As the economy continues its slow recovery, nonprofits and donors are more frequently trying to understand the role of financial reserves—a tool that may have been an option in the past but is now a must-have for organizations that hope to maintain stability in turbulent times.
In particular, people want to know how reserves compare with endowments, because both are ways for nonprofits to help secure the organization’s future.
Reserves are a lot more flexible than endowments—and often more app…
A special type of organization, known as a community development financial institution, offers credit and financial services to organizations and neighborhoods that have trouble getting aid from traditional banks.
Traditionally, only a small universe of foundations and wealthy investors supported those institutions.
But that is changing.
For the first time, foundations and individuals are finding that in addition to a social return, these institutions are also providing a notable financial retur…
I recently bumped into Debbie Reck, founder and executive director of Writers’ Express, a youth writing program.
Her organization has had real success with its curriculum and has seen increasing demand for its programs from other markets in recent years.
Debbie and I have spoken a few times over the past year about the quality of the group’s programs and how it has been trying to find the right funding partnerships to help it expand.
It had relied on a couple of committed funders and some suppor…