Taking commercial risks as a Charity Leader

As a leader of a non-profit organisation, you need to be adaptable, resilient, and willing to take risks.

Staying true to your organisation's values and goals, will be second nature and it’s also important to ensure that programs and services are financially sustainable over the long term. Traditional sources of funding are extremely competitive and are accompanied by onerous conditions that can be tough for a charity with limited resources.

Prioritising, the growth and diversification of income is essential for sustainability. Exploring opportunities for earned income and commercial opportunities can provide unrestricted income, and a new set of stakeholders which can be hugely beneficial.

This can require making bold decisions and requires a willingness to explore unorthodox opportunities. This means understanding the organisation's strengths, finances and commercial opportunities.

The planning process needs to give room for creative ideas around income generation recognising that a well-defined strategy that looks at the potential for new partnerships, donor engagement and earned income can help charities become more resilient and less dependent on stifling funding regimes. Very often charities have to spend so much time reporting and meeting the requirements of funders it can drain resources and have a negative impact service delivery. This can also have an adverse impact on the culture and motivation of teams.

Despite the challenges, leading a non-profit organisation can be incredibly fulfilling and rewarding. By staying focused on the ‘why’ and thinking outside the box, leaders can create positive change that has a significant impact on their financial bottom line as well as society.