Nancy B. King
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Tuesday, March 4, 2008

Non-Profits

I spent from mid-morning to late afternoon in a non-profit Board strategic planning meeting with an excellent facilitator from Foraker Group.

Number of Non-Profits in Alaska

Alaska has close to 6,000 non-profits (only about 600 are churches). There is 1 non-profit for every 77 people in Alaska.

In Alaska 11 percent of the population works in non-profits, nationally it is 7 percent.

In Alaska non-profits are a $2.4B business.

Where Do Non-Profits Obtain Their Money

Nationally: 40% earned income, 35% government, and 25% donations.

The donation category involves $295B. Where does it come from: 4% corporations, 12% foundations, 84% individuals.

A Non-Profit's Direction

(rather than the old Mission and Vision)

Who are you?

Where are you going?

What are you doing to get where you are going?

What are you doing to make it happen?

If you go after money to Get-Money, it doesn't work. Money asking is driven by What you are doing to make happen to get Where you are going?

Sustainability of a Non-Profit

Mission---Is there still a need for the non-profit and what it does (not always)? For some it may be time to go to a hospice.

Financial---Requires unrestricted income---Government, Corporations, and Foundations give only restricted funds for starting a project or a capital expenditure. A non-profit needs 6 months of non-restricted monies held in reserve for operation expenses.

The Right People---The success of a non-profit depends on the Board first, then the Staff. The Board must consist of people who are committed to the Mission and give generously of their time and energy for the good of the organization and its focus. Non-profits also need to "age down" their Board memberships (84M Baby Boomers and 42M Gen Xers)

The relationship between the CEO and the staff is like a marriage. Each has to know, trust, and communicate and refrain from making decisions for the other.

Collaborative ---organizations working together

Yes, it was worth my Monday's time and energy.
9:38:09 AM    comment []



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