September 4, 2013
While nonprofits have an overarching mission to do good in the community where they are located, that doesn't mean they are exempt from rules and regulations that other organizations have to follow. There are some policies that make it a bit easier for nonprofits to flourish, but it's definitely not easy to sustain success. Below are a collection of some of the threats and distractions that can act as potential roadblocks for today's nonprofit organizations:
Fewer contributors due to limitation on tax deductions
Developing a donor network is difficult enough for many nonprofits, but it could be even more challenging if President Barack Obama chooses to impose restrictions on the amount of money people can claim for charitable giving when filing their taxes. Many people write off their donations on their taxes. If the government reduces the savings Americans can achieve on their taxes, nonprofits should expect to see far fewer donations sent their way, stated an article written by James Toscano, principal of Toscano Advisors, for the Minnesota Post.
A volatile economy
While the American economy appears to be on an upswing from the Great Recession, experts still aren't confident in its current state. When the economy is in dire straits, so are nonprofits. Americans are more comfortable donating to organizations when the business environment is strong, rather than when their investments could be taking a turn for the worse. According to a piece for Sustainable Business Oregon written by Stephen Marc Beaudoin, executive director of the PHAME Academy, nonprofits that struggle because of the economy will have to be especially creative when it comes to fundraising.
Failing to find qualified leaders
Many nonprofits are run similar to today's corporations, but fewer people are interested in joining these organizations. Americans often feel directors at nonprofits don't make as much money as those in for-profit leadership positions. Toscano mentioned this can be a serious problem as about one-third of current executive directors at nonprofits are expected to step down in the next few years. Organizations must be proactive in recruiting qualified candidates, preferably with MBAs, to help guide the nonprofit into the future. Making succession planning a higher priority may also be a good idea for nonprofits as the competition for top talent is greater than ever.
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Working with Marshal Whittey at First Nonprofit has been a great experience. He handles our request as a priority and goes above and beyond to resolve any issues we have in a timely manner. Marshall follows through to the end and ensures our needs are met. He has been a great resource for LSC and our “go to” for any tax questions we may have. With LSC transitioning several facilities into one federal tax identification number, First Nonprofit was able to assist and provide guidance with best practices resolving claims to each entity. Additionally First Nonprofit provided knowledge (information materials) and one on one training to HRS group with best practices to handle claims state adjudicated, fraudulent claims, and appeals. And processing information in the First Nonprofit [unemployment claims] system allows for timely information can be collected.
My experience with FNP has been wonderful. Unemployment in general is quite confusing and FNP has simplified the process for us. Everyone we have reached out to or worked with has been very helpful and follows up to be sure we understand the information. I am so happy we made the switch to FNP!
First Nonprofit smoothed the unemployment perils for our organization during Covid. Without the ability to cap our UI exposure, we would not have been able to weather the storm. The program worked perfectly and we have come out of the pandemic ready to forge on. Thanks FNP!
My experience with the FNP has been fantastic. The idea of setting funds aside for the unemployment tax liability is a bedrock for nonprofit organizations like mine, namely ASHBA; what is even more advantageous is having the FNP as a custodian of those funds. 100% recommended!
I would like to comment on my experience with FNP….to date our District has saved $1,000’s of dollars by being enrolled in the First Nonprofit program. My only regret is that we did not know about this method of paying unemployment tax years ago….as I had figured about five years
ago, had we enrolled 15-20 years ago, we could have saved our small school district upwards of $500,000 in payments to IDES. Also we would have had a pretty hefty sum of money in our Reserve Account. Thankfully I attended a workshop hosted by First Nonprofit back in 2015 which got the ball rolling!
I have worked with the First Non-Profit Team for many years, and I appreciate the quick response and care that Cecilia and the team provides anytime I have questions. While there are other providers that may provide like services, First Nonprofit will always be my first choice! I appreciate you!
First Nonprofit has been easy to work with and makes the administrative process easier and smoother. We enjoy working with you.
Luckily for us, our interactions regarding any issues with staffing has been very minimal! I can say that all other interactions with regards to billing, 941 reporting, etc. have been extremely pleasant, accommodating and easy to work with. Kim Ghanayem is always prompt, professional and friendly. Thank you so much!