Rallying the Troops – Keys to Not-for-Profit Management Success

Contrary to what many may think, the management of a non-profit organization isn’t a walk through the woods. There are financial management requirements employees’ responsibilities, making sure that your organization files all required regulations, managing donors and coordination of volunteer activities. The management of not-for-profits is often so daunting that you can leave things unfinished. Let’s look at some aspects of management that are often neglected in the day-today operations of a non-profit organization. Section 18A Tax Certificate

(I) Financial Management

Yes, it’s possible to be distracted from the organization’s finances. There is the flurry of activity, very little time is devoted to monthly, quarterly as well as annual financial reports. A few smaller non-profits have just one or two employees in the accounting and finance departments. Insufficient oversight and accountability could lead to the mindset of a lazy worker and cause fraud issues. This can be especially true when financial records aren’t reviewed and the proper internal controls aren’t implemented to stop mismanagement of money.

A lot of times, there is the possibility of a lie being heard and then, worse, believed by the people who are exposed to it. It is all about the profit. Every business needs to earn an income stream to support its operations. This is true for charitable organizations as well. Don’t believe in the notion that profit growth will result in the revocation or denial of 501(c)3 status. Your conduct of business are important and your INTENTION should not be to offer significant wealth growth to an entire group of people or a single person. Profit is essential for the expansion and development of a business. The majority of not-for-profits have a bylaw that specifies what the annual profits will be used forand how they will be used and how. If this isn’t an issue for you particular organization think about amending the bylaws to add a clause specifying the usage for annual earnings. The absence of a profits at all or for just a few years, sends negative signals to prospective and existing donors.

(II) Staff Development

Your employees are the core of your company, and without them, you’re left with volunteers who are not invested in the overall success of your business. How can you build your employees on a tight budget? The development of your staff doesn’t have to cost you 5percent from your budget each year. It can be completely free. Each year, you will have two meetings with your entire employees, but not to discuss the latest business developments or old ones. The first time you meet is to begin the fiscal year. At the beginning of the meeting, outline your strategy for the year Review the budget for the year with them, and explain to them the specific areas they are accountable for and what they can help to ensure the overall success of the business. Make sure you review the past year and the way in which the company did. Review the statement of vision and mission This may sound silly, but it is important for everyone to understand the reason they’re there. The majority of employees working at a not-for-profit institution do it because they believe in the work the organization is doing. The benefits and pay are not as great as that of the workplace, however it’s the sense of belonging and creating a positive impact that’s the main reason people are attracted. Discussing this with your team will allow you to see what they’re doing as well as keep the morale up by reminding everyone of why they’re here.

Training and development for the purpose of training Some cities have non-profit councils. They offer seminars for free as well as opportunities for growth. You might consider a subscription to trade magazines or newsletters for your employees as a means of training them. Some universities and community colleges offer adult-oriented classes in a variety of regions. Under $300 you can send your employee to a training session. It helps them improve their performance, and also helps you.

(III) Donor Development and Education

It is true that this can be put off. Your donors are essential for both the short and long time success of your company. Each year you need to identify and educate different types of donors. There are regular donors who donate monthly, annually as well as one-time donations. You’re trying to grow each of these areas and then work to convert the one-time donors to regular or monthly donors. Within these donors , you need to create distinct sub-groups too. There will be program and project donors, but the most difficult is the development of operating donors. They are the ones who contribute for the purpose of keeping lights lit, keep the phones running, and to pay for the support staff. Each year, you must establish a goal for conversion rates and set a new lead target. Engaging with different businesses and agencies, and putting on events and fundraising opportunities are a great way to attract single-time donors. But what happens to your annual and monthly donors? Informing them about the usage of their funds and the ways in which their donations make a difference is crucial to keeping them engaged and encourage them to contribute more.

What do you think of your interaction in your relationship with donors? Do they receive quarterly newsletters, or annual personal letters signed personally by yourself? Do they receive any correspondence? What do you think about the annual meal? A lunch-time Q&A session together with Executive Director as well as the Board could be a great way of building rapport and informing them about the progress the company is taking.

(IV) Strategic Planning

Strategic planning is just as important as securing donations from donors. They all have a reason. Strategic planning is vision and being able to see the future. It is important to think about where you’d like to be and what you’d like to do and the best way to reach that goal. The planning process needs be led by your Executive Director. It should be assisted by the Board and discussed with the top staff. You should try to stay in line with the original goal of your company. In the pursuit of growth and increase in revenue could cause the loss of staff, donors as well as Board members and even NFP status.

Spend the time to plan out your objectives, timeline, and benchmarks. Make sure you plan for the short, the intermediate term, and to have everything pointed towards the long-term objectives. If you’re juggling too many objectives, you could not achieve each one; this may result in a failure in your long-term planning. Make sure to set goals that are SMART. Specific, Measurable, Attainable, Realistic, and Time Oriented. This is the best method to achieve your long-term goals while implementing the strategic plan.