Budgeting and Planning

Not all budgeting is created equally.  For nonprofits especially, it can be difficult to project uncertain revenue streams and to fully capture the full costs of running programs.  

I help nonprofits to break their budgets out by programs, to effectively project revenue, and to split shared expenses across their grants and programs.  That's just the beginning.  With accurate budgeting, we can use budget to actual reports to track fundraising and spending, run scenario budgets for uncertain futures, and have confidence in the organizations's future. 

Aspects of Budgeting and Planning

Planning and Stress Relief

I've helped dozens of organizations create their annual budget and implement it throughout the year so they can track their actual activity to their planned activity.  This process of planning and having confidence in the plan relieves stress.  

Building an Operating Reserve

Budgeting starts with the operating reserve.  Does your organization have an operating reserve of 3-6 months.  Do you know what this is?  If not, then I can help you create a plan to achieve it.  The budgeting process has a strategy with a beginning and an end. 

Budgeting By Program and Getting the Most Out of your Grants
Your organizational budget should be broken out by program. Each program should show it's own income and expenses.  These expenses should include a fair share of the shared operating costs such as rent and management staff's time.  With complete program budgets, grant proposals can be written that include these costs.  Too often grant proposals only include the most attractive 40% of the program's true costs.  This leaves the organization struggling to pay for the rest.
Revenue Projections
There is a science to accurately projecting uncertain futures.  This is the essence of nonprofit revenue projection.  By using several revenue projection techniques and analyzing them together, we are able to get an accurate projection of your revenue.  These revenue projections inform your fundraising plan. 
Shared Operating Costs (Indirect Costs)
With changes to GAAP, nonprofits now need to explicitly state their functional expense allocation methodology.  Don't know what this is?  Don't worry.  I can help you implement a consistent, coherent system so that your programs and your grants are paying for a portion of all of your expenses.  
Compliance with Generally Accepted Accounting Principles (GAAP)
GAAP has new requirements for nonprofits accounting standards.  I stay abreast of all changes and help my clients to stay in compliance. 
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Contact:

joe@mightynonprofits.com

(415) 999-7439

Oakland, CA

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