5 Winning Strategies to Survive the Financial Crisis Profit from our experience. Updated Summer/Fall 2010

5 Winning Strategies 5 Winning Strategies to Survive the Financial Crisisto Survive the Financial Crisis

Profit from our experience. www.nesc.org

Updated Summer/Fall 2010


Impact of Recession• Nonprofits under severe economic stress• Reduced individual, corporate, foundation

and government support• Increased cost pressure, particularly health

care • More stress on cash management• Mid-size nonprofits ($500M-$3.0MM)

under most pressure


Nonprofit Coping Strategies

• Belt tightening

• Increased focus on fundraising

• Greater reliance on volunteers

• Increased marketing and advocacy

• New revenue streams

• Establishment of collaborative relationships


Successful Traits

• Conservative financial approach• Good management and learning cultures--

positive tone, be calm, communicate clearly about decisions, priorities and goals

• Effective fundraising and engaged board members

• Greater visibility• Entrepreneurial spirit


The Keys to Survival

• Reduce costs

• Grow the top line

• Consistent cash flow

• Be nimble and quick


Five Winning Strategies

1. Board Development

2. Fiscal Fitness

3. Social Enterprise

4. Branding

5. Shared Services


Board Development

• Analyze existing talents and industries

• Recommend additional talents and members

• Increase board engagement

• Help board become more strategic

• Conduct board retreats


Fiscal Fitness

• Organization assessment• Productivity analysis• Financial policies and procedures• Set up and refine financial statements and reports• Review policies and procedures• Financial training and mentoring• Manage accounting function


Social Enterprise

• Identify existing assets (human capital, physical assets, technology, alliances, reputation)

• Determine market feasibility, legal issues and resource requirements

• Develop business plan• Expand mission and enhance image• Consistent cash flow


Branding

• Position the organization to build a consistent, positive image

• Identify target audience

• Develop visual identity

• Media opportunities

• Enhance visibility and impact with clients, donors and volunteers


Shared Services

• Redesign processes around best practices

• Determine core competencies

• Streamline workflows

• Cost analysis

• Develop measurable goals

• Develop critical timeline

• Assist in achieving buy-in


Why Choose the NESC

• Only senior level consultants

• Speed to market

• Excellent value proposition

• Unique combination of business expertise with knowledge and sensitivity of the nonprofit sector

• Three decades of helping nonprofits survive


Next Steps

• Needs Assessment Work-Up

- interview key management

- identify key areas of opportunity - report of findings

Documents

5 Winning Strategies to Survive the Financial Crisis Profit from our experience. Updated Summer/Fall 2010