Funding is the top concern of every nonprofit leader. And in light of the current Coronavirus outbreak, that concern is all the greater. Economic shifts have affected every organization’s budget projections. Nonprofit leaders are now charged with the task of implementing best practices to bring stability during uncertain times. Here with some do’s and don’ts for budgeting is Sarah Olivieri, from PivotGround. Sarah is a budgeting expert and former executive director who helps nonprofits get unstuck when it comes to making financial plans.
DON’T Cut Your Revenue-Generating Activities
When budgets are tight, you may need to make short-term cuts for long-term health. Just be sure to keep your revenue-generating activities! Even in the nonprofit realm, you have to spend money to make money. If you cut those activities, you cut your ability to bring in money. This is hard for so many heart-driven nonprofit leaders, but remember: if you completely run out of money, your mission is done and you can’t deliver any programs. So better cut a little on programs now so that you can ramp up your fundraising activities, your money generating activities, and eventually add those mission activities back.
