Download or read book Two Essays on Nonprofit Finance written by Heng Qu and published by . This book was released on 2016 with total page 338 pages. Available in PDF, EPUB and Kindle. Book excerpt: This dissertation consists of two essays on nonprofit finance. Nonprofit finance concerns obtaining and managing financial resources to support the social purposes of nonprofit organizations. A unique feature of nonprofit finance is that nonprofits derive revenue from a variety of sources. Nonprofit finance thus involves answering two fundamental questions: What is the optimal combination of revenue sources that supports a nonprofit to achieve its mission? Where and how to obtain the revenue sources? The two dissertation essays address these two questions respectively. The first essay, titled "Modern Portfolio Theory and the Optimization of Nonprofit Revenue Mix," is among the first to properly apply modern portfolio theory (MPT) from corporate finance to nonprofit finance. By analyzing nonprofit tax return data, I estimate the expected return and risk characteristics for five nonprofit revenue sources as well as the correlations among these returns. I use the estimates to identify the efficient frontiers for nonprofits in different industries, based on which nonprofit managers can select an optimal portfolio that can minimize the risk given a preferred level of service provision or maximize the return given a level of risk. The findings also pose a challenge to the predominant approach used in previous nonprofit finance studies (Herfindahl-Hirschman Index) and suggest that MPT is theoretically and practically more helpful in guiding nonprofit revenue management. The second essay, titled "Charitable Giving in Nonprofit Service Associations: Identities, Incentives, and Gender Differences," concerns nonprofit resource attainment, specifically, how do decisionmaking contexts and framing affect donations. Membership in a service club is characterized by two essential elements: members' shared interest in the club's charitable mission; and private benefits that often come as a result of social interactions with other members, such as networking, fellowship, and fun. A laboratory experiment was designed to examine 1) whether membership in a service club makes a person more generous and 2) the effect of service club membership—stressing either the service or socializing aspects—on individual support for collective goods. The study finds that female individuals are the least generous when they are reminded of the socializing aspect of service-club membership.

Download or read book Budgeting and Financial Management for Nonprofit Organizations written by Lynne A. Weikart and published by Waveland Press. This book was released on 2021-08-30 with total page 334 pages. Available in PDF, EPUB and Kindle. Book excerpt: A nonprofit’s mission cannot be achieved unless there are resources available to fund it—without a sound financial strategy, a nonprofit cannot thrive. By creating stable financial foundations for their nonprofits, managers take advantage of the nonprofit sector’s size and scope, realize all of the sources and distribution of revenues, and effectively develop fiscal risk assessment methods and apply strategies to mitigate risk. Nonprofit managers must comprehend and efficiently use the financial tools available to them to develop financial policies that will help them to succeed in many types of economies. The Second Edition presents financial concepts in a straightforward format grounded in real examples that are readily accessible to students from any background. The authors provide the groundwork for solid accounting principles and ethical guidelines, define and set standards for internal controls and audits, and explain the ingredients used to measure program performance. Today’s nonprofits must also be aware of the growing scope of the fourth sector of social enterprise, which can inspire nonprofits to be flexible, creative, and innovative in achieving their missions.

Download or read book Investments in and for Nonprofit Organizations written by Sara Stühlinger and published by BoD – Books on Demand. This book was released on 2020-12-19 with total page 108 pages. Available in PDF, EPUB and Kindle. Book excerpt: The value-driven nature of nonprofit organizations calls for a broader understanding of investments outside of a purely financial conceptualization. Nonprofits ultimately strive for a social return, and allocating resources to nonprofit capacities is a vital form of investments. The four chapters of this thesis examine two types of nonprofit investments, impact investing and investments in nonprofit capacities, and focus on their influencing factors and effects. The findings reveal that strategic behavior and planning are crucial management tasks. The blurring of social and financial logics offers opportunities that if accompanied by a clear strategy enhances the work of nonprofits.

Download or read book Financing Nonprofit Organizations written by Inigo Garcia-Rodriguez and published by Routledge. This book was released on 2020-01-23 with total page 203 pages. Available in PDF, EPUB and Kindle. Book excerpt: The financial issues of nonprofit organizations (NPOs) have increased their importance in recent years, especially after the last global economic downturn. In this way, NPOs have been threatened by a reduction of income, while their work and expenses have not decreased. In this book, the editors bring together several topics that the academic literature has previously addressed, connecting them to each other and evaluating how all these issues are interrelated. Financing Nonprofit Organizations analyses the state of art of all these financial topics and the consequences of the last economic crisis. It dives into the interrelations of these concepts to suggest lines of future research and to reflect on the future of the different sources of funding of the NPOs. It will be of interest to students, practitioners, and researchers interested in initiating and updating their knowledge in the growing field of the financial aspects of the NPOs.

Download or read book Finance Fundamentals for Nonprofits with Website written by Woods Bowman and published by John Wiley & Sons. This book was released on 2011-08-09 with total page 224 pages. Available in PDF, EPUB and Kindle. Book excerpt: A complete guide to the financial requirements a nonprofit organization must follow to indefinitely maintain the volume and quality of their services An organization may have plenty of capacity in the long run, but in the short run, donor restrictions and limited financing options are constraining. Here-and-now liquid assets are the only resources available. Finance Fundamentals for Nonprofits: Building Capacity and Sustainability shows how to measure a nonprofit organization's financial capacity in different time frames and how to measure its ability to sustain capacity in each case. Explains how nonprofits differ from businesses and how they promote values-centered management Reveals how to improve financial capacity and sustainability Written by a nonprofit scholar Filled with real-world case studies and actionable advice relating financial health to financial capacity and sustainability, this book is essential reading for every nonprofit professional.

Download or read book Nonprofit Finance written by Thad D. Calabrese and published by Brill Research Perspectives in. This book was released on 2020 with total page 89 pages. Available in PDF, EPUB and Kindle. Book excerpt: In Nonprofit Finance: A Synthetic Review Thad D. Calabrese reviews the current state of research on nonprofit finance. The book comprehensively addresses core finance topics with a focus on those issues that differentiate nonprofit finance from traditional finance.

Download or read book ESSAYS IN EMPIRICAL CORPORATE FINANCE written by Yinge Zhang and published by . This book was released on 2022 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This dissertation consists of three chapters. First two chapters examines how nonprofit organizations (NPOs) react to the state level minimum wage increases, and the third chapter studies the effect of board interlock on the diffusion of innovation.In the first chapter, I investigate the impact of minimum wage increases on employment. I extend the literature by hypothesizing and showing a differential impact of state-level minimum wage increases on nonprofit organizations relative to for-profit organizations. While I find that increases in minimum wages reduce employment growth in both types of organizations, this decrease is substantially larger for nonprofit organizations. I also find that investment in automation, i.e., information technology, rises in nonprofits post minimum wage increase, consistent with the substitution of capital for labor. Minimum wage increases also increase the likelihood of nonprofit exit. In the second chapter, I investigate how CEO pay in nonprofit organizations responds to an exogeneous increase in labor cost resulting from state-level minimum wage hikes. I find that these increases in labor cost, which constrain budgets, are followed by declines in the total pay of NPO CEOs. In contrast, I do not find an impact on CEO pay in for-profit companies. I attribute the differential response between NPO and for-profit organizations to NPO CEOs acting as stewards of the NPO, whereby they are willing to take less to ensure the continued existence of the enterprise, as well as fulfillment of its mission. This phenomenon has previously been observed in the nonprofit sector and termed labor donation, whereby individuals who work for NPOs are intrinsically motivated and consequently, are willing to work for less money. Cross-sectionally I find the declines in compensation are larger in NPOs headquartered in smaller counties, in counties with higher levels of religiosity, and in counties with greater levels of social capital, and in NPOs that are run by their founders. In the last chapter, I propose that board interlocks can act as a channel of information transmission and social learning, hence enhancing the diffusion of innovation among firms. I find that a firm's patents are more likely to be cited by patents from firms that have common directors (i.e., interlocked firm). The result is robust under a difference-in-differences setting, where the death or retirement of interlocking directors is used as an exogeneous shock to board interlock. The effect is more pronounced for interlocking directors who have longer experience in R&D-intensive industries, have a larger network, and have a higher compensation delta. While I find that board interlock enhances the diffusion of innovation across industries, it has no effect on within-industry knowledge diffusion. Finally, I document that board interlock enhances firms' overall innovation output, measured by patent counts and citation counts per patent. The paper sheds light on an important role played by board of directors in promoting knowledge spillover and innovation.

Download or read book Understanding Nonprofit Law and Finance written by Erik Estrada and published by Rowman & Littlefield. This book was released on 2019-08-23 with total page 292 pages. Available in PDF, EPUB and Kindle. Book excerpt: A quick-hitting professional resource of 48 core legal and financial principles for anyone sitting on a nonprofit board. The 24 legal questions and 24 financial questions provide nonprofit leaders with a framework for understanding the key issues that are likely to affect their current or future roles in the nonprofit sector.

Download or read book Nonprofit Finance for Hard Times written by Susan U. Raymond and published by John Wiley & Sons. This book was released on 2009-12-04 with total page 254 pages. Available in PDF, EPUB and Kindle. Book excerpt: How to make strategic plan to help your nonprofit navigate turbulent financial waters and achieve strengthened revenues During this time of upheaval and instability with the country's financial markets and economy, you might be wondering how your nonprofit can emerge stronger from this unprecedented turmoil and prepare for future economic cycles. Practical and timely, Nonprofit Finance for Hard Times: Leadership Strategies When Economies Falter helps your nonproft get strategic in the weak economy. Nonprofit Finance for Hard Times shows you how surviving the current economic conditions means dedicating yourself to understanding the details of the current financial crisis and identifying those Board members and other leaders who can give you deep analysis on the crisis and act as your analysts of the winners and losers in real time. Emphasizes that the core of all strategy is engagement Helps you reassess your nonprofit's communications tools for both messages and markets Asserts that the operative need is for strategy, not panic Revisits all assumptions Explains how to sort and cull past supporters for those who will emerge from the turmoil first and strongest Reveals how to identify new audiences Providing the guidance your nonprofit needs-not to just hang on for the white-knuckle ride, but to plan their best strategy to survive and succeed-Nonprofit Finance for Hard Times equips you with the tools you need to get started.

Download or read book Essays on Nonprofit Competition written by Bijetri Bose and published by . This book was released on 2015 with total page 123 pages. Available in PDF, EPUB and Kindle. Book excerpt: The predominant objective of this dissertation is the analysis of competition among nonprofits in a market. The focus is on exploring nonprofit behavior in markets in which they demand revenue from various sources. Chapters 1 and 2 of this dissertation examine the effects of nonprofit competition on the receipt of charitable donations and the extent of revenue diversification of an organization, while Chapter 3 evaluates the performance of a fundraising mechanism in the presence of one or more nonprofits in a market. The nonprofit sector has been expanding rapidly over the past decade, particularly in the United States (US). The reasons for such a growth - the shrinking government sector along with the increasing demand for the goods and services provided by nonprofit organizations - is easy to understand. What is unclear are the consequences of the unrestrained proliferation of nonprofit organizations, especially in the absence of a corresponding increase in the resources to sustain such an expansion. Herein, lies the motivation underlying this dissertation. In addition, each chapter also seeks to provide guidance to nonprofit managers and policy makers about feasible strategies in an increasingly competitive environment. In the first chapter, I empirically estimate the effect of nonprofit competition on the charitable donations received by them. The total impact of competition is decomposed into two effects to capture the two different channels through which nonprofit competition can affect charitable donations. First, is the fundraising effect that examines the change in donations caused by adjustments in the fundraising efforts of nonprofits in response to varying degrees of competition. Second, the non-fundraising effect examines the changes in donations caused by competition driven adjustments in other organizational strategies, including management expenses, changes in the mission statement and shifts in volunteer reliance. The estimation is conducted at the nonprofit and aggregate levels, using a simple instrumental variable regression approach on US public charity data obtained from their annual tax returns from 1998-2003. The key finding of this chapter is that an increase in nonprofit competition leads to a decrease in the average amount of charitable donations received. At the same, the aggregate donations by all donors in a market increases marginally due to greater nonprofit competition, indicating the probability of wasteful shifting of donor contributions between organizations. The second chapter, then, goes on to take a broader view of nonprofit finances by investigating the effect of nonprofit competition on the extent of revenue diversification of the organizations. Though there exists an extensive discussion on the importance of revenue diversification for nonprofits, the question of how the revenue diversification strategy evolves with market competition has not been considered. This chapter seeks to contribute to the literature through an empirical examination of how the nonprofit competition influences the level of revenue diversification. The theoretical prediction derived from the transaction cost theory is that nonprofit competition will have a negative effect on revenue diversification. However, based on the econometric methods applied to a sample of US public charities, similar to the one used in the previous chapter, I do not find convincing evidence that nonprofits change their income portfolio in response to increasing competition in a market. Growing nonprofit competition reduces the receipt of charitable donations by a typical nonprofit organization. In such a situation, there is also no indication that nonprofits increasingly seek to sustain themselves by looking towards multiple sources of revenue. Given the dominance of private contributions in the income portfolio of nonprofits, it will be useful to focus on mechanisms adopted by nonprofits to raise charitable donations. Because nonprofit level data, that is aggregated over donors, cannot be utilized to study individual behavior, I adopt a different method in the final chapter of this dissertation. In the third chapter, which is a joint work with Sergey Rabotyagov, we experimentally examine the effect of using lotteries in conjunction with provision points to finance public goods. While the existence of a threshold reduces free-riding, it does not completely eliminate the incentive of individuals to donate zero for the public good. This prompts the question of whether there is a fundraising mechanism that works better in raising funds. Our proposed use of a lottery along with the threshold requirement is compared to the provision point mechanism in a laboratory experimental setup. We also test a modification of our lottery design that is ideal for situations with multiple threshold public goods. This new mechanism eases the coordination among the potential donors and prevents the diversions of contributions for the lottery prize. We find that the lottery with provision point outperforms the provision point mechanism by increasing the frequency with which the public good is provided as well as the amount of average individual contribution. The findings have implications for crowdfunding websites that have becoming an increasingly popular tool used by nonprofits for the provision of public goods.

Download or read book Not for Profit Budgeting and Financial Management written by Edward J. McMillan and published by John Wiley & Sons. This book was released on 2010-05-27 with total page 240 pages. Available in PDF, EPUB and Kindle. Book excerpt: Take control of your organization's short- and long-term financial plan Now fully revised, Not-for-Profit Budgeting and Financial Management, Second Edition, offers a financial planning system that is not only easy to use and monitor, but also ensures true fiscal accountability in the complex not-for-profit arena. Adds three entirely new chapters on Footnoting the Statement of Activity, Presenting Cash Prepared and Accrual Statements on the same page, and The Importance of the Executive Summary Fully updated with the latest financial advice to benefit your nonprofit Explains how to separate controllable, semi-controllable, and fixed expenses Reveals how you can prepare and present such top-notch budget documents that budgets will be approved the first time Written in a nontechnical, understandable format, incorporating dozens of relevant forms and documents, this completely revised and expanded edition will enable your nonprofit organization to create and manage reasonable financial plans that fit their organization's needs.

Download or read book The Non Nonprofit written by Steve Rothschild and published by John Wiley & Sons. This book was released on 2012-01-11 with total page 261 pages. Available in PDF, EPUB and Kindle. Book excerpt: A top business leader shares the business principles he used to launch both a top company and a thriving nonprofit Nonprofit leaders know that solving pervasive social problems requires passion and creativity as well as tangible results. The Non Nonprofit shares the same business principles that drive the world's best companies, showing how they can (and should) be applied to the realm of nonprofits. Steve Rothschild personally crossed sectors when he left corporate America to found Twin Cities RISE!, a highly successful poverty reduction program. His honest story, and success and missteps, create an essential roadmap for any social venture looking to prove and boost its impact. Distills essential nonprofit principles such as having a clear and appropriate purpose, creating economic value from social benefit, and establishing mutual accountability Shares successful approaches from innovative organizations such as Grameen Bank, Playworks, Common Ground, Habitat for Humanity, Lumni, Caring Bridge, College Summit and RISE! Draws from the author's success in founding and building Twin Cities RISE!, which trains unemployed Minnesotans for living wage jobs. RISE! serves 1,500 participants each year As insightful as it is inspiring, The Non Nonprofit can help maximize the positive impact of any nonprofit.

Download or read book Elgar Encyclopedia of Nonprofit Management Leadership and Governance written by Kevin P. Kearns and published by Edward Elgar Publishing. This book was released on 2023-12-11 with total page 651 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Elgar Encyclopedia of Nonprofit Management, Leadership and Governance is the ultimate reference guide for those interested in the rapidly growing nonprofit sector. Each insightful entry includes a definition of the concept, practical applications in nonprofit organizations, and discussion of current issues and future directions.

Download or read book Two Essays on the Nonprofit Sector written by Richard Steven Steinberg and published by . This book was released on 1983 with total page 520 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The Cash Flow Solution written by Richard S. Linzer and published by John Wiley & Sons. This book was released on 2006-10-25 with total page 157 pages. Available in PDF, EPUB and Kindle. Book excerpt: Many nonprofits rely on conventional methods of making and managing money—from donations to cash reserves, endowments, and capital building campaigns—in hopes of securing financial stability for the future. Yet these acquired funds often remain tantalizingly out of reach for day-to-day operations; the balance sheet may look good, but the actual cash available is often surprisingly low. In order to achieve their missions, nonprofits need to fundamentally change the way they think about money. Richard and Anna Linzer introduce a groundbreaking approach to nonprofit financial management based on cash flow and the use of credit that gives nonprofits the money they need, when they need it while ensuring the long-term financial well-being of the organization. Their revolutionary and effective financial model is explained in clear and understandable terms for decision makers in both large and small nonprofit organizations. "The Linzers are revolutionaries in the nonprofit financial world and leaders should take notice!" --Martha J. Perry, associate executive director, McCune Foundation "A great book for any board member of a nonprofit organization." --Michael Schlesinger, attorney, author, lecturer, and commentator in the field of taxation "Nonprofits now have a choice: Muddle along from crisis to crisis or follow the advice in this excellent, innovative book." --Irene Y. Namkung, past board president, the Western Arts Alliance, Northwest Folklife, and Oregon Potters' Guild "It's heresy, but it works. The Cash Flow Solution presents solid steps to financial sanity in the nonprofit boardroom." --James A. Kolb, West Sound Academy "From time to time a book makes so much sense you wonder why someone did not write it a long time ago. Richard and Anna Linzer's book "The Cash Flow Solution" is such a book. The principles are as fundamental and rock-solid as they are innovative. Applying their suggestions could help many troubled organizations survive and thrive. More importantly, the Linzers' insight could lead many nonprofits in coming closer to fulfilling their potential to deal with the many needs of our society." --Mike Pedretti, Artistic Director and President, Movement Theatre International

Download or read book Nonprofit Stewardship written by Peter C. Brinckerhoff and published by Turner Publishing Company. This book was released on 2004-09-30 with total page 282 pages. Available in PDF, EPUB and Kindle. Book excerpt: In an environment of increasing competition and eroding trust, nonprofits are under pressure to up their ability to deliver on their mission. Stewardship is a paradigm-shifting way to view your role, your board, your staff, your funders, and yourself. Understanding that the nonprofit is rooted in its ownership by the community helps break the boundaries of turf and fragmentation that prevent sustainable impacts. Author Peter Brinckerhoff, internationally known expert at helping not-for-profits get more mission for their money, explains why stewardship is the smart thing to do and how you can use it to transform your organization. You'll discover: The eight characteristics of a mission-based steward; The various stewardship roles that exist in your not-for-profit, and why each is essential in a well-functioning organization; Three surprising truths about your not-for-profit; The nine characteristics of a successful not-for-profit; Fifteen warning signs of trouble in your organization; Stewardship-rich ways to view your finances, your budgeting, and your financial reporting; A refreshing new perspective on the relationship between funders and not-for-profits; Crisis management tools that really work; A stewardship self-assessment to use now as a starting point, and later as a reference point to measure your progress. Comprehensive, passionate, and practical. Dozens of real-world examples make this book relevant. End-of-chapter discussion questions reprise key points and reinforce important ideas. Nonprofit Stewardship is recommended for leaders of all types of not-for-profit organizations serving individuals, the local community, the state, the nation, or the world. Also recommended for donors, grant makers, government agencies, and others who fund your work.

Download or read book Nonprofit Finance a Practical Guide written by Sheila Shanker and published by Createspace Independent Publishing Platform. This book was released on 2015-02-03 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Written by a CPA with extensive experience with the nonprofit sector, this book guides finance professionals and boards of directors on the typical issues facing nonprofit organizations, including financial statements, taxes and grant situations. Specific topics covered in this publication include: Net assets, net asset releases, pledges, fundraising events, internal controls, and budgeting. The author's own experiences with the topics and recommendations are unique features of this book.