It’s no secret: nonprofits face a lot of challenges.
And for many organizations, understanding risk management is essential – essentially after a year like 2020. We know it’s an intimidating, but exciting, world out there. But as a nonprofit leader, we also know you have many tough decisions to make. These tough decisions are accompanied with risk – both large and small levels.
So with everything that you do, it can be challenging to know where your nonprofit might be vulnerable. That’s why Tosha Anderson, founder and CEO of The Charity CFO, brought on Ted Bilich to this week’s A Modern Nonprofit Podcast.
Ted understands risk management for nonprofits. Before founding Risk Alternatives LLC, Ted was a Distinguished Visiting Professor from Practice at Georgetown University Law Center. At Georgetown, his research focused on dispute resolution, complex litigation, preventive law, legal training, risk management, governance, and compliance.
With their combined years of experience working for and alongside nonprofits, this is an episode you don’t want to miss. Tosha and Ted discuss:
How nonprofits should define risk management?
What should nonprofits be considering and thinking about right now, in terms of risk?
What common and recurring risks occur when you (Ted) work with nonprofits?
How can nonprofits become more resilient and sustainable?
And more!
Ted Bilich of Risk Alternatives joins Tosha Anderson to talk about risk management in this week’s episode of A Modern Nonprofit Podcast!
Risk management is something that needs to be a priority for nonprofit and for-profit businesses alike―especially today. As we probably know, nothing is guaranteed in 2021. So, take a small part out of your day to understand the importance of risk management as it relates to the success and modernization of your nonprofit organization.
For listeners of A Modern Nonprofit Podcast…
If your nonprofit wants to use risk management and risk process improvement tools, check out Risk Alternatives. Ted’s organization trains and support nonprofits as they increase sustainability, identify risks, improve resilience, and gain clarity, peace of mind, and value. Visit this link to learn more.
Risk is everywhere, especially within accounting and bookkeeping. You don’t want to leave your finances up to chance or risk. That’s why you must schedule a free consultation with Tosha Anderson to talk about how your organization can benefit from outsourcing its accounting practices. Learn more about The Charity CFO and our services here.
And lastly, if you are looking for a community of nonprofit professionals and leaders to discuss topics like risk management and other not-for-profit topics, look no further than A Modern Nonprofit Facebook Group. It’s completely free and powered by The Charity CFO, so the amount of content and discussion is exclusive for members only! Use this link to request to join!
/wp-content/uploads/2025/03/fileuploads_222926_8055634_252-8e05624973e20b5de823aebdbcfd37df_LogoLeftAligned.png00Paul Cook/wp-content/uploads/2025/03/fileuploads_222926_8055634_252-8e05624973e20b5de823aebdbcfd37df_LogoLeftAligned.pngPaul Cook2021-04-19 14:25:242025-04-30 15:55:36Risk Management in the Nonprofit World with Ted Bilich
You probably know that there are many different charities with many different causes. In fact, you might be the founder or part of the leadership team for a nonprofit yourself!
Nonprofit organizations have a lot of causes and missions. But, we can get even more specific than that.
What Qualifies as a Section 501(c)(3) Organization?
According to the IRS, the difference between a private foundation and a charity has to do with the financial support it receives. Private foundations usually have a smaller donor audience and generate income from invested endowment funds. Then, they rely on this income to distribute grants to advance the nonprofit work of other organizations. An example of well-known private foundations include the Bill and Melinda Gates Foundation.
Public Charities (most common)
The most common type of 501(c)(3) is a public charity. Public charities can accept donations. These donations are tax-deductible. In fact, one can donate up to 50% of their income, while corporations/businesses may donate up to 10% before being taxed. Typically, pubic charities are governed by board members. Now, take a second to reflect: are you/are your board members working too hard on your accounting and bookkeeping? Are you, or someone on your board, trying to teach themselves accounting practices and specifics? You shouldn’t be trying to overwork yourself, nor feeling distracted from your mission. We encourage you to view our services and plans for outsourcing your nonprofit on our website, which can be found here.
Examples of public charities include churches, animal wellbeing agencies and educational organizations. What type of organization do you oversee? Share in the post comments of this article!
Private Operating Foundations
The last, and least common 501(c)(3) organization(s), is what we call a private operating foundation. Many see private operating foundations as a hybrid between a public charity and a private foundation. Both private foundations and private operating foundations aren’t criticized as much as other charitable foundations because donors have close ties to charities.
What Current/Future Board Members Need to Know about Charities
If you are ready to enhance, or begin, your nonprofit journey, we encourage you to check out A Modern Nonprofit Podcast, which is a weekly podcast series that The Charity CFO generates to help leaders, like you, maximize your mission. Also, make sure to check out A Modern Nonprofit Facebook Group, a community of leaders and professionals who converse about relevant topics every single day.
/wp-content/uploads/2025/03/fileuploads_222926_8055634_252-8e05624973e20b5de823aebdbcfd37df_LogoLeftAligned.png00Paul Cook/wp-content/uploads/2025/03/fileuploads_222926_8055634_252-8e05624973e20b5de823aebdbcfd37df_LogoLeftAligned.pngPaul Cook2021-03-30 15:37:222021-03-30 15:37:22How Do We Classify Charities?
More than 72% of adults in the United States have at least one social media account. These aren’t just people—they’re millions of opportunities for your nonprofit to have an impact on most of the country’s population.
If you’re looking to generate revenue for your nonprofit or spread awareness about a certain issue, you’re in need of nonprofit social media guidance.
We’re here to share exactly how to harness your nonprofit’s ability to make tangible progress using social media.
Nonprofit Social Media: The Basics
Before you even decide which platforms to use, you need to do two things:
Decide your goals (revenue, starting conversation, event attendance, sharing information)
Identify your audience
While your goals might be a combination of the above, and your audience may have a large demographic or age range, it’s important to strategize your social media before diving right in.
Below are a few categories your posts should fall into.
Hot tip: create a content schedule that posts different pieces of content. For example, you don’t want seven days in a row of community building posts. Mix it up by integrating informational posts, too!
Promoting Awareness
At the core of each nonprofit’s mission is education. Without sharing crucial information about the issue you’re combatting, your audience won’t see the value in the work you’re doing.
To get your audience engaged in the purpose of your organization, use statistics and infographics on Twitter or Instagram.
Build Community
Another way to generate a following on social media for nonprofits is to build a virtual community. Your followers want to feel like they’re a part of your movement, so let them in!
Do this by hosting live Q&As on Instagram or virtual forum meetings. Ask your followers to comment with a friend’s name or share their posts for more engagement.
LinkedIn is a great place to cultivate social networking for nonprofits, too, so try posting information there to gain a professional following. The cost of social network marketing is really just your time, so take a leap!
55% of the users who follow nonprofits on social media take action to benefit that organization. Considering some people use social media infrequently or just to share personal information, that’s a pretty great conversion rate!
Share Impact
Lastly, your followers want to know how your work is going. Be transparent and share statistics or stories with them!
Tell them how their donations are making your work possible. People respond well to stories, so get creative in how you share the information. Maybe have a volunteer of your organization or youth participant in your programming share the news!
Ideas for Nonprofit Social Media
Now that you have a sense of your goals and your audience, it’s time to get to it! Here are the top ideas for engaging social media posts that will get your nonprofit some well-deserved attention and donations.
Add Donation Buttons
Especially on Facebook and Instagram, it’s important to make it easy for your followers to donate to your nonprofit. Use Facebook’s charitable giving platform to show that you’re open to donations and encourage users to fundraise for you if they’re able.
Use Hashtags
Hashtags are the best way to get an organic following on social media, no matter the platform. Hashtags are like coding your content to get to the right people.
For example, if you’re sharing something for Giving Tuesday, use the #givingtuesday hashtag to show up in the feed. For more niche topics, use specific hashtags to get recognized, like #artmuseum, #omahaarts, or #donatenow.
Share Videos
If the rise of TikTok taught us anything, it’s that people love short-form videos. Some nonprofits have been taking advantage of this, and TikTok has even responded by adding certain features to support nonprofit fundraising.
Even if you’re not on TikTok, your nonprofit can still make short-form videos to educate the public on your mission.
For example, a museum can make a short video going through an exhibition or touring the building. A nonprofit focused on poverty alleviation can share statistics and footage from donation events or services they offer the community.
There are endless opportunities!
Develop a Style Guide
Using social media solidifies your brand. To build trust among your followers and any new communities, you have to have consistency across the board.
Even if you only have a couple of people managing your social media, develop a style guide with all the information someone new would need to create your content.
This could have a list of your researched hashtags, approved colors, and graphics, or resources for posting techniques. This will ensure that your voice and branding is cohesive for your followers.
Pro tip: Use a free design platform like Canva to keep everything branded and stored!
Use Stories
While many people enjoy perfectly curated content, it’s important to shake it up a bit by using stories on Twitter, Facebook, or Instagram.
Use stories to show the day in the life of an employee or use engaging stickers like polls. This allows you to learn more about your audience and create fun content!
Keep up With the Times
Even if you use a content calendar to schedule content ahead of time, make sure that you’re keeping up with your platforms in between. Like, comment, and engage with other content and accounts you follow.
This helps the algorithms in these platforms see you as a contributor to the platform in multiple ways, instead of just posting.
As the events of 2020 and early 2021 have proven, it’s crucial that you keep up with what’s happening in the world. You don’t want your content to seem insensitive, so make sure your calendar is easy to adjust and that you’re flexible in what you post.
Going All-In on Social Media
If your nonprofit social media is ready to take off, congratulations! Using social media to get people interested in your work and cultivate new donors is a huge step towards furthering your mission as an organization.
When you’re ready, use these nonprofit social media marketing tips to gain new followers and keep them inspired by your work.
If you’re looking for more information on how to make your nonprofit successful, check out the rest of our blog.
We help nonprofits strategize their operations and services to be as efficient as possible. Check out our services and contact us for more information!
https://thecharitycfo.com/wp-content/uploads/2025/04/socialmedia-mn2s.jpg651860Paul Cook/wp-content/uploads/2025/03/fileuploads_222926_8055634_252-8e05624973e20b5de823aebdbcfd37df_LogoLeftAligned.pngPaul Cook2021-02-01 15:51:112025-04-30 15:50:03Crafting an Online Presence: A Guide to Nonprofit Social Media
There are around 1 million nonprofits in the United States. Many of them struggle creating value-driving metrics.
The vast number of nonprofits shows how difficult it may be to find funding if you are considering a nonprofit. You may realize that in order to succeed as a nonprofit, you need to find resources and people who are interested in contributing to your cause.
Another study stated that around 30% of nonprofits failed after 10 years. With such a high risk of failure, it’s important for nonprofits to figure out how to be successful.
Part of nonprofit success is dependent on reporting metrics. Value-driven metrics are what current and potential funders might be interested in when looking to fund your nonprofit.
Here are some key reporting metrics you need to keep an eye out for if you want to attract funders. Ultimately, this is how you create value-driven reporting metrics.
Return on Investment: Creating Value-Driven Metrics
One of the most critical reporting metrics is the return on investments. This is your ROI and how much you are making from your nonprofit.
It’s one of the metrics you can look at and decide how successful it is and if it’s getting the funding it needs to make a difference.
This is where you compare the cost of raising the event and paying for catering and a place to host the event and then compare it to how much was actually raised. You may have broken even, made a profit, or had a loss.
If you want to calculate your ROI for a nonprofit, you would want to divide total costs by total funds raised. This gives you an idea of how much is making from your nonprofit.
It can also give your investors or funders an idea if your nonprofit is successful and attracting interest.
Average Gift Price: Creating Value-Driven Metrics
Another metric to look at is how much a gift is when someone donates to a nonprofit. You want to see how much each gift on average is worth, which gives you an idea of how much people are giving to your nonprofit.
Metrics are important to help guide your nonprofit and your bookkeeping.
You can also see how many gifts in a specific time frame. You may know the average price per gift, but you still need to know how often you are receiving these gifts.
You can also see how many gifts you are receiving from specific donors. This allows you to segment your donors and see what donors in a specific market donate to your nonprofit.
Conversion Rate: Creating Value-Driven Metrics
The conversion rate is how many people actually gave your cause based on how many you asked.
You want to see how many of your target markets is giving to your nonprofit if you asked them over email or set up a link online.
Another way to look at the conversion rate is to see how many people are giving based on your outreach. You want to see how many people are donating on social media, email, websites, referrals, and more.
You can see how many people actually clicked on your link and committed to donating to your cause. You can then measure your conversion rate and compare it to other nonprofit organizations.
Another valuable way to look at the conversion rate is to see what channels provide you the most donors. If you discover that some channels provide more contributors to your nonprofit, it may be best to focus more on your content and marketing on fewer channels that are more successful.
Website Visits: Creating Value-Driven Metrics
If your nonprofit has a website where people can choose to visit and donate, you need to make sure you have Google Analytics are some other measuring tool to see what’s happening on your website.
Funders who are evaluating your nonprofit may look at website visits and see how many people you are attracting to your nonprofit. They will want to see how many clicks you are generating and how many pageviews there are.
These metrics are important because you want to see if people are engaged with your mission and what you are trying to do in your nonprofit. The better your website is designed and the easier it is to use, the more likely people will hang around longer on your website.
You’ll also want to see if people are specifically clicking on your call to action. Also, you will want to see if they are donating to your cause. This will provide insight on if you need to change the call to action or there’s a general lack of interest in your nonprofit.
Email Marketing Metrics
The final value-driven metric you need in your nonprofit that can give you insight on how to improve any part of your nonprofit is email metrics.
If you have an email list and send emails asking people to donate to your nonprofit, you need to look at the open rate, the click-through rate, and how much you are earning per email.
You want to see if your subscribers are donating based on the emails you are sending. These metrics can give you insight into if you need to make any changes with your emails regarding a subject line or body content.
Now You Know Everything About Reporting Metrics for Nonprofits
Value-driven reporting metrics are a great way to analyze the success of your nonprofit. It can help you determine what changes need to be done. This way, you can attract more investors.
While these metrics can be overwhelming, learning can help you increase funding. You will be able to optimize ways to ensure the success of your nonprofit.
If you want help with your nonprofit, you can contact us here.
https://thecharitycfo.com/wp-content/uploads/2025/04/what-are-KPIs-2.jpg12742000Paul Cook/wp-content/uploads/2025/03/fileuploads_222926_8055634_252-8e05624973e20b5de823aebdbcfd37df_LogoLeftAligned.pngPaul Cook2021-01-12 22:07:032025-04-30 15:49:41How to Create Value-Driving Reporting Metrics
Are you looking for new ways to keep up with the hustle and bustle of your nonprofit organization? Have you noticed that the bookkeeping is starting to slip by the wayside? If so, then you need to create a nonprofit operating budget and learn how to manage it effectively.
Doing so can help ensure that you’re staying on task. you’ll find yourself with more financial peace of mind after knowing that there’s a specific purpose for every dollar you raise.
See below for an in-depth guide on how to create a nonprofit operating budget to get yourself back on track. Be sure to consider everything that’s listed.
1. Set Aside Time with Your Team to Manage your Budget.
Perhaps this is the first time that your organization will be addressing the budgetary needs that you have. Maybe it’s been so long since you kept a budget that you need to reassess where you are currently.
No matter the case, it’s important that you set aside time to hash out a new budget with your team. Find a time period where at least one person from each department can offer their input.
For example, if you have an in-house marketing coordinator, be sure to clue them in on your new budget to ensure your marketing needs are being met.
You’ll find that a great deal of this meeting will be compromised. Don’t get discouraged if it feels like you can’t get anywhere at first. It’s all about compromise. Every department will feel like their side of the operations deserves a higher portion of the budget.
If you need assistance with building your budget, then you can also decide to outsource it to a nonprofit accounting and bookkeeping service. If you need help creating a nonprofit operating budget, The Charity CFO is an expert accountant for charities.
2. Gather Data
You might be wondering to yourself “where am I supposed to come up with the numbers? How would I know how much to budget for marketing, events, fundraising, and so on?”. By looking at the previous data.
They say business is all about learning from the past; building a nonprofit operations budget is no exception.
Gather up all your bank statements from the checking account you use for your nonprofit’s finances. This might be overwhelming at first, but take a deep breath and give yourself a few weeks/months to comprise all the data (if necessary).
Decide which expenses fall under the umbrella of the different departments of your business, then add them up on a month by month basis. Did you spend more than you raised in previous months? Are you overspending in one area of your organization?
If need be, sit down with each department chair individually to assess the money you spent and the areas in which you could cut costs. This will give you a better idea of the amount you can set for that department’s monthly budget.
Nonprofits are all about the activities and events that you both attend and organize for your faithful following. It can lead to some tremendous fundraising opportunities.
However, too many nonprofits design their budget without considering those activities first and foremost. They’re then thrown out of whack when they can’t find the financial room to either attend the event or put on an activity that represents their brand in the right light.
Start by scheduling your activities as far out as possible (preferably a year out). How much money needs to be allocated to those activities? Which ones take priority?
As much as it might hurt, this is a great opportunity to cleanse your schedule of any activities that you aren’t seeing great returns from.
4. Properly Estimate Income
Planning income and expenses for a nonprofit can be challenging, but it isn’t impossible.
First, be sure to list your estimated income if different tiers of risk. This should be prioritized from “least trustworthy” to “most risky”.
For example, say you organize 4 groups for your income sources: group 1, group 2, group 3, and group 4. You might decide that people listed in group 1 are “most trustworthy”, meaning they’re most likely to donate generously and often.
Let the data guide you while you estimate this part of the budget. Put your most frequent sources of funding into group 1, the least frequent in group 4, and so on.
5. Put a Job to Every Dollar
Disclaimer: the job of your budget isn’t to primarily track the money that you spend. It’s to assign a job to every dollar that you raise for your cause.
For example, (for the sake of simple math), say that you budget to receive $1,000 in funds for this upcoming month.
You might consider putting $200 towards donations, $500 towards operations for the month, $200 towards activities and events, then have $100 leftover. This is the wrong way to do it.
You need to budget for all $1,000 in funds that you receive, down to the very last penny. If things change (which they often do), then your budget can be adjusted. Your ability to create a nonprofit operating budget also involves some critical thinking!
What You Can Do Today
Now that you have seen several effective steps that you need to take when building a nonprofit operating budget, it’s time for you to do so the right way.
Be sure to read this article to learn more about how to raise money with virtual events for your nonprofit organization.
And for more inquiries on our ability to be an expert accountant for nonprofits, be sure to reach out by requesting a meeting and we will be happy to discuss our bookkeeping services.
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Despite the cold temperatures, themes during the winter months are warm and optimistic. For example:
Thanksgiving: A holiday focusing on gratitude and appreciating what one has.
Christmas: A time spent feeling grateful for being with and giving to others.
Giving Tuesday: wait, you might ask, what is that?
It’s completely okay if you don’t know the specifics, or haven’t heard of, Giving Tuesday!
Giving Tuesday is a “global generosity movement unleashing the power of people and organizations to transform their communities and the world,” according to its website. And everyone can get involved! If that’s by donating to a charity, volunteering for a nonprofit, or performing random acts of kindness, you can do good this year.
Giving Tuesday is very important for nonprofits because it is a time for charitable donations and significant contributions from the greater public. We at The Charity CFO are proud to work with hundreds of nonprofits every day, and you can view our scope of work on our website here.
This Giving Tuesday, give if you can to the organizations that help make our communities great. With the COVID-19 pandemic, there has been no greater need for nonprofits to continue to help those who may be struggling.
Is your nonprofit hoping to find financial balance after Giving Tuesday? Schedule a time to talk with The Charity CFO and book a FREE STRATEGY SESSION here.
https://thecharitycfo.com/wp-content/uploads/2025/04/GivingTuesday-logo.png545767Paul Cook/wp-content/uploads/2025/03/fileuploads_222926_8055634_252-8e05624973e20b5de823aebdbcfd37df_LogoLeftAligned.pngPaul Cook2020-11-30 19:00:232025-04-30 15:45:24The Importance of #GivingTuesday in 2020
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