Congrats on your 501c-3! Now What?

M. Night Shyamalan's new movie “Glass” had me re-watching and re-discovering the depth of it’s prequel “Unbreakable”.  One of the prevailing themes I find compelling is that of finding our place in the world. Since this isn’t a movie review and I don’t want to be a spoiler,  I’ll simply share that one of the most poignant lines in the movie from one of the main characters is as follows:

“Now I know my place in the world - I’m not a mistake.”  

Wouldn’t it be amazing if we all could say that for about our work?  I feel incredibly grateful that these days I feel very much that way.  I note this as I seem to find myself in similar conversations with nonprofit leaders around essential “out of the gate actions.” My gratitude comes from working with several of these leaders and seeing the positive impact of implementing these steps.  Interestingly, these conversations often have different start points - maybe you’ve said or at least felt this way:

• We need to get a better handle on our budget;
• We have to recruit a more engaged board; and/or
• We need to hire a superstar fundraiser (or else!)

Any of them sound familiar?  From my perspective - and having the privilege of working with newer nonprofits - these challenges reflect the growing pains that come from moving from infancy to the growth stage of a nonprofit.  When I hear some or all of the above, I recommend the following:

• Create a true working budget:  A true working budget is one that includes  your programs and the infrastructure you’ll need to support them as an ongoing concern.  That means for example if you, as the founder are acting as Executive Director, what would it cost to replace you?  If you’re the beneficiary of donated space, what would it cost for the same space if it was no longer donated? And if you receive the in-kind services of an accountant, lawyer or any other professional, what market rate would you need to pay for similar services?  These are all components of what keeps your organization going (and hopefully growing).
• Start prospecting for great board members (and never stop):  Now that you’ve got your nonprofit registration, there’s always a need to find the best board members.  It’s one of those places (in my humble opinion) where you can never stop improving. If you’re like many of the newer charities I talk to, you started with a board made up of friends, family and others close to you.  This works for a very short time! Now that you’re operating, you need a board with Capacity, Commitment and Connections. In other words, folks that understand that they’re being invited in to guide, connect and financially support your charity.   
• Develop a diversified fundraising plan:  Maybe it’s the weather.  Or the positioning of the moon.  For some reason nearly every newer nonprofit believes they need a grant writer NOW.  I have nothing against grants or grant writers (I write them and have friends that do too).  But what I find myself explaining is that grants are simply one part of a diversified fundraising program that should have multiple sources with a range of start-up timing expectations i.e. peer-to-peer, membership, annual giving, and major gifts.  Most of the time this is what I offer before venturing onto crafting proposals. 

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I hope the above is helpful.  At minimum, you might be enticed to watch “Glass” now that it’s on video.  If I can help you and your nonprofit, please reach out at [email protected]