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> And once a non-profit organization starts running at a deficit, some contributors will question their contributions and they may shrink accordingly. That's b
by JackFr 10y ago
> And once a non-profit organization starts running at a deficit, some contributors will question their contributions and they may shrink accordingly.
That's backwards though. It's not unusual for a non-profit to run a deficit. A donor will question a non-profit that's running a surplus - why am I giving you money you don't need.
- mattnewton 10y agoApparently not in the case of WMF.
- narrowrail 10y agoHow many people that give to charities look at their balance sheets before hand?
- caseysoftware 10y agoMost don't as long as everyone is getting paid, the galas and events continue, and outward appearances are fine. Once invoices or paychecks are delayed, people stop and question why the leadership is "making so much money" and the ROI on galas and events. And once a few donors see the deficits, the questions get harder and money slows down.. making the next round of invoices a little harder.