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Non Profit Starvation Cycle

October 17th, 2009

starvation-cycle

“A vicious cycle is leaving nonprofits so hungry for decent infrastructure that they can barely function as organizations—let alone serve their beneficiaries. The cycle starts with funders’ unrealistic expectations about how much running a nonprofit costs, and results in nonprofits’ misrepresenting their costs while skimping on vital systems—acts that feed funders’ skewed beliefs”.

I found this article, titled “The Non Profit Starvation Cycle” – Sanford Social Innovation Review on the Ontario Non Profit Network Site.

What an eye opening and revealing paper. The research report is called, Nonprofit Overhead Cost Study, a five year research project conducted by the Urban Institute’s National Center for Charitable Statistics and the Center on Philanthropy at Indiana University.

The article provoked quite a reaction in me. I’ve worked as a senior manager in the non profit sector for quite a few years and felt those starvation pangs on a regular basis.

Read more…

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