When You’re Looking To Start A Nonprofit, Remember These Tips
Have you ever thought of starting your own nonprofit? Through the years, I have seen countless, wonderful people start a nonprofit and ultimately not being able to make it Work From Home. On the flip side, I have also seen organizations start with nothing and have budgets of $4 million or more in approximately five years time. The needs are boundless and there certainly is space to create something new and exciting that makes an impact on lives, but it takes a lot of strategy and Work From Home.
If you do some research, there are many sources that will tell you about how to start your nonprofit. Most of these terrific resources provide you with the technical information. One of the most important differences, however, between those nonprofits that succeed and those that flounder has been in the “art” of establishing the organization. What I mean by that is the “gray”-the kind of stuff you don’t learn in books. It means understanding not only the technical things you need to make sure you have on hand, but the little things you should know about that may not be written and you’ll only find out through experience.
So, here are a few tips to help you navigate through starting a nonprofit organization:
* The mission is crucial. It is important to ask yourself the purpose of your organization. It is even more important to ask yourself if there are other organizations out there doing the same thing. If so, you need to understand what separates you from the rest. When you reach out to donors, one of the things you will always have to address if there are similar types of organizations is why your nonprofit is different and why it does its mission better than anyone else.
* After the mission, the most important ongoing element is the board. Oftentimes, individuals who start nonprofit boards do so with their friends who have similar values and vision. However, it is crucial to look at your nonprofit organization as a business that delivers a service that truly impacts people’s lives. To that end, it is important to make sure that your board is diverse. You should have individuals with backgrounds in marketing, fundraising, law and program delivery (eg a university professor), etc. Obviously, there should always be diversity with regard to gender, race, etc. Diversity brings varying worldviews and opinions and that is necessary so as to not be myopic.
* The board’s financial giving commitment is key. With their fiduciary responsibilities board members have an obligation for the fiscal health of the nonprofit. In other words, they need to help support the organization financially either with their own gifts or by influencing others to give or both. If this goal is not made clear at the outset, it is one of the most difficult things to change down the line. A culture of giving by the board must be done at the outset.
* A simple rule of thumb is to always ensure diversification. Many startup nonprofits start their organizations relying on one or two sources of funding. Due to the economic dynamics in play in today’s world, I recommend that no single revenue stream ever account for more than 20% to 25% of the revenues brought into the organization. Why? Because if something happens beyond your control, a single source of income can seriously jeopardize your organization. Therefore, it is important to look at support from board members, individuals, corporations, foundations, events, online gifts, etc.
* Finally, another key for success is to know your stories and the impact you intend to make. People give to people. Make sure you’re always telling the stories of those who are being served by your organization. But, also understand how you will evaluate and demonstrate results. You will get people interested in your Work From Home when they understand how the lives of those you serve are being impacted and measurably improved. Make sure you tell the stories often and in compelling ways and are able to show how things are changing for the better.
