Are you a business or a nonprofit organization? (Hint: both...)

Let's compare some of the things that businesses and nonprofits need (or want) to accomplish their work:

• Brand Awareness
• E-mail Contacts
• Snail Mail Contacts
• Facebook Fans
• Relevant Facebook Posts
• Consistent Facebook Posts
• Twitter Followers
• Relevant Tweets
• Consistent Tweets
• Decent Web Site
• Current Web Site
• Press Coverage
• Marketing/Campaign Messaging
• Foot Traffic
• Web Traffic
• Lead Generation
• Revenue (aka Donations)
• Realistic Operating Budget
• Realistic Marketing Budget
• Inventory Control
• Cost Controls
• Long Term (Strategic) Plan
• Volunteers/Interns

Hmm...

So if they're so similar, why do they seem to see themselves as so different? There are many answers to this question (smaller budgets, smaller infrastructures, small staff, etc.), but one reason that may be common across many nonprofit organizations is the volunteers' and staffs' emotional attachment to the "cause" or mission.

This is understandable and even helpful, as (com)passion can ignite and fuel action needed to advance the mission and accomplish great things. Further, many of the duties and tasks required to "operate" nonprofits are supported by or even overseen by volunteers. They graciously offer up their time and skills not for money, but out of support and (com)passion for the cause.

This is a blessing, but potentially a obstacle of sorts, as some volunteers are susceptible to correlating their commitment with contribution--not just a financial contribution, but a contribution of activity that is legitimately and professionally relevant to the actual needs of the organization. Sometimes their efforts are spot-on. Other times, and with all due respect to volunteer service, their efforts are not as impactful as they perceive, and sometimes their efforts may inadvertently put the organization at risk.

Sound business decisions are not based in emotion, affinity or personal relationships. Donors (reasonably) expect that the staff, volunteers and Board members of nonprofit organizations will do everything possible to make the best decisions possible to ensure the long-term sustainability of the organization--and not merely for a momentary, circumstantial fulfillment of the cause and/or their own emotional needs. There is no cause, no mission, no place to work or volunteer if the business closes.


Food for thought for 2012.

Marc Portugal

marcjport@gmail.com.

Welcome to Practical Charity

So...Charities are hurting.

Not a news flash or a new phenomenon, but certainly exacerbated by the economic climate. Most charities do amazing work that others would never commit to doing full time; if for no other reason than the pay isn't very good. At the same time, most charities share a common shortcoming: they don't act like a business.

The path to basic success for small to mid-size nonprofits will cross through the "forests" of e-mail marketing, social media, special events, press releases, local business partnerships, and more. The key is being able to see the forest through the "trees" of passion, emotion and bias internally and externally) that can hinder as much as they can help.

Hey local businesses: pay attention (please...) Area nonprofits can be amazing partners. They have lots of contacts who could be current and/or future customers of yours, and they represent causes on which many of the aforementioned customers place a significant value. Look good. Do good. Make money. Rinse and repeat. Don’t “over ask”—that goes for both parties

The key is to work in a facultative manner. Work toward mutually beneficial outcomes without completely over-extending your resources and (in doing so) de-valuing either brand. Yes, nonprofits are brands too. The more charities act like businesses--the more likely the outcome of their business partnerships will be charitable.

Easier said than done? Of course, as are most things in life. Impossible--not at all. Expensive--not at all. Free? Sorry, but not completely. Again, each organization needs to act like a business: spend (at least a little) money to make money. More importantly: spend TIME—forming relevant relationships and messages.

ME: I am a rising development professional for a medium-sized nonprofit with an operating budget of $1 million per year. Previously I was a director-level marketer for about 11 years for lifestyle brands (restaurants, bars, spas, hotels, etc.) Guess what? I use almost all of my marketing skills & experiences in my development role every single day.

Charities and businesses need to help each other without diluting their resources. Don't compromise: collaborate. Ask questions. Discover new solutions. Help each other. For questions on what this all means, feel free to e-mail me at marcjport@gmail.com. More specific ideas & examples to follow in the coming weeks. Happy Holidays.

Marc Portugal