Nonprnon-Profit Management Chapter 11 and 12
Chapter 11
Why fund-raise? Program requirements, unallowable cost, and new business ventures
True Philanthropic has to Fundraise. Non-profit has to earn money to operate on your truly a philanthropic
Fund-raising is synonymous w/ nonprofit (development or advancement)
Importance of Gifts to Nonprofit Organizations:
Charitable or philanthropic giving is an important source of revenue for many nonprofits, though relative importance varies among subsectors
Health services organizations -- low reliance
Educational institutions and civic, social, and fraternal organizations -- medium reliance
Religious organizations and human services organizations -- high reliance
Private giving can often be used to address organizational priorities rather than support specific programs or services
Core operations or capacity building
Building new facilities
New initiatives that lack paying customers or grants
Civic, social, and fraternal, educational institutions- Medium reliance
Depends if you get grants
• Consistently looking for new initiative that lack paying
Source of Gifts/Donations:
Private Individuals 75%
Foundations 501 (3) 13%
Corporations 5%
Bequest 7%
Recipients of Gifts:
Religion receive largest donation 35%
Education 13%
Human Services 9%
Definitions and Distinctions:
Charity and philanthropy (know the difference)
Charity -- giving to meet immediate human needs (ex. Food, shelter)
Philanthropy -- giving to develop institutions that serve human needs or enhance human development over the long run
Fund-raising, development, and institutional advancement
Fund-raising -- an event or activity undertaken with the goal of eliciting charitable or philanthropic giving
Development – encompasses fund-raising, but involves a more comprehensive approach to the long-term growth of an organization or institution
Institutional advancement -- encompasses fund-raising and development, along with the related activities
Why fund-raise? Program requirements, unallowable cost, and new business ventures
True Philanthropic has to Fundraise. Non-profit has to earn money to operate on your truly a philanthropic
Fund-raising is synonymous w/ nonprofit (development or advancement)
Importance of Gifts to Nonprofit Organizations:
Charitable or philanthropic giving is an important source of revenue for many nonprofits, though relative importance varies among subsectors
Health services organizations -- low reliance
Educational institutions and civic, social, and fraternal organizations -- medium reliance
Religious organizations and human services organizations -- high reliance
Private giving can often be used to address organizational priorities rather than support specific programs or services
Core operations or capacity building
Building new facilities
New initiatives that lack paying customers or grants
Civic, social, and fraternal, educational institutions- Medium reliance
Depends if you get grants
• Consistently looking for new initiative that lack paying
Source of Gifts/Donations:
Private Individuals 75%
Foundations 501 (3) 13%
Corporations 5%
Bequest 7%
Recipients of Gifts:
Religion receive largest donation 35%
Education 13%
Human Services 9%
Definitions and Distinctions:
Charity and philanthropy (know the difference)
Charity -- giving to meet immediate human needs (ex. Food, shelter)
Philanthropy -- giving to develop institutions that serve human needs or enhance human development over the long run
Fund-raising, development, and institutional advancement
Fund-raising -- an event or activity undertaken with the goal of eliciting charitable or philanthropic giving
Development – encompasses fund-raising, but involves a more comprehensive approach to the long-term growth of an organization or institution
Institutional advancement -- encompasses fund-raising and development, along with the related activities