Saturday, November 21, Explain the concept of intervention.
I am made increasingly aware of the conflict non-profit organizations experience when faced with choosing between: Raising the money they need using a traditional philanthropic process. Making a profit from selling and endorsing commercial products and services.
The number and variety of selling opportunities presented to non-profit organizations, especially through the Internet, is growing rapidly.
All too often, the advertisements for those products and services make outrageous and misleading promises of big and easy money to needy and vulnerable non-profits. There is nothing wrong with selling a commercial product or service to help support a non-profit organization if: The time expended can be justified by the profit gained.
It neither restricts nor replaces the far more effective and time-proven philanthropic process—a process that has seen billions of dollars raised over decades of time. An organization institutes a product or sales program as additional and complimentary to their regular fund-raising, not as a replacement or alternative to it.
Such programs have their place, but most organizations simply cannot generate enough income from them to meet all their needs. Selling products and services to generate income seems an easy way to make money.
It seems easier and less painful to sell products and services to their constituents and to the general public. While there are many reputable vendors of products and services now in the marketplace who seek to help non-profits develop new sources of income, they do not always apply a customer-first attitude to their non-profit customers and clients: They are not assessing the real needs of the non-profits to see if the proposed product or service-related program has a place in the organization at that time.
If it does have a place, how it can be a good fit. Well meaning vendors of merchandise and services often fail to realize that many charitable organizations are likely to embrace a sales program because they perceive it as a way to provide quick and promising rewards while being less stressful and labor-intensive than fund-raising campaigns.
A non-profit organization must always prioritize and put into meaningful perspective opportunities to generate contributed income. In the main, they must always strive to raise the greatest amount of money from the fewest funding sources in the shortest period of time. This simple premise is absolutely critical to most non-profits to employ because of their constantly imminent needs and limited resources.
All fund-raising efforts should be measured in those ways.
When considering selling a product or service, officials of a non-profit organization should ask themselves: If we sell a product or service to help support our organization, will the effort be justified with the time expended relative to the profit gained?
Will we assure that the selling program neither restricts nor replaces the far more effective and proven philanthropic process we should be employing? What marketing plans can we develop which will maximize our chances for real profit?
Will we attempt to sell to the general public which does not know our organization? If so, do we really believe we will make money by selling a commercial product available elsewhere?
In short, what compelling reason do these persons having no relationship whatsoever with our organization have to buy from us? If we sell to our regular donors, will we run the risk of annoying them and perhaps losing their charitable support because of what they may see as yet another solicitation?
Contrary to what the vendors say, our regular donors will see their purchases from us primarily as charitable support of our organization.
When we promote the products and services of one company, will we risk the loss of traditional philanthropic support from other competing companies? Is the product or service of a type and quality we would want to associate with our organization?
If the product or service is to be purchased via the Internet access, what do we know about how Internet-capable our constituents are and how receptive they may be to buying online?
Are we willing to take the chance that the product or service we are selling can be withdrawn by the provider at any time leaving us high and dry?
These are questions the leaders of non-profit organizations should be able to answer, but many times do not have the experience to do so or choose not to address.
At times, that counsel could be that their programs are not right for some non-profits. A good reputation and good living is made in any business when a vendor puts the needs of clients and customers first.Charities Profiting Via Online Retail Sites What if a percentage of the $ billion spent annually in online shopping could be donated to nonprofits working to make the world a better place?
and they’ll send a percentage to the organization of your choice. Neither users nor their designated charities pay anything. James Poterba, president James Poterba is President of the National Bureau of Economic Research.
He is also the Mitsui Professor of Economics at M.I.T. Biosafety classification is based on U.S. Public Health Service Guidelines, it is the responsibility of the customer to ensure that their facilities comply with biosafety regulations for their own country. If an organization wishes to raise a significant portion of its funding through business activities that are unrelated to its exempt purpose, it may consider a hybrid relationship with a for-profit entity.
Set up an online store for your Nonprofit or Charitable Organization using Shopify. Start with a day free trial. Email address.
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The University of Michigan will be used because it is a prime example of a non-profit organization and its services and the center for spinal surgery hospital will be discussed as a for-profit hospital.