Are you looking at your earned revenue potential?

Non-profit leaders, are you looking at your earned revenue potential?

Zoot Velasco who studied small nonprofits that thrived during the recession found that what they had in common was that they focused on earned revenue strategies before philanthropy and grant seeking.

  He coined the term “Social profit “ rather than nonprofit organizations. 
In this dynamic, there is a direct relationship between the need, the organization’s solution, and the customer for products or services.

This is not to the exclusion of philanthropy or grant seeking but makes the organization less reliant on those sources of revenue.

Most nonprofits can tap into these three earned revenue streams …
1.      Social enterprise – selling a product or service that meets a social need.
2.      Government contracts—where the government pays the organization for providing a product or services that they would otherwise need to provide.
3.      Fee-for-service, where the organization charges for the separate services it provides.

Now You: do you like the term social profit vs. nonprofit and why?

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