Philanthropy Front and Center-Atlanta

7 Principles for Next Generation Nonprofit Leadership

America’s current economic climate has prompted a lot of soul-searching in the nonprofit sector in the past few years. In the same time span, we've also seen the emergence of social enterprise, greater emphasis on measuring success, and the rise of social media. Times of change call for new approaches: to our work, our interaction with our communities, and perhaps most importantly, to leadership.  

In The Nonprofit Leader of the New Decade, (now in our library collection!) author Jeffrey R. Wilcox addresses the importance of nonprofit leadership for the new decade, and explores the attributes that separate those who provide good community leadership and those who serve as great leaders for the entire sector. Here are the seven leadership principles that Wilcox says will shape the sector for the next generation will inherit:

1. Nonprofit leaders of the new decade must see themselves as leading causes, not organizations.
The main reason a nonprofit organization should exists is to advocate for the cause it was intended to address. When the executive director, development officer, staff, and even volunteers feel that they are a part of a cause then the nonprofit stabilizes. Mission drift is not an option, and collaboration with other organizations to fight your cause can become a reality.

2. Savvy nonprofit leaders must know the difference between values and virtues.
Mission statements have to stand on the foundation of values. What an organization believes in shapes its work, decisions, and overall drive. Virtues such as honesty, integrity, and communication are needed. However, an organization’s values support the discipline to maintain the virtues put in place.

3. Nonprofit leaders must take calculated risks to keep pace with society.
There has to be a point where every nonprofit asks, “Are we embracing innovation to the fullest extent that we can?” Nonprofits like Teach for America, Kiva, and Habitat for Humanity all took risks and did things differently than those who came before them. Well-researched and calculated risks can feed your community, raise money for the arts after-school program, or spread even more awareness about human trafficking. Don’t be afraid to take a chance for the good of your cause.

4. Sector leaders must demonstrate that human capital is a more significant contributor to a nonprofit’s equity than financial capital.
The sector that serves the people has to effectively model that people matter in supporting it. To receive the funding, leaders as well as the nonprofits that they serve have to put people first. Cultivating a donor is not just about receiving the check, but also about creating an experience where they learn the value of your cause. Their support comes in spreading the word, giving their time to volunteer, or serving as an effective board member. These bonds not only create a lifelong supporter, but can also open the gates to a lifelong donor.

5. Contemporary nonprofit leaders must view governance as a dynamic organization development process.
Boards and those in position of management have to be in the center of the nonprofit, and not on the top. Hierarchy and bureaucracy are concepts that take away the very essence of what a nonprofit is supposed to be: for the people. Those in positions of leadership and governance have to draw people, and what they have to offer to the center. The causes and issues that nonprofits are facing today have to be attacked as a group, not as a hierarchal corporation.

6. As financial managers, the pioneering leader must challenge old definitions and out-dated formulas in order to redefine what stewardship means in the new decade.
There has to be a new way to measure impact, define a nonprofit’s true ROI, and steward people’s resources so that they can receive solid returns on their investment in an organization. Nonprofits have to create an effective way to create sustainable and innovative financial opportunities for themselves, and those who support them. Nonprofits cannot use specific measurements that the for-profit world uses, but have to define unique inputs and outputs that involve the human element for themselves.

7. Revitalizing the practice of advocacy is a mandate that must capture and hold the leader’s enthusiastic attention if we are to capture and hold the attention of the next generation.
Since there has to be a switch from belief in an individual organization to a cause, advocating for that cause has to be the new way to tackle the issues faced. It is no longer enough to just educate people, and spread the word. Individuals have to be given practical and easy ways to engage, and become a part of the solution. Nonprofits and their leaders have to create platforms for people to actively learn as well as advocate on a part of the cause.

Chanell Turner, Special Initiatives Intern, Foundation Center-Atlanta

Why Your Nonprofit Needs a Business Plan

Running a nonprofit is far from easy. It requires balancing complex missions, fundraising efforts, programs, and stakeholder interests all at once. To successfully manage all these initiatives, nonprofits need a strategy. Strategies allow nonprofits to critically think about goals and how those goals can be reached.

According to LaPiana Consulting, a strategy is “a coordinated set of actions aimed at creating and sustaining a competitive advantage in carrying out the mission.” Nonprofits cannot just float in space with an idea of what they want to do with no clear direction and hope that their aspirations for good will actually come to life. In a world so with many problems and so many creative ways to solve these problems, nonprofits need well-defined targets and vehicles for creating social change.

LaPiana has a number of great resources on developing and refining strategies for creating maximum social impact. Their latest book, The Nonprofit Business Plan focuses on setting priorities, identifying options that are most beneficial and using business plans to help nonprofits excel. This thoughtful book allows nonprofits to critically think through how mission and strategy can be connected in a way that produces sustainable results.  

LaPiana argues that developing a strategy to fulfill a nonprofit’s mission requires more than a strategic plan, nonprofits also need a business plan to allow their efforts to reach full potential. Strategic plans focus on mission, vision and goals but business plans take it a step farther by addressing the economic logic of options. LaPiana defines a business plan as one that “tests the proposition that a particular undertaking – program, partnership, new venture, growth strategy, or the entity as a whole – is economically viable.” Business plans can be used to fix financial problems, identify trends, and prepare for change.

Many nonprofits may be skeptical of business planning, but LaPiana understands that business planning for nonprofits is far more complex than swapping the words nonprofit and business. Ultimately, business plans allow others on the outside of the organization to understand and feel more confident about a nonprofit’s work. Creating a stronger sense of confidence in stakeholders and funders can ultimately result in more funding and commitment to the organization.

The Nonprofit Business Plan supplies nonprofits with advice, worksheets and examples of successful business planning.  The book walks through how to access economic logic, evaluate organization capacity, conduct market research, utilize collaborative relationships, measure impact, manage risks, attract funders and execute plans. It is a wonderful resource for nonprofits of all sizes and ages, and it can be found in our library!

In addition to The Nonprofit Business Plan, we have a number of other business planning books available in our library. If you're not able to make it to our location, don't forget: additional resources on Nonprofit Business Planning can always be found in GrantSpace's Knowledge Base.

Lauren Kline, Special Initiatives Intern, Foundation Center-Atlanta

Local Update: Atlanta Happenings in August & September

It’s back to school for the kids, but they aren’t the only ones with great learning opportunities ahead. There are some phenomenal educational and networking events for nonprofit professionals too! Here are the upcoming opportunities we're excited about:

Georgia Grant Professionals Association Meeting
Stepping Toward Strong Collaborations
Tuesday, August 28, 10:00-11:30am

Via Kimberly Hays de Muga:

Attorney Carol Callaway, an educational law specialist with the firm Brock, Clay, Calhoun, & Rogers, will speak on best practices for developing sound collaborations through MOUs, MOAs, grant agreements and other key topics. As always, the meeting and parking are free — the networking — priceless! Register online via Evite.

Georgia Tech Research Institute Conference Center
250 14th Street, NW
Atlanta GA 30318

ATLANTA+acumen
Beyond the Pitch
August 28 at 6:00-8:00pm

Via ATLANTA+acumen’s website:

Join ATLANTA+acumen and Village Capital for an evening of local brews and great conversation with several of Village Capital Atlanta’s entrepreneurs! These social innovators will share with us the biggest challenges and opportunities they’re facing now as they work to build sustainable businesses that deliver added social benefit.

5 Seasons Brewing, Westside
1000 Marietta Street
Atlanta, GA 30318

RSVP on Eventbrite»

TechBridge
Manage Your Nonprofit Information Online with Salesforce.com Solutions
Wednesday, August 29, 8:30-11am

Via TechBridge's Newsletter:

It's time to consolidate all of that data you have today living in spreadsheets, documents, disparate systems and paper folders. It's time to share information and measure outcomes without a manipulation marathon. And it doesn't have to be difficult. Come and learn how nonprofits are using technology to take their operating effectiveness to the next level and increase their capacity to serve the community.

The Home Depot
2455 Paces Ferry Rd NW (NOT W. Paces Ferry!)
Atlanta, GA 30339

Get more information and register»

Young Nonprofit Professionals Network of Atlanta
Mentorship program Launching Soon!
Applications due September 14

Via YNPN Atlanta’s website:

YNPN Atlanta is now offering a Mentorship Program.  The number one thing that YNPN Atlanta members told us they want out of their membership is to find a mentor that can help them with career development, networking, and general advice about being a part of the Atlanta nonprofit industry.  YNPN Atlanta Mentorships are a great way to connect with someone with a bit more experience who can help guide you along your professional development path.

Learn more and download the application»

Georgia Tech’s Impact Series
Starting Wednesday, September 5

Georgia Tech’s Impact series will be launching up again and there are a number of great speakers lined up for the fall. This is a wonderful opportunity to learn and network with social innovators.

Click here for the full schedule of the Tech Impact series.

C4 Atlanta's Ignite Series
Wednesdays, September 5-October 24
10:30am-1:30pm OR 6:00pm-9:00pm

Via C4 Atlanta's website

Ignite is a eight-week seminar series for creative individuals aiming to design actionable and effective strategies for answering their creative calling. In response to this growing need for professional development in the arts, Kamal Sinclair, veteran artist and strategy consultant, developed effective content for the Ignite seminar series. This empowering and interactive experience provides each participant with a complete framework for planning, launching, managing, and sustaining their arts careers, projects or companies.

Who is this class for?
Individuals interested in pursuing a career in the arts: actors, dancers, visual artists, writers, and arts administrators.

Get more information and register»

InwardBound Center for Nonprofit Leadership
Leadership Workshop Series
Starts Friday, September 14

This fall, the InwardBound Center will be offering a workshop series called Coaching Skills for Nonprofit Leaders. This three part workshop series will cover how to manage and motivate others, how to engage others in the midst of conflict and change, and how to get your team to produce results. The series starts on September 14 and runs on the second Friday of September, October, and November. Check out the flyer for more information»

Georgia Center for Nonprofits
Member Day
Thursday, September 20, 2:00-4:00pm

Join GCN for an afternoon of networking and fun! Take advantage of mini-consulting booths and give your organization a little boost. Also learn how your nonprofit can enroll in Georgia Gives Day, a statewide initiative to raise funds and increase public awareness for nonprofit work. This is also a great opportunity to discover more about GCN’s Fall course and certificate offerings.

100 Peachtree Street NW, Suite 1500
Atlanta, GA 30303

Register for GCN’s Member Day»

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If you have any upcoming events that you would like us to include in our Local Update posts, please don't hesitate to email Elyse Klova at emk@foundationcenter.org. Enjoy your week!

Lauren Kline, Special Initiatives Intern, Foundation Center-Atlanta

Unreasonable Thinking for Nonprofit Success

Unreasonable seems like a word that would not be appropriate for any organization, for-profit, governmental, and much less for nonprofits. However, unreasonable thinking can change the path of an organization for the better.

Eli Broad is an entrepreneur, philanthropist, and founder of two Fortune 500 companies. Broad’s 2012 book The Art of Being Unreasonable: Lessons in Unconventional Thinking details his story of using unreasonable and nonconventional reasoning to capture success. A lot of these principles are applicable for nonprofits as well as individuals and for-profits. Here are some great tips from The Art of Being Unreasonable that could benefit you and your nonprofit:

Don’t be discouraged by humble beginnings: “People will flock to support you when you do well, but in the crucial early moments, and whenever you try to create something out of nothing, you will be on a solitary path blocked by obstacles and doubt.” It is no secret that nonprofits go through a lot of ups and downs, especially in the beginning of your journey. Know that everyone may not see or understand your vision, but if it is unique, has the right people on the bus, and is fulfilling a need in your community: feel confident about your organization!

Question conventional wisdom: “Why not? The powerful question!” You do not always have to do things the way you have always done them. Broad makes an important point: as children we always ask “Why Not?”, and that as we get older we replace that phrase with “Of course not!” Actually, we need to be asking “Why Not?” a lot more in our lives as we grow. Nonprofits can definitely utilize “Why Not?” thinking in their fundraising, programs, and even in evaluation. Especially in these times, it is essential to ask “Why Not?”

Embrace Innovation: “Innovation is a permanent resolution.”  It is important to always look for a new way to solve a problem. Never get comfortable in the way you do things, whether they are operations, running a program, or raising money. Innovation should not just be a once a year or once a decade talk for your organization. It should be something you are always trying to strive for.

Enjoy the success, but don’t stop there: “Success is a starting point, not a conclusion.” Going along with the previous tip about innovation, don’t relax after the successful fundraising drive, or the excellent program attendance. Continue to work as hard as you did before the success. Celebrate your victories, but always look to the next one.

Don’t just network with your usual circle: “Look outside your personal and professional comfort zone.”  You never know the opportunities, new board members, and donors you could get for your nonprofit by diversifying your network. Talk with your regular volunteers, attend professional events in your city, and always be on the look-out for opportunities to meet new people.

Do your homework!: “Do your homework, no matter how much time it takes.” Broad details the considerable research he had to do in order to develop his first homebuyer business. The countless hours of checking pricing strategies, developing marketing techniques, seeing how they could improve upon the building process, and seeing how they could beat the competition. His success would not have come if he did not put in hours of research. Whether it is spending a week researching a potential donor, evaluating a past program to see ways you could improve, or looking across your landscape for possible collaborators, the planning is just as important as the execution.

Set priorities, be disciplined but not rigid, and worry about only what really matters: Eli Broad talks about the importance of setting goals, but being flexible enough to change course if need be. Make things easy for yourself by delegating, but acquire employees and volunteers that share your goals and priorities. If their goals match yours, then delegation will be easier because they will understand the importance of the task given to them. Nonprofits are known for their fast-paced speeds. One day may be dedicated to preparing for that silent auction, while another day may be scheduled for preparing for that weekend program. However, worry about only what needs your immediate attention. If an intern can help in answer emails, or a volunteer can run a project allow them to make your life easier.

It’s okay to take risks: “Clinging to safety is more irrational than taking risk.” Broad’s businesses were the fruit of taking rational and well-researched risk. Be willing to take a move you wouldn’t normally take for the sake of the cause your nonprofit addresses. Take a chance on a young and bright employee, start a social enterprise to increase earned revenue, or engage in a collaboration. Do not stand for business as usual. Great social change never happens without a calculated risk.

For more advice on how to use out-of-the-box thinking for the betterment of your nonprofit, check out inventive ways of getting the attention of funders who do not accept applications by reading our live chat transcript: Applications Not Accepted: Get On Their Radar. Also, get creative in your fundraising by involving volunteers, with advice from Turning Your Volunteers Into Fundraisers.

Chanell Turner, Special Initiatives Intern, Foundation Center-Atlanta

Software to Make Nonprofit Life a Little Easier

Software is an essential part of day-to-day operation for a nonprofit organization. Nonprofits need to design websites that capture constituent information, provide analytics for their work, and evaluate the outcomes of a new project. Having the right technology is an important component of organization's success in fulfilling their missions, but it can often be challenging to determine what software will do the job for a reasonable price.

To help nonprofits navigate through seemingly endless software choices, we are highlighting helpful programs from Idealware's 2012 Field Guide to Software for Nonprofits. The book includes case studies on which technologies to use depending on the size of your nonprofit, and software information for over 75 nonprofit areas (ex. Firewalls, Page Layouts, and Donor Management). Here are a few recommendations for Executive Dashboards, Program Evaluation, Project Management, Multimedia Editing, and Friend-to-Friend Fundraising:

Executive Dashboards are essential if your nonprofit has a lot of information to share with your Executive Director, without a sufficient amount of time to do so. Dashboards can make financial, volunteer participation, and evaluation information relevant and easy to understand. JCA Answers is a nonprofit focused business intelligence solution that can compile date from Raisers Edge, Galaxy Ticketing Systems, Siriusware Ticketing, Tessitura Network, VISTA, and several others.

Program Evaluation is an important part of any nonprofit organization. The right software can make the process of analyzing your afterschool program or water treatment project much easier. If Microsoft Excel or Access are not sufficient then SPSS, IBM’s predictive analysis software can be a great option for quantitative data. However if you need to track qualitative data such as interviews or free text: Nvivo is definitely an option to take a look at. Nvivio lets you collect, organize, and analyze content from interviews, focus group discussions, surveys, audio, social media, and web pages. Nvivo has various pricing levels to fit smaller organizations, to larger ones that need the program on various technologies.  

Managing projects can become a hectic process for nonprofits with a lot of fundraisers and program events. Microsoft Project is always an option, however for those who would are looking for an easier interface and lower price tag (how about free?), Zoho is a great alternative to create projects and appointments.  Zoho Calendar has an Outlook sync and Group Calendar option, and the entire Zoho suite is a comprehensive program that offers business, productivity, and collaboration applications.

Friend-to-Friend Fundraising makes it easier for individuals to fundraise for their cause, or nonprofit they work for. It many times involves the element of social media, and getting people on board virtually. A great website that could help make this easier for your volunteers, supporters, staff, and even board members is CauseVox. They allow you to fundraise free of charge until you reach $3,000. From that you can transition to a $39 a month plan, which allows you to have unlimited fundraisers, supporters, and tech support. Pages can be customized with your logos, and can be associated with specific events.

If you are a nonprofit that bases a lot of your mission around pictures, videos, and telling a visual story then multimedia editing is a reality for you. Your options are to have a really capable volunteer handle it, get it professionally done, or do it yourself. There are programs that come already installed on computers: Windows Movie Maker for PCs and Final Cut Pro for Macs. However, if you would like a simpler way to edit video, add song, and produce a professional looking slideshow or video: Animoto is a great option! The website allows you to upload images or clips, select some music, and Animoto will put everything together into an inspirational montage. It has a free 30 second video option, is easy to work with, and produces a decent quality of media.

For more information about software options for nonprofits, be sure to check out the 2012 Field Guide to Software for Nonprofits in our library and visit Idealware.org. Techsoup is another great site for nonprofits to receive discounted prices on many popular software programs, so if you find that perfect software but its out of your organization's price range, check TechSoup to see if a discounted version is available. 

Chanell Turner, Special Initiatives Intern, Foundation Center-Atlanta

Why Does Your Nonprofit Matter?

Editor's note: this post comes to you from Ellen McCarty, Certified Grants Specialist and guest presenter at the Foundation Center-Atlanta. Ellen provides services to nonprofits that will help them achieve their mission and vision, make a meaningful contribution to their communities, and achieve long-term sustainability and personal fulfillment. If you like what you're reading, join Ellen on July 18 for ABCs of Government Funding!

I recently had the pleasure of reading a book that inspired me – I Can Fix America – written by a successful entrepreneur that I worked with on the Jerusalem House board of directors. As I read David’s Foreword I was immediately struck by his passion for America and its ideals. David’s message was profound in its simplicity yet compelling and inspiring. His “call to action” resonated with me on many levels.  Most importantly, David reminded me that all actions, large and small, make a difference. Indeed, it is because our forefathers took action that we even exist as a nation.

A common thread weaves between the pages of a motivational book and a nonprofit proposal. A strong case for support has many essential ingredients. However, the key ingredients connects the reader to the problems (compelling need); connects the need to the solutions (realistic and impactful); and invites action (inspires hope and motivation to act).

A few tips to consider when writing your organization’s case for support include:

1. Appearance matters. This may be your only chance if approaching a new funder so make sure you are leaving the right image. Your presentation should be succinct, factual and professional.

2. Toot your horn. If your organization has received accolades or recognition for its work, shout it from the mountain tops. The greater your credibility, the greater your funding potential. I always referred to the statement of need section as the “ain’t it awful” section. Demonstrating how your nonprofit is helping to turn awful into success can open doors and build lasting support which you will need for long-term sustainability.

3. Community Impact is KEY. I recently coached a nonprofit executive director and board president who were preparing for a foundation visit.  The very first question they were asked was “Why does your organization matter?” Fortunately, they were prepared to answer the question but it clearly
made an impression. As the saying goes “never leave home without it.“ In this case, it is the answer to why your organization is relevant.

Just as David inspired me to take action to help fix our country, so must you inspire your community to rally around your mission and make a difference. A strong case for support will make me believe that my difference matters.

“Things do not happen; things are made to happen.” - John F. Kennedy

Ellen McCarty, McCarty and Co.

Is Your Nonprofit 3 Months from Disaster? Join Our June 25 Live Chat

An operating reserve is your nonprofit's "rainy day fund" for when its cash flow unexpectedly drops. Conventional wisdom says that three to six months' worth of operating expenses should be in your reserve. Yet survey after survey continues to show that as many as 50 percent of nonprofits don't even have reserves in place — a highly risky financial position to have when the economy is still volatile and foundation giving is predicted to grow slowly for the near future.

So how much should your nonprofit have in reserves? How do you build them up? Get answers on Monday, June 25, 1:00-2:00pm ET, when we will have a live chat on this topic with our expert panelists, Jennifer Alexander, Professor at the University of Texas at San Antonio, and Alice Richardson Antonelli, Senior Finance Advisor, Nonprofit Finance Fund. We will devote most of the hour to your questions! Sign up now»

Meanwhile, brush up on your knowledge about operating reserves with our Knowledge Base Article, or check out our blog post from last year, Do You Have a Rainy Day Fund?

What to Do When Boards Stop Contributing

Editor's note: this post comes to you from Ellen McCarty, Certified Grants Specialist and guest presenter at the Foundation Center-Atlanta. Ellen provides services to nonprofits that will help them achieve their mission and vision, make a meaningful contribution to their communities, and achieve long-term sustainability and personal fulfillment.

I’m often asked "how can I get my board to do more?" This is indeed the million dollar question. Many executive directors see the board’s potential but for whatever reason, can’t get them to proactively engage to further the organization’s mission.

There are many possible reasons for a board’s lack of engagement. Before you begin trying to solve the problem it’s important to thoughtfully consider what dynamics might be at play in your organization. Consider these possibilities:

1. Has there been a shift in the way your board contributes?
Has the board recently been through a special fundraising campaign? Are they tired from trying to figure out how to keep the organization afloat during the down economy?

Solution: In cases where board directors have been actively engaged in a fundraising campaign or have been working on critical organizational issues it is possible that they are simply tired.  Acknowledging their contribution and understanding their weariness can go a long way to demonstrate your gratitude and your support and bring them back around.

One of the best pieces of advice I ever received as an executive director was from a well-respected foundation executive who counseled me to always take the time to celebrate the small victories, to acknowledge the contributions of the board (even more important during challenging times) and to create opportunities to have fun as a group.

If you hold monthly board meetings, consider taking a month off during the summer or hold a social instead and focus on recent accomplishments. Inviting a client or a stakeholder to attend a board meeting and share how their lives or communities have been enriched as a result of the organization’s work can also be a powerful way to re-engage directors. Most important, ALWAYS share something positive at board meetings so directors will leave believing that their time and energy is making a difference.

2 The board is in a rut and meetings are dull and rote.
Directors are volunteers with their own personal and professional concerns. Volunteering on a board can be time consuming and a lot of hard work.  When board meetings become so routine and dull that directors dread attending they will often look for reasons not to attend and find them. 

Solution: Have a conversation with the board president, executive committee or the full board depending on your relationship, and ask them to brainstorm ideas on how to make board meetings more interesting.  You might also consider forming an ad hoc committee to study the issue and to make recommendations to the executive director and full board. It is strongly advised that the full board have an opportunity to weigh in and to provide feedback so they will feel included in the process and therefore more likely to respond positively. Most importantly, be open to their feedback and be prepared to make changes.

3. Board directors don’t know each other.
Often boards are so busy trying to use their time wisely and to take care of business that they skip simple steps like building trust and goodwill among members. It is wise to want to use board directors’ time efficiently. However, it is not wise to skip opportunities to build relationships. Successful boards often speak of a culture of camaraderie in which individual board directors are aware of each other’s strengths and leverage them to achieve their goals and to enjoy their time together in support of the mission.

Solution: Be intentional about creating an environment where directors can not only use their talents and make a contribution but they can also get to know their peers, form new relationships (and often new business) and enjoy their board service.

Consider a board retreat and include activities where the board can share information about themselves that will allow others to know them better while also identifying their unique gifts and talents. If a board retreat isn’t possible do this at the beginning of a board meeting. Capture the information in writing and share it at the next board meeting. On many occasions I witnessed a new energy and enthusiasm among board directors as bonds were built and friendships formed.

If your board has a long history of non-engagement, then this could be a sign of deeper problems. Understanding the real issues can be painful and messy but worth it in the long run as sustainable organizations count on their boards to help them advance their mission, provide leadership and vision. Utilizing the expertise of an outside consultant or a neutral third party is often the best way to proceed in these cases.

Ellen McCarty, McCarty and Co.

The Importance of Team-Building

Earlier this May, the Inward Bound Center for Nonprofit Leadership held a great workshop called Building Teams: How to Change your Group into a Team, as part of their Coaching Skills For Leaders series. The session provided knowledge on how teams behave to produce results, the duty of leaders to assess the system that encompasses their teams, and how to put your team on track to high productivity and high positivity. Here are four takeaways from the session to help you build stronger teams at your organization:

Team Identification
What does it take to create or rebuild teams so that they are effective and enjoyable to serve on? The first step in this process is assessing where the team is at. Are they highly enthusiastic or feeling down? Is there an atmosphere of general respect or is there hostility and/or a lack of diversity? How productive is your team? Are there goals in place and is accountability present? Does everyone have a clear sense of who can be depended on for each task?

Understanding the productivity and positivity of team is critical to making progress. This will allow you to obtain a quick understanding of the current dynamics of the team and how to move forward. Ideally, teams would be highly productive and highly positive but this is often not the case and teams can quickly shift in their productivity and positivity as small changes are implemented.

Your Role as a Teammate
Recognizing the type of team you're on helps you recognize where you are personally as a team member. Cathy Perry stated at the beginning of the session that "leaders create a 'state of pause' in an organization" - a time to think, reflect, and build greater understanding. Realizing your role as a team member creates a state of pause not only for yourself, but also for your team. This can be used as an opportunity to reflect on everyone’s individual role and contributions. You might be a highly interactive person on a low-communication team, or a methodical worker on a fast productivity team. It helps to know where you stand so that the team can utilize your strengths to create quality productivity, and a positive experience for all who are involved.

The Make-up of Nonprofit Teams  
Unfortunately, much of the nonprofit sector consists of teams that are very positive but demonstrate low productivity. This type of group is extremely optimistic, communicates well and possesses camaraderie, but often lacks focus, resists change, denies urgency and is not results-oriented. To combat low productivity, nonprofits need to be honest about the effectiveness of their organizations and have open conversations about their teams, seeking assistance when necessary. It is important to remember that anyone on a nonprofit team can initiate positive change. Don’t be afraid to create an open conversation with your team about the team’s effectiveness, regardless of the role you play on the team.

The Importance of Accountability
For a team to have high productivity and positivity, everyone has to adhere to the principle of accountability. Every team member needs to be clear on their roles and responsibilities in the team. There have to be agreed upon rules and behaviors that team members follow to maintain balance, positivity for themselves, and their teams. This can only be effective if team members routinely hold each other accountable for what they have agreed to. This creates an atmosphere of trust, keeps negative emotions at bay, and provides a stable foundation to tackle obstacles the team may face.

For more information about the work and upcoming programs of The Inward Bound Nonprofit Leadership Center, be sure to check out their website. You can also connect with them on LinkedIn.

Lauren Kline and Chanell Turner, Social Media and Program Interns, Foundation Center-Atlanta

The Inward Bound Nonprofit Leadership Center is a nonprofit organization founded in 2010 by Cathy Perry, PCC. The purpose of The Center is to bring leadership coaching to organizations who serve the poor and marginalized, and to invest in nonprofit leaders. They accomplish this mission by offering leadership development programs and training, publicizing case studies, encouraging the spread of Coaching worldwide, and acquiring outstanding Coaches to conduct coaching and training.

3 Ways to Protect Your Tax-Exempt Status

Editor's note: this guest post is brought to you by Kelly Hill, the founder and principal of Nexus Research Group, a full-service consulting firm specializing in community-based research.

Often times, non-profit professionals place a tremendous amount of energy and resource into obtaining tax-exempt designation from the IRS, without considering what needs to be done in order to keep the status. It’s a matter of fact that non-profit status can be revoked. Just last year, the IRS announced that 275,000 non-profits had lost their tax-exempt status. With new, more stringent rules coming online, non-profit organizations will need to be even more vigilant in the protection and maintenance of their tax designation. Below are a few basic rules for keeping your organization off the IRS non-profit “chopping block”.

File your 990 form timely and accurately
Failing to file with the IRS is easily the most common way non-profits lose their tax-exempt designation. For this reason it is critical that 501(c)(3)s in particular submit a version of the 990 form, an annual reporting return which provides information on the filing organization's mission, programs, and finances. The filing is due the 15th day of the 12th month of the organization’s calendar year.

For more information on how to effectively file your organization’s annual 990 Form, visit GuideStar's filing FAQs»

Conduct regular external audits
Maintaining clear and precise financial records is key to avoiding potential financial pitfalls. One way to ensure your financial "house" remains in order is to conduct regular external audits. The purpose of an external audit is to provide an objective view of an organization’s overall financial position. To be clear, external audits are not required to maintain tax-exempt status, but rather encouraged for organizations who receive over a certain amount in contributions per year (e.g. $250,000). Regardless the size of your organization, regular external audits are a good way to stay on top of your organization’s financial situation and project a commitment to fiscal transparency.

To learn more about external audits for non-profits, check out this toolkit from the Center for Nonprofit Excellence»

Avoid partisan activities
While 501(c)(3) non-profits are well within their rights to advocate and even lobby on behalf of issues they believe in, IRS rules can get a bit tricky when it comes to supporting specific types of policy or legislation. The general rule of thumb is that non-profits ought to avoid partisan politics and resist candidate endorsements. With that said, there are other tax-exempt designations aside from 501(c)(3)s that provide greater latitude when it comes to political activities.

Get more information on non-profit advocacy rules from Independent Sector»

Kelly Hill, Founder and Principal, Nexus Research Group