New Guide Star Survey Finds that Recession Continues to Hurt Nonprofit Sector

GuideStar USA, Inc., a leading source of  nonprofit information,  on August 16 announced the results of its first economic survey of public charity and private foundations in 2010.  Over 7,000 nonprofit organizations (NPO’s) were surveyed (31 in West Virginia) and it was determined that the nonprofit sector continues to experience the effects of the recent economic downturn.  The survey showed that 40% of respondents have seen a further decline in contributions in the first 5 months of this year compared to the same period in 2009.  During this decline, 63% of the NPO’s have seen an increase in demand for their services.

GuideStar’s President and CEO, Bob Ottenhoff stated “It’s more important than ever that nonprofits are transparent about their earnings and offerings so that donors and grant makers will know that their dollars are going to organizations that will use their gifts wisely.”

Highlights of the survey include:

• 8% of NPO’s reported that they were in eminent danger of closing
• 17% have reduced services; 11% have laid off employees
• 17% of organizations that use volunteers have converted one or two paid staff positions to volunteer positions
• 32% said they had increased their reliance on volunteers

See GuideStar’s survey results 

 As you can see from the survey it is increasing important that NPO’s maintain a competitive edge in planning, grant writing and marketing.    TEA has over 15 years experience in the non-profit management arena and currently staffs both an Executive Director and Program Manager.  We recently achieved non-profit management certification from Duke University’s non-profit management program.    TEA has extensive experience in grant writing, grant management and strategic planning and implementation.  

In WV, there are over 13,000 non-profit organizations (NPO),   this number up 25.6% from ten years ago.   NPO’s include public charities, private foundations and other groups such as social and recreational clubs and trade associations.