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The Pros And Cons Of Nonprofit Organizations

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Define by the business dictionary, Nonprofit organizations(NPO) are associations, charities, cooperatives, and other voluntary organizations formed to further cultural, educational, religious, professional, or public service objectives. A large number of nonprofits are human service organizations providing services for those who in need of mental health, housing, and other helping services. NPOs are funded by a number of different sources, According to to the National Center for Charitable Statistics (NCCS), “over 1 million public charity nonprofits existed in the United States in 2009, funded by $1.4 trillion in revenues from contributions, gifts, and grants (22 percent); program service revenues, including government contracts and fees (67 percent) and other sources, including dues and special event income (11 percent)” (NCCS, 2010). Although the numbers do sound nice, the financial states of most nonprofits are not doing well, funding for social services and organizations are expected to decrease.
Traditional ways of fundraising have become less productive, so NPOs are now left to find different ways to fund their organizations. Sources like federal, state, and local grants can help fund nonprofit organizations, but they are a bit difficult to receive. Other non profits are also trying to find ways to fund their program, so all are competing for the same grants. This leaves organizations to find ways to fund their organization, in that process many may lose their

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