The Nonprofit Starvation Cycle

The central argument of this article is about how nonprofits struggle to function as organizations. Funders have unrealistic expectations about how much running a nonprofit costs. To take charge, non profit funders need to take the lead. 

A key problem is misleading reports in the nonprofit organization. "scrutiny found that 75 percent to 85 percent of these organizations were incorrectly reporting the costs associated with grants." Nonprofit organizations are giving the wrong data. They reported that their "overhead rates ranging from 13 percent to 22 percent," while their "actual overhead rates ranged from 17 percent to 35 percent."
I have not had the chance to look into organization data for the YMCA.

Comments

  1. Great post! I feel you on not getting a chance on looking at that info for the YMCA because I have not had that opportunity either.

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