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Critical Issues: Written Assignment 10 - Coursework Example

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For development and prosperity, nonprofit organizations require fundraising, which should be gained with the help of innovative ways due to the restructure of government allocations. Earned income is imperative not only for achieving the main social goal but also to be more…
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Critical Issues: Written Assignment 10
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Critical Issues Assignment 10 For development and prosperity, nonprofit organizations require fundraising, which should be gained with the help of innovative ways due to the restructure of government allocations. Earned income is imperative not only for achieving the main social goal but also to be more disciplined to organization’s stakeholders (Foster and Bradach, 2005). The financial plan should be elaborated right after setting strategic incentives (Pakroo, 2011, p. 100).
Funds are aimed at implementation of nonprofit mission. Hence, in case the organization receives charity for HIV-positive children, this money should be spent on medical treatment so that social function is fulfilled. The same situation happens when government allocates financial resources for scholarship programs. The revenue streams go to the nonprofit organization, which later on distributes money for student welfare.
To develop revenue streams, there are several opportunities. First of all, nonprofit organization may search for private investments, because according to Pettey (2008), “donors are the best friends any nonprofit organization can hope to have” (p. 34). In addition, organization may occupy new market niches to reach other layers of society. Also, reorientation of commercial campaign can be very helpful. Different partnerships, mergers and licensing agreements may create impressive revenue streams. If a nonprofit organization possesses real estate, there is opportunity to get profits out of its rent, leasing or sell. Finally, nonprofit organization should consider venture capitalists and private investors more seriously (Worth, 2012). It is important to do everything possible for causing public interest and concern to social problems and their effective solutions.
References
Foster, W., & Bradach, J. (2005). Should nonprofits seek for profits? Harvard Business Review, 83(2), 92-100.
Pakroo, P. H. (2011). Starting & build a nonprofit: A practical guide (4th ed.). California: NOLO.
Pettey, J. G. (2008). Ethical fundraising: A guide for nonprofit boards and fundraisers. New Jersey: John Wiley & Sons.
Worth, M. J. (2012). Nonprofit management: Principles and practice (2nd ed.). California: SAGE Publications. Read More
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