Nonprofit Finance Fund’s third annual State of the Sector survey shows 2011 is expected to be another difficult year in the nonprofit sector. Yet organizations are adapting to meet the challenges.

Nonprofits are responding to the “new normal”  – a continual increase in demand for services every year since 2008 coupled with increasingly scarce resources.  At the time of the survey, 60% had three months or less of cash on hand, and 10% of respondents had none.

In spite of financial difficulties, the report on the state of the nonprofit sector shows that nonprofits are providing more programs & services.

Nearly 60% of respondents indicated they are planning to expand their programs or services and 50% plan to increase the number of clients served.

Amidst the range of actions nonprofits are taking to address their financial situation, nearly 50% of nonprofits include “raise more total revenue than expected.” This planned action is an increase from approximately 35% of respondents in 2010.

Unrestricted operating support and capacity building funds top the list as the most helpful contributions supporters could make for a cause.  Additionally, 61% of respondents indicated that assistance with fundraising would be helpful.

You can view the summary of the State of the Sector survey here:


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