(Updated with New Nonprofit Survey Results)
How the current economic turmoil will play out is unclear. What is clear is that nonprofits must continue their vital missions. For most organizations, however, sustainability will require tough decisions to recast budgets, partner with key funders, keep core teams strong, develop explicit contingency plans, and—importantly—take what steps they can to maintain or even enhance the strength of their organizations. During the past month, we surveyed more than 100 nonprofit leaders to understand how they are being affected by the downturn and the approaches they are taking to address the challenges ahead. We've also collected insights and advice from our clients, from other nonprofit leaders and experts, and from our own leadership that we hope will help you manage through these tough times.
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Recommended Resources
Nonprofit Economic Vitality Center
National Council of Nonprofits
This resource has been specially created by to help organizations in the sector better cope with the challenging economy. Within its pages nonprofits will find “focus areas” devoted to three topics: basic facts and analysis, offering journalists, nonprofits, policy makers, and the general public up-to-date information on the economic climate; impact on nonprofits, which discusses the impact the economy is having on the sector; and actions steps for nonprofits, which shares resources for weathering a downturn and emerging stronger when its over.
"It May Be Hard Times: How to Navigate a Financial Downturn" [PDF]
The Nonprofit Quarterly, 2008
A selection of articles from The Nonprofit Times aimed at leaders forced to manage their organizations during economic turmoil. Includes sections on "Budget Cuts and Sudden Overhead Conundrums," "Managing Financial Uncertainty," "Improving Cash Flow Management in Challenging Times: A Primer."
"How Charities Cope With a Troubled Economy"
The Chronicle of Philanthropy, 2008
A compilation of recent Chronicle articles, discussions and statistics related to how nonprofit organizations are dealing with the current economic situation.
"Local Nonprofits Offer Insight on the Unfolding Financial Crisis"
Massnonprofit.org
This news story notes how Massachusetts nonprofits are preparing to absorb the impacts of the current financial crisis and offers a few recommendations to nonprofits in general for suriving the market's ups and downs.