprofit online space to share perspective, offer guidance and promote best practices for using today’s technology effectively. Our goal is to provide a comprehensive source of collaborative thought leadership for the nonprofit industry.

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