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Nonprofit 101
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Nonprofit 101. January 2012. Agenda. What is a Nonprofit? Nonprofit Distinguishing Characteristics Nonprofit Resources: Where does the money come from? Nonprofit Life Cycle. Your Presenter. Alliance CEO 5 Years NPower Former Lobbyist in AZ 25 years Nonprofit Jobs/Boards
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Nonprofit 101
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Nonprofit 101
January 2012 - Agenda What is a Nonprofit? Nonprofit Distinguishing Characteristics Nonprofit Resources: Where does the money come from? Nonprofit Life Cycle
- Your Presenter Alliance CEO 5 Years NPower Former Lobbyist in AZ 25 years Nonprofit Jobs/Boards Chair, National Council of Nonprofits
- Nonprofits in the U.S. Nonprofits now employ 10% of the nation’s private workers, 25% in Washington, D.C., and 32% in some other cities
- Nonprofits in the U.S. Nonprofits represent $800 billion in annual purchasing power Nonprofit expenditures account for 8.5% of national income Nonprofit sector is the 3rd largest contributor to the U.S. GDP, after retail trade and wholesale trade
- Arizona Nonprofits More than 20,000 operating – diverse
- Arizona Nonprofits More than 20,000 operating – diverse
- Arizona Nonprofits More than 20,000 operating – diverse
- Arizona Nonprofits More than 20,000 operating – diverse
- Arizona Nonprofits More than 20,000 operating – diverse
- Arizona Nonprofits More than 20,000 operating – diverse
- Arizona Nonprofits $18 billion impact (450 Super Bowls/year) More than 120,000 paid employees Paid/unpaid workforce larger than govt.
- Arizona Nonprofits 60% of Arizonans volunteer time 60% nonprofits have revenues below $250,000
- What is a Nonprofit?
- What is a Nonprofit? Other Terms: Non-profit, Not For Profit, Charity, NGO, Voluntary Org, Social Sector, Third Sector, Independent Sector, 501c3, Tax Exempt Community Investment Organization Community Benefit Organizations Social Profit Organization
- What is a Nonprofit? Other Terms: Non-profit, Not For Profit, Charity, NGO, Voluntary Org, Social Sector, Third Sector, Independent Sector, 501c3, Tax Exempt Community Investment Organization Community Benefit Organizations Social Profit Organization
- What is a Nonprofit? Other Terms: Non-profit, Not For Profit, Charity, NGO, Voluntary Org, Social Sector, Third Sector, Independent Sector, 501c3, Tax Exempt Community Investment Organization Community Benefit Organizations Social Profit Organization
- What is a Nonprofit? Other Terms: Non-profit, Not For Profit, Charity, NGO, Voluntary Org, Social Sector, Third Sector, Independent Sector, 501c3, Tax Exempt Community Investment Organization Community Benefit Organizations Social Profit Organization
- What is a Nonprofit? Other Terms: Non-profit, Not For Profit, Charity, NGO, Voluntary Org, Social Sector, Third Sector, Independent Sector, 501c3, Tax Exempt Community Investment Organization Community Benefit Organizations Social Profit Organization
- What is a Nonprofit? Other Terms: Non-profit, Not For Profit, Charity, NGO, Voluntary Org, Social Sector, Third Sector, Independent Sector, 501c3, Tax Exempt Community Investment Organization Community Benefit Organizations Social Profit Organization
- What is a Nonprofit? Other Terms: Non-profit, Not For Profit, Charity, NGO, Voluntary Org, Social Sector, Third Sector, Independent Sector, 501c3, Tax Exempt Community Investment Organization Community Benefit Organizations Social Profit Organization
- What is a Nonprofit? 2 defining criteria
- What is a Nonprofit? 1 Owners (no stockholders) For-Profit: Individuals, Partners, Shareholders Government: “The People” Nonprofit: ???
- What is a Nonprofit? 1 Owners (no stockholders)
- What is a Nonprofit? 2 Tax Exemption
- What is a Nonprofit? 501(c)__ 2 Tax Exemption (c)3…(c)4…(c) 5…(c)6… (c)…
- What is a Nonprofit? 2 Tax Exemption Corporate Income Tax – state & federal exemptions Payroll taxes Sales taxes Property taxes
- What is a Nonprofit? 2 Tax Exemption Annual reporting: Form 990 Available at www.guidestar.org
- Nonprofit Characteristics 6 defining characteristics
- Nonprofit Characteristics 1 Mission Focus
- Nonprofit Characteristics 2 Social ROI
- Nonprofit Characteristics 3 Assessment of program outcomes
- Nonprofit Characteristics 4 Role of Governing Boards
- Nonprofit Characteristics 5 Involvement of volunteers
- Nonprofit Characteristics 6 Culture
- Nonprofits - Not Unique Skill level of staff Hard to pay for top talent Scarce resources
- Where does the money come from? Donations Government Earned Income
- Sources of Nonprofit Income
- Income Sources by sub-sector
- Total Giving = about $300 billion Sources and Uses of Charitable Contributions Source: Giving USA Foundation, Giving USA
- Sources and Uses of Charitable Contributions Source: Giving USA Foundation, Giving USA
- 31% of private foundation grants go to education ($54.9 M); another 14% are allocated to Social and Human Services ($23.9 M) and another 12.6% ($22.4 M) are allocated to Community Development Where Arizona Foundation Dollars Are Going Source: Arizona Grantmakers Forum
- Nonprofit Life Cycles Concept Growth Incorporation Source: TCC Group Core Capacity Assessment
- Questions? Resources: Alliance: www.arizonanonprofits.org National: www.councilofnonprofits.org/resources “Nonprofitspeak”: Glossary of Termshttp://www.idealist.org/media/pdf/career/guide/AppendixOne_s.pdf
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