The five greatest challenges in nonprofit management are money and financial concerns, including donor acquisition and retention; membership recruitment and retention; staffing and volunteers; technology concerns; and decision-making, according to the enSYNC Corporation.

Based upon its first concern, you cannot generate a consistent flow of dollars without an experienced and dynamic resource development staff.

Unfortunately, for many of us in the profession, keeping qualified and trained development officers is easier said than done. Several years ago, I hired three major gift officers with the hope of keeping them for five years. Five years later, only one of those hired remains. The organization spent valuable dollars to provide a master’s degree and specialized training to these employees only to see them leave for greener pastures.

The rate of turnover among fundraisers remains high and major gift officers lead this movement, LAPA Fundraising noted. Recent studies by CASE, AFP and others suggest the average tenure of a front-line fundraiser is between 1.5 to 3.5 years. As a development officer, if you want to make an institutional transformational fundraising impact, stay in your current jobs for a period of years without movement.

Malcolm Gladwell, in his book “Outliers,” suggests that based upon the attributes needed for ultimate resource development success, a first-time gift officer will require almost five years to become effective at their work. 

A study by Bentz Whaley Flessner that measured major gift officer productivity noted that it took four years for a major gift officer to generate significant output from their prospect portfolios.

In September of 2020, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2020-08, Not-for-Profits Entities (Topic 958): Presentation and Disclosures by Not-for-Profit Entities for Contributed Nonfinancial Assets, also referred to regularly as in-kind gifts.

This update does not change how organizations recognize contributed nonfinancial assets, but how they are presented.

According to FASB Board Member, Sue Cosper, the ASU addresses concerns of nonprofit stakeholders “by requiring more prominent presentation of contributed nonfinancial assets and enhanced disclosures about the valuation of those contributions and their use in programs and other activities, including any donor-imposed restrictiond on such use.”

There were a few issues that arose in 2018 that moved this standard forward for FASB. The primary concern among officials specifically related to how donated pharmaceuticals, received as in-kind gifts, were being recognized based on wholesale market prices that potentially inflated the revenues and program expenses for some nonprofit organizations. The inflated revenue and expenses of these gifts would ultimately make those nonprofits appear larger than those with smaller resources and lower value in-kind gifts.

With the new ASU, in-kind gifts are no longer able to be presented among cash contributions or other financial assets on the statement of activities.

The in-kind gifts are now required to be separated and presented independent of cash or financial asset contributions. The new standard also requires additional disclosures to the financial statements showing which programs or activities these in-kind gifts benefits or are used to further.

Indy Reads has recently reopened in the former Fountain Square Branch of the Indianapolis Public Library at 1066 Virginia Ave. The facility will house Indy Read’s administrative and bookstore. Previously, the nonprofit organization’s office and bookstore were in separate locations. Read more

Second Harvest Food Bank of East Central Indiana has launched its newest initiative, Operation Full Pack. As part of the program, the Muncie-based nonprofit will provide food and non-food products to those who have served in the armed forces and their families.

Teachers Credit Union has granted $5,000 to Big Brothers Big Sisters of Central Indiana for its Career and College Readiness program and $2,500 to St. Mary’s Early Childhood Center to support its preschool program, which serves children living in poverty.

The Indiana Nonprofits Project has updated its Indiana Nonprofit Employment in Membership Organizations report. Among the findings is a 21 percent growth of nonprofit employment in the membership industry from 1995-2019. Download the report

Donations accepted: Exodus Refugee Immigration is accepting the donations of men’s small and medium adult winter coats, winter hats, gloves, and scarves and Uber and Lyft gifts cards through Dec. 1. Read more

Encourage your employees’ growth and advancement in 2022! Charitable Advisors’ YouTube channel features HR Peer Group webinars and other trainings and insights. Subscribe

Understanding affluent donors – The 2021 Bank of America study of charitable giving webinar on Dec. 2 at 3 p.m. Get insights on the attitudes, motivations and priorities of affluent donors through research from the Indiana University Lilly Family School of Philanthropy. Hosted by Johnson, Grossnickle & Assoc. Cost: Free. Register

Interrupting racism for children on Dec. 9-10 from 9 a.m.-4 p.m. This online workshop moves individuals from awareness to action to stop racism in its tracks, creating a future where children thrive and race does not predict their life outcomes. Cost: $250. Presented by Child Advocates. Register

How to host hybrid events donors want to attend webinar on Dec. 9 from 2-3:15 p.m. How can your organization create a hybrid gathering that appeals to supporters, boosts giving and keeps everyone safe and connected to the cause? Cost: $69. Presented by The Chronicle of Philanthropy. Register

Social transformation for your nonprofit webinar on Dec. 9 at 2 p.m. This webinar will introduce participants to concepts that address the root causes of systemic oppression. Presented by Blue Avocado. Cost: Free. Register

Children’s TherAplay is looking for a volunteer clinic assistant intern. Learn more

Damar Services has volunteer opportunities for the holiday season to decorate, shop for gifts, wrap gifts and more. Learn more or contact Allie alliep@damar.org

Charitable Allies How to 501(c)(3) status back after losing it?

Alerding CPA Group Worker classification: employee vs. contractor

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