By: Shannon Murphy, Principal & Senior Vice President of Production | The continued upward march year after year of the cost of postage, paper and petrol (we like alliterations) are causing many in the nonprofit sector to pinch their production pennies. And this focus on the bottom line is having a major impact on organizations' ability to effectively raise funds. Lower acquisition quantities being mailed out combined with cost-savings measures that effect donor response mean that the money coming in is also dwindling.
CCAH Blog: Industry Voices
By Jim Hussey, Chairman | If one nonprofit organization only spends 3% of its funds on overhead, while another spends 30%, which is better managed? Until recently, the automatic answer by those who monitor such things would be the first organization. The percentage of overhead has been the chief determinant to designating the best charities.
But recently, the three major watchdog organizations which monitor the nonprofit community … the Better Business Bureau, GuideStar and Charity Navigator … released a joint statement entitled “The Overhead Myth”which acknowledges that the true answer is not so clear cut.