2009 Financial Outlook for Faith-based NonProfits

How has the Great Recession affected the financial stability of faith-based nonprofits? In 2009 faith-based nonprofits are 2.5 times more likely to be facing declines in cash contributions than in 2007. In fact, only 28% of faith-based nonprofits are expected to avoid a decrease in cash contributions during the span of 2008-2009. These statistics have been pulled from a recent survey and analysis that I completed as the Senior Research Analyst at Excellence in Giving.

So what is the financial landscape for faith-based nonprofits and how are organizations adjusting their budget? In sum, organizations facing financial shortfalls are cutting back program services significantly (74% surveyed). The organizations finding a way to increase cash contributions in 2009 are streamlining operations through reduction in administrative costs (38%). The decrease in administrative costs is being matched 2:1 by the increases to fundraising expenses (80% increasing fundraising budgets).

If an organization has maintained increasing cash contributions in FY07 and FY08, the statistics show that they still only have a 53% chance of continued growth. This financial crunch is forcing many organizations to place strategic plans on hold. Hopefully, the financial restrictions will force faith-based nonprofits to identify their most important programs while cutting ineffective ones.

To read the full report, click on the following link: EIG 2009 Financial Outlook for Faith-based Nonprofits. Read more!

10 Simple Giving Ideas

Do you feel the pain of those less fortunate and wonder what you have to give? Often the average person who wants to help has trouble figuring out a feasible action plan. The following 10 ideas should provide anyone with plenty of simple paths towards giving within your means.

1. Give a goat to African poor.

For $20 you can provide a goat that will produce about three-quarts of milk each day for purposes of drinking or making cheese. Go to www.ihfonline.org to pay the actual cost of a goat for a Kenyan family in need.

2. Buy a GOOD gift card for a friend.

Purchase this tax-deductible gift card and empower one of your friends to support one of the 1.5 million participating public charities. To purchase the card, go to www1.networkforgood.org/good-card.

3. Surf the internet to benefit the world.

GoodSearch allows you to designate a charity that will receive proceeds from the money made by each one of your searches. Go to www.goodsearch.com to begin creating revenue for your preferred organization with each one of your clicks.

4. Be a low-cost monthly donor.

For $38/month you can provide education, food, and a loving context for a child through Compassion International (www.compassion.com/sponsor_a_child). For $40/month you can fund a loan to a poor South African entrepeneur who will use it and the required business training to start and/or grow their business to sustain their families (www.your40story.com).

5. Blog for orphans.

You can provide the personal connection between orphans around the world and their sponsors in the U.S. as a blogging advocate or a leader of a group of Facebook friends. Go to http://fiftyfriendsforswaziland.blogspot.com to see how one blogger enables 50 orphans in Swaziland to receive care.

6. Give your time locally.

Find an opportunity to volunteer at a local organization you respect. Go to www.christianvolunteering.org or www.volunteermatch.org.

7. Take advantage of a corporate gift matching plan.

If you own or operate a business, start a corporate gift matching plan for your employees to encourage giving. If you work for a corporation, use your company’s gift matching plan to increase the amount you give for free. Check company gift matching plan availability online at www.matchinggifts.com/coloradocollege.

8. Create a charity badge to raise money for your favorite cause.

Customize a banner that promotes your favorite charity and allows visitors to your personal webpages to learn about and donate to the cause. Go to www.sixdegrees.org to get started.

9. Purchase products that benefit the world.

Shop at www.worldofgood.com or buy RED products at www.joinred.com to economically empower small businesses around the world, support charitable causes, and promote eco-friendly consumerism.

10. Recycle cell phones, ipods, and cameras for charity.

Recycling for Charities is a nonprofit recycling company committed to protecting the earth and supporting causes that benefit humanity. Collect your old electronics or have a recycling drive to benefit your charity of choice. Go to www.recyclingforcharities.com. Read more!