Showing posts with label finances. Show all posts
Showing posts with label finances. Show all posts

Saturday, October 17, 2015

"HUNGRY, ANYTHING HELPS"

Cardboard signs abound on many corners in Portland, Oregon. And behind them are invisible people. Some profit handsomely, some take turns working shifts, and many are exploited.  Handing people money rarely solves a problem. The best way to help is to financially support local pantries, shelters, and churches that are set up to serve the public or volunteer your time.

This is an update on consulting work with a church in S.E. Portland. Their initial goal was to launch a community pantry in a diverse neighborhood with higher than average food insecurity.

After nearly a year of probono work, it has been well worth the small investment of time.

The pantry team has doubled in size, and added several community partners. The pantry served 12 families in January. Growth has steadily increased and in the month of September, the pantry served 73 families.

This group is mirroring Jesus's words to feed the hungry. Hunger is what happens when a person doesn't have enough to eat. And it begins to impact a child in school, or a parent at work.

Food insecurity refers to a long list of problems that contribute to hunger-job loss, no high school diploma, loss of housing, no affordable child care and more.

Addressing food insecurity requires building relationships, identifying needs, assessing readiness, community partnerships, financial resources and a huge core of trained volunteers. 

Pantries offer emergency assistance, and give families time to improve their financial circumstances to prevent food insecurity as a way of life.






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Sunday, June 23, 2013

Changing Course: How to Reverse a Negative Financial Trend

Many churches and nonprofits have experienced a decline in donations since 2008, however others have rebounded or even thrived during what has been touted as the worst economic recession since the great depression. Why do some organizations flouder and others thrive? Many variables may be present, but here are a few worth considering.

Resilient organizations are highly visible, and have flexible and efficient, even robust business systems. Financial practices are in sinc with economic conditions. Do not tap into restricted funds to solve a short term monetary crisis. Instead they rapidly roll out a contingency plan to meet the prevailing situation. One method for contingency plans as part of a strategic financial plan is the use of trigger point finances. If revenues fall 4%, 8% or 10% short of projections, there should be pre-set specific plan to cut corresponding expenses to balance the budget. Too many organizations wait untiil their finances are down by one-third or one-half to act. By then they are ringing their hands trying to figure out what to do. Though painful cutting expenses is the only way to prevent drowning in a sea of red ink. The next step is to generate additional revenue streams to bolster the organization financially. Some humanitarian organizations manage thrift stores to provide added revenue. Many churches rent part of their facility to various groups. Before adding revenue streams consider your marketing mix. Who are your customers? What are their needs? How much expendible income do they have to spend? Is there a market for your product or service? Is there nearby competition? What investment of time and resources is required to operate the new revenue stream? Is there an exit strategy if the plan fails?

Whether the economy is good or bad, healthy organizations need a reserve or emergency fund. A two month reserve was once considered adequate. Due to changes in legislation and the prospect of future inflation, Boards should seriously consider building their financial reserves, putting tangible assets to work to create additional income and eliminating debt. Financial reserves should be used for emergencies only, and emergencies should be defined in your policies and procedures. It would be wise to cap how much of the reserve can be used for an emergency situation. Drawing on an emergency fund should be a very temporary solution to help the organization regain its balance when it has rolled out a new contingency plan. An emergency fund should never be used to sustain the same level of servies or salaries that preceded a financial emergency.

Third, evaluate your facility or other assets to see if they have been put to the highest and best use. Healthy organizations make efficient use of space to generate revenue. This also provides the opportunity to build relationships and collaborate on projects that benefit the community.  Difficult times require a high degree of creative problem solving and cooperation. There is no room for sentiment. If a space is not being used efficiently, reassign the use of space in such a way that the building or asset is used to its full potential. There are churches that operate as little as three hours a week. Some may staff the office with volunteers a few hours a week. No other business operates with so little investment of time. If you have a small business with space that is not used efficiently, consider partnering up with additional businesses under one roof and divide the cost. Sharing resources reduces overhead expenses.

Lastly, eliminating debt will improve cash flow and risk associated with defaulting on a loan. Get on the fast track by setting a timeline to be out of debt. The devise a plan to meet the timeline. Otherwise comfort will guide the organizations financial management practices. There is nothing comfortable about tighting your organizational belt. Donor money should be used to preserve assets, improve resilience or build an organizations capacity to serve. Donors should not be asked to pay helfty loan fees and interest. Organizations that use deficit financing or rely on factoring services to maintain adequate cash flow, need to reconfigure their financial management practices and learn to live within their means.

Friday, June 14, 2013

Encouraging Church Resilience


 Encouraging church resilience is a six part workshop series. Each workshop can stand alone, be delivered in a six week series or a full day workshop.

Ten Ways to Bolster Church Finances
Many churches are struggling to pay bills or expand ministry. In this workshop attendees will learn four practical steps to improve finances. In addition, break out groups will address specific skills to boost church revenues.

Opting In: How to Create a Culture of Service
Research says that a few members carry the work load. This can lead to burnout. This sub-topic addresses how churches track and improve participation?

Public Information Officers in the Church-What’s Next?
Is your church invisible? If it closed its doors would anyone notice it was gone? Public information officers can play a unique role in improving visibility. Listen to some astonishing principles the church can apply to revitalize ministries.

Hamming It Up: The Role of Amateur Radio Teams
Communications are a essential to resilience and sustainablity. Redundant communications help the faith community serve each other and others expecially during times of adversity. Amateur radio has applications for missions, building community partnerships, and maintaining resilience and serving others during adverse conditions. 

Safeguarding Our Most Precious Resource: How Safe Is Your Child Safety Plan?
The world has changed and child safety has become a major concern in churches. Failure to address child safety may lead to harm, criticism and legal consequences. Churches also need policies and procedures that outline how to safety Reunite  children who have been separated from parents or caregivers following a critical incident.

Nurturing Church Workers
Research indicates new church workers are not adequately supported emotionally or vocationally. Expections lack clarity. Without a fair appraisal process, imrovements are not made causing small problems become big problems. Learn how to implement processes that help develop new resources perform well, mature and in turn develop others.

Monday, June 10, 2013

Making Every Dollar Count



Making Every Dollar Count
This is a basic workshop aimed at helping nonprofit organizations leverage every type of resource. Nonprofits often lack finances and manpower to fulfill their mission effectively which can lead to discouragement. Learn how to find compatible partners, and negotiate simple resource sharing agreements. Project work groups allow small nonprofits to become stakeholders in larger projects by working together. In this workshop you will discover ways to improve your  organization's capacity by learning abou the following concepts:
 
  • What Are Resource Sharing Agreements and Why Do They Matter?
  • Understanding the Value of  Strategic Alliances
  • How to Design and Manage a Project Work Group