The common refrain in Game of Thrones is “Winter is coming.” It is meant to portend a prolonged season of hardship with an unknown end-time. “Winter” began yesterday, January 20th, at noon and portends to be a disruptive and uncertain time.
Any nonprofit organization that relies on funds from government sources – contracts or grants – needs a plan to offset likely reductions with other revenue.
Revenue Diversification Planning
Each organization has its area of expertise that may be convertible into a consulting enterprise or training program as an additional “earned” revenue source.
Constructing a new enterprise, ensuring a market for it, and marketing and selling it all take time and money. And profit may be elusive for the first couple of years.
Many organizations with substantial revenues from government sources often have a nascent or modest development program. Even though a culture of philanthropy may not exist, at least you have a program with donors, donor candidates, and volunteers who help to raise funds. That is a leg up from starting a business enterprise from scratch and supports investing in your development operation to ramp it up quickly.
Philanthropy
It takes only a few substantial gifts to reap the rewards of investing in fundraising. Even if you have a minimal fundraising footprint, investments in its growth will be more rewarding in less time than investing in a new business venture.
