Nonprofit Revenue Sources

An excellent overview of the various sources of funding, from Nonprofit About.com, with several great links at the jump.

An excerpt.

“What your nonprofit does--your programs--is the highest priority for any nonprofit manager. Revenue generation is the second.

“New ways for nonprofits to raise revenue spring into existence every year, but where those funds come from stays pretty much the same year after year. There is also a basic inventory of methods that should form the back bone of your fundraising efforts. These are, literally, your "bread and butter."

“So, where do nonprofits get their revenue?

• Individuals are the largest source of funding for nonprofit organizations. According to Giving USA, total charitable giving in the U.S. reached more than $303 billion in 2009. Of that amount 75% came from individuals.

• Corporations give in order to get...exposure, publicity, community respect, market share. Their funding is more episodic, revolving around particular campaigns, events, and projects. Corporate funding can be a good source of support for new initiatives, special programs, and special events. Look for opportunities to form partnerships for sponsorships and cause-related marketing.

• Federal, State and Local Governments. Many nonprofit institutions benefit from all levels of government. Obvious examples are public education, higher education, and the public media. Federal, state, and local government grants fund many programs provided by nonprofits, especially in areas such as urban human service nonprofits, and healthcare. Grants.gov provides up-to-date information and a directory of federal grants.”