Diversifying Revenues (For Nonprofits)

Send us Fan MailHow to diversify revenue for nonprofits, with advice centering on being strategic, assessing the market and the organization’s capacity, and ensuring the board and leadership are aligned on the goals of diversification. Cohosts Julia Patrick and Tony Beall talk about the significant pressure fundraisers face, not only in securing donations but also in ensuring that funds are received. This ongoing challenge is compounded when nonprofits rely too heavily on one source of funding, such as a single donor or government grants, which creates vulnerability if those funds suddenly decrease or disappear.Watch on video!Julia and Tony discuss the practical side of diversification, illustrating the dangers of relying on a singular revenue stream. Tony recounts a story of a nonprofit that faced a sudden 40% cut in state funding, forcing the organization to scramble for new funding sources. He reminds the audience that diversification isn’t just about spreading out revenue sources evenly, but about planning for sustainability and reducing risk.The informative (and fun) conversation touches on various avenues of diversification, from special events and major gifts to peer-to-peer giving and recurring donations. Tony explains that nonprofits should assess their team’s strengths and existing data to decide which methods to pursue. While certain channels might offer high returns, like a successful annual gala, others—such as small events—can serve as an important introduction to the organization. Tony also speaks to the importance of cultivating relationships with event attendees beyond the event itself, ensuring that nonprofits leverage the opportunity to engage and steward donors. This practical thinking session reminds nonprofits to plan ahead, avoid over-reliance on any one source, and embrace opportunities to grow in sustainable, varied ways.Find us Live daily on YouTube!Find us  Live daily on LinkedIn!Find us Live daily on X: @Nonprofit_ShowOur national co-hosts and amazing guests discuss management, money and missions of nonprofits!  12:30pm ET   11:30am CT  10:30am MT  9:30am PTSend us your ideas for Show Guests or Topics: [email protected] us on the web:The Nonprofit Show