One way to mitigate any potential effect of tax law reform on your nonprofit organization is to develop sustainable revenue streams. Many nonprofits today are looking to create revenue-producing services to supplement donations and grant revenue.
What sort of ideas are being implemented?
Social Enterprise A local food bank created a recycling entity as a response to their own need to dispose of crates and boxes received with food shipments. A nonprofit providing nutritious meals to low income students expanded their program into a professional kitchen providing culinary and nutrition training to parents and employing the parents in a catering business. And there is an energy resource entity providing free energy assessment and repair services to low income families that expanded their program to provide the same energy assessment services to the public for a fee.
Rethink the Gala A favorite topic of mine is the re-creation of the annual gala. I happen to enjoy getting dressed to the nines and attending fabulous events but the cost of such events these days is cutting into the profits realized by the organizations. Alternatives we have seen include poker tournaments, refugee-led cooking classes highlighting cuisine of their homeland, and a dance competition pairing local business leaders with dance instructors for a final dance off. Fun!
With more than 2,000 nonprofits served by Eide Bailly, we have significant insight into how those organizations are staying relevant and also viable. Contact us today to discuss your ideas on expanding your community impact.
The recent US Supreme Court decision that overturned Quill in the South Dakota v Wayfair case has many states making or considering law changes related to sales tax compliance for out-of-state sellers.