The whole category in one page.
NONPROFITS FAIL MORE OFTEN FROM POOR MANAGEMENT THAN FROM LACK OF FUNDING
The purpose does not excuse informality. The same employment, tax and record-keeping obligations apply as to any organisation.
DEFINE WHAT YOU WILL NOT DO, BECAUSE ORGANISATIONS DRIFT TOWARD WHATEVER IS FUNDED
That drift produces organisations doing many things poorly, none of them their original purpose.
RESTRICTED FUNDING RARELY COVERS THE COST OF RUNNING THE ORGANISATION
Pursue unrestricted income deliberately — individual giving, earned income, flexible funders — because it is what pays for management, systems and reserves.
TRACK EACH RESTRICTED FUND SEPARATELY AND DOCUMENT HOW SHARED COSTS ARE ALLOCATED
You must be able to demonstrate how every grant was spent, and it is exactly what auditors examine.
DECIDE WHAT YOU WILL MEASURE AND COLLECT A BASELINE BEFORE THE PROGRAMME STARTS
Evidence cannot be gathered retrospectively, and without a baseline no change can be demonstrated.
SAFEGUARDING FAILURES AND FRAUD END ORGANISATIONS, AND BOTH ARE PREVENTABLE
Never condition assistance on anything, never investigate allegations informally, and never let the organisation's reputation outweigh a beneficiary's safety.
ASK THE COMMUNITY BEFORE DESIGNING ANYTHING, BECAUSE PROGRAMMES DESIGNED WITHOUT THEM FAIL CONSISTENTLY
TELL DONORS WHAT THEIR MONEY DID, SINCE IT IS THE LARGEST FACTOR IN WHETHER THEY GIVE AGAIN
AND BUILD SUCCESSION DELIBERATELY, BECAUSE MOST NONPROFITS DEPEND ENTIRELY ON ONE PERSON
