Implicit in capacity building is the value of investing in an organization so as to strengthen its ability to sustain itself in the years to come.
With low barriers to entry, new nonprofits enter the market everyday with the vision of meeting a need or addressing a perceived gap in area services. But with an increased number of service providers on the scene, comes an increase in the competition for funding. The result is that many nonprofits are left scrambling to identify and secure enough dollars to keep their programs and services adequately funded.
For many the “obvious” choice is to seek a grant. But grantsmanship is not enough. Given today’s economy, every organization needs to be focusing its efforts on diversifying its income. Available grant dollars are decreasing drastically. A healthy revenue stream includes a great deal more than just grants. In addition to seeking institutional and government funding, nonprofits should be working to add individual donor gifts, earned income, planned giving campaigns and endowments to their repertoire.
And remember, fund development is not the job of the staff! A fund development officer can help coordinate and facilitate fund raising activities, but it is the responsibility of the nonprofit’s board of directors to make the “asks”.
For more information about fund development, visit our Resources page.