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Can I have a real moment with you all? Lean in close... I want you to feel my sincerity as you read this. 💜
My heart is heavy right now as we work to navigate all that's happening in the world. As a mommy, an educator, a lover of nonprofits, and a servant at heart, I'm tired. Over the last few weeks, I've had conversations with so many of my current and past clients about your concerns. These are questions and concerns that keep me up at night. Most of my clients exist in the DEI, education, public health, and LGBTQIA+ spaces. I love you all deeply and many of you have become family for me... communities I've become a part of and grown to love, cheer on, and celebrate. My heart is with you all as we navigate the complexities of the current political landscape. I am aware of the potential impact that federal freezes and other legal actions could have on the services you provide and the communities you support.
With the possibility of government funding delays or disruptions and laws being passed to try and diminish the importance of your work, it is more important than ever for nonprofits to be proactive in preparing for any challenges that may arise.
Here’s a guide and some suggestions to help your organization stay alert and aware:
1. Review Your Cash Flow and Reserves.. What is your financial health right now?
Start by assessing your organization’s financial health. Do you have sufficient reserves to work through a delay in federal funds? If not, now is the time to identify areas where you can cut non-essential expenses or build additional savings. Cash flow is crucial, so understanding your financial picture will help you plan more effectively.
2. Diversify Your Funding Sources
This is something I stress to my clients ALL THE TIME. Relying heavily on federal funding and grants can put your organization at risk during this like this. Think about tapping into the communities you love and serve and diversifying your funding in the following ways:
Private donations: Launch a targeted fundraising campaign or engage with individual donors. The need is clear, and the ask is crucial.
Corporate sponsorships: Reach out to local businesses for partnerships and sponsorships.
Foundations & Grants: Explore alternative grants and foundation opportunities that may not be as vulnerable to political fluctuations. Diversification ensures that you can continue to operate even if federal funds are delayed or frozen.
3. Communicate with Your Partners
Transparency during times like this can build trust with your communities and create space for connection and community to come together. Let your donors, volunteers, and other supporters know about the potential risks and how they can help. Additionally, updating your partners on your contingency plans can help alleviate concerns.
4. Prepare Your Staff & Volunteers
Federal freezes can sometimes lead to internal disruptions, so make sure your team is ready. Discuss contingency plans with your staff and volunteers and keep morale high by emphasizing the organization’s continued commitment to its mission. Remember to make space for folks to struggle and feel. We are human first and life is impacting us all in various ways.
5. Streamline Operations
Consider how you can increase efficiency across your operations and daily functions. Can some programs be scaled back without losing impact? Are there areas where you can automate processes to reduce reliance on external funds or additional people power that can be utilized elsewhere? Streamlining your operations can reduce costs and make your organization more agile during challenging times.
6. Stay Informed
Federal funding decisions can evolve quickly, so staying updated on policy changes is essential. Sign up for alerts from relevant agencies, stay connected to sector advocacy groups, and keep an eye on news that might affect your organization. The more informed you are, the better prepared you will be.
I've been following Diane Yentel on LinkedIn. Diane has been great at proving updates on what's taking place federally and how it can impact work in the nonprofit and community-based organization spaces.
The National Council of Nonprofits has been a great non-partisan resource for me during this time and I encourage you all to connect with them
Stay in the loop by signing up for their newsletters here.
Keep checking their resources on the executive orders through their webpages: The Impacts of the Recent Executive Orders on Nonprofits | National Council of Nonprofits and Chart of Executive Orders.
Looking Ahead
While uncertainty is a part of the landscape, nonprofits and community-based organizations like yours are resilient and resourceful. I believe in you and will continue to update you as I figure out how to best support. Always feel free to reach out with questions. I'm not afraid to say I don't know, but we can work to figure it out together.
Thank you for all you do. Remember to breathe. Take care of yourselves. And give yourself and your teams a lot of grace right now and always.
With all my love (no, for real.. I love y'all deep),
Rashidah Butler-Jackson 💜
Lover of nonprofits and righteousness
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