Tips for Nonprofits in Economic Uncertainty

By Ryan Heinrich

Nonprofit organizations should be prepared to scale back services and programs when times are financially uncertain. They can refer to the outlook and results of years prior for guidance in creating a new budget, and be prepared to adjust their programs and services as needed throughout the year. Even during times of undesirable economic conditions, such as increased tax rates and unemployment, nonprofits should continue to encourage both modest and larger donations.

The following are some tips to help nonprofits stay strong in difficult economic times:

1. Make donors aware. The public should be aware of your nonprofit’s needs so they can make a donation. Nonprofits should use the many free online tools to promote their charity, including social media outlets like Facebook and Twitter. If your community has a newspaper or newsletter, ask to be included in a column that showcases your programs and services. Looking to the local news channels is another good option, as they may have segments featuring local charities.  
2. Reduce costs. One sure way to reduce costs is to transition your organization’s monthly newsletter from paper to email. This not only will save on mailing costs, but will help the environment too! Another way to reduce costs is to transition to an online donor management tool, called Software as a Service (SaaS). The SaaS technology will easily allow your organization to go paperless in tracking donations, further reducing costs in auditing and reporting.
3. Facilitate volunteerism. Many individuals think that they if they cannot contribute monetarily to a nonprofit, then they cannot help out at all. Nonprofits should encourage individuals and groups that aren’t able to donate funds to become actively involved instead. Provide plenty of opportunities, like helping out with the day-to-day operations or running charity events and galas. Encourage families to volunteer as well, as this helps to instill a sense of charity to children.

When economic conditions are less than ideal, nonprofits will find that the need for monetary donations, and also of goods and services, is increased. The above tips can be useful in adjusting to the tough economic times. Your organization’s commitment to providing quality programs and services should remain strong in order to carry out the mission statement.