Sustainability, It’s Not Just About the Environment

The word “sustainability” has been thrown around a lot these last few years. One often thinks of saving the forests, driving a hybrid car and eating locally-grown, organic, whole foods. While those are good things to do, it doesn’t capture the full meaning of sustainability. “To sustain” means:

• To keep in existence; maintain.
• To supply with necessities or nourishment; provide for.

Other definitions of “sustainability” that pertain specifically to nonprofits are:

• The degree to which a program or organization can mobilize resources from one or more sources consistently over time to respond effectively to local needs.
• The ability to continue into the future, using a combination of resources and strategies such as volunteers, grants, contracts, fundraising, donations, partnerships, earned income strategies, and other activities that contribute to diversification of the organization’s resources.

These definitions are just a few of the many ways to explain the meaning of sustainability that as nonprofits, we need to keep in mind. If you have your own definition of sustainability, we’d love to hear it. Of course, nonprofit sustainability is one of the key elements that MissionWise focuses on when working with our clients. This begs the question, “How do you know if your nonprofit is sustainable?”

Here are some questions to consider:

• Is your organization “in the dark” about where next year’s funding will come from?
• Does your organization rely solely on donations, fundraising, grants, and / or government contracts for its financial livelihood?
• Does your organization have more than 30%-40% of its revenue coming from a single source?
• If funding from your largest grant or contract was substantially cut or eliminated, would it jeopardize your organization’s ability to operate?

If you answered yes to any or all of these questions, the health of your organization may be in jeopardy and it may be time to begin thinking about a plan for sustainability.

Stay tuned for more about how to build your organization’s nonprofit sustainability in upcoming MissionWise Blog entries.