Question

Money matters -- and it really matters in the nonprofit sector. Yet a proper system of accessing capital does not exist in the nonprofit sector the way it does in the private sector. Through a combination of philanthropy, government support and/or contracts, and if applicable, earned revenue, nonprofits cobble together revenue to survive and deliver services.

• But is this any way to grow or sustain a sector?
• Is there a better way?
• Please include 3-5 paragraphs.

Answer 1

Both in the profit and non profit sector,money plays a major role.A nonprofit organisation is started to serve poor people.They usually adopt people who are disabled,poor,orphans,etc.Non profit organisations require capital to run the organisation for a good cause so that they can sustain in the sector.The capital which is collected is used to help needy people.

Profit organisations collect capital in a specific manner by issuing shares to the public.But,nonprofit organisations doesn't have a prescribed manner.They randomly contact individual person or an institution  and explain their motive to serve needy ones.If these institutions and individual persons are satisfied or impressed by the explanation,then they tend to contribute capital funds to the non profit organisation.In this way,management staff of non profit organisation contact many people and ask for funds.The earned capital funds are utilized to carry out main purpose of the organisation like providing services to the needy people.

But this is not the way to grow or sustain in the sector.There are many other ways to earn capital.Non profit organisations need to work on the various methods which help in gathering capital.Non profit organisation's prominent goal is to serve needy and disabled people.It is natural that every person tend to posses a talent or skill.Non profit organisation need to identify the skills of needy and disabled people and should take necessary measures to develop or improve their skills by making them proficient.By their skills they will be able to prepare handicraft things.Now,these handicraft things should be sold to the consumers.These days consumers are attracted towards handicraft and handmade items.Therefore,as demand is high,non profit organisations will gain high sales and this revenue can be used to help the needy and disabled people.Even organisation will sustain in the sector for long time.This is one method of earning capital funds.

Few nonprofit organisations save people,nature,animals,etc.Videos can be made where needy people describe their problems.These videos can be sent across social media.Many social media users view these videos and few might contribute.In the same way other campaigns can be started where importance of plantation and saving animals is highlighted.By these methods,nonprofit organisations can derive huge capital.

Hence,these are better ways where a nonprofit organisation can survive either by selling handicraft things or by letting donors know the problems of needy people.Nonprofit organisation can gather capital funds by these methods and grow immensely in this sector.