The biggest challenge I’m facing in my chapter right now is finding a good and available finance director. The one I have is great, but has a lot of other activities in the community. I’ve had another express interest, but once again, he’s also very busy in the community.
In theory I could get along without having a finance director. Most of our events are at places where we reserve the space for free and people willingly buy their own food and drinks. However, for couple of our events, we did a 50-50 split where we put some money to our catering and other money to our organization.
As a result, I began the process of incorporation in the state of North Carolina. Incorporation was necessary so we could cash all the checks that we have and also start raising some money through PayPal. Also, our city requires all organizations, including nonprofits to have a business license and our foundations require 501c3 status or affiliation with one to grant money.
Another reason I’m working hard to get our finances together is that it’s imperative that we are able to continue to fund our sector. We may be non-profit driven, but official currency is the most popular means of exchanging goods and services. Our missions require us to make sacrifices to raise, spend and sometimes cut money.
We have organizations that compensate leaders at high levels, yet do hardly anything for their constituencies. Nick DiColandrea recently took a look at some of the sports related nonprofits in this vein. Other organizations do too much too soon and have to disband for lack of funds and support. Some go for years doing well, but due to dependence on one source of income, say a government grant or major benefactor, the loss of this source leads to their demise.
My next steps will be plotting an operations budget that’s sensible and in-line with what we can spend at this point. I also have a full board now and they will be getting out into the community and tapping into the grants and donors that exist to help fund our cause. I say grants and donors with an s because it takes more than one source of income to ensure long term financial stability. Along the way I’ll be upfront about who we are, why we’re here, what we do and why we need what we need.
So, YNPN family, how are you keeping your money right?