Just like businesses, nonprofits should diversify their revenue streams. Apart from donations, grants, and major gifts, it's important to develop ways to help your nonprofit become more self-sustaining. Having diverse revenue streams helps your organization not only stay afloat when times are tough but also thrive and make a bigger impact on a day-to-day basis. Let's explore four ways your nonprofit can diversify its revenue streams.
Open up Shop
Have you ever considered selling merchandise? Consider branded tees, mugs, caps, and more. Resources such as Printful make setting up shop a snap. Printful offers a large variety of merchandise and accessories and easily integrates with most website platforms. The biggest perk is that Printful dropships - that means customers order, you earn, and Printful fulfills and ships for you! We also wanted to highlight The Other Side Academy. This nonprofit organization is self-sustaining with its enterprises that fund their nonprofit. The Other Side Academy has a thrift store, a moving company, and sells succulents and donuts.
Offer Memberships
Create a stronger sense of community and grow your network by offering paid memberships. A great example of this is the memberships offered through the nonprofit Strong Towns.
Their basic membership includes options such as:
- Member-exclusive email updates.
- Discounts on Strong Towns Academy courses.
- Discounts on National Gathering Tickets.
- Annual Membership Meeting.
- Access to Office Hours with Chuck Marohn and Staff Members (weekly).
- Invitations to local member meet-ups when Chuck Marohn and other staff are traveling in your area (circumstances permitting).
- Early access to new merchandise offerings.
Try building a similar package. Can you offer discounts? Event passes? Offer special member recognition? What other creative offerings can you provide in a membership?
Discover Passive Income
There are many ways to generate passive income. Affiliate fees, paying YouTube subscribers, or product partnerships that donate a percentage of revenue earned to your nonprofit. You could even start a podcast and make money from advertisers.
Events
Events are a great way to diversify your revenue! For example, your nonprofit could give inspiring public speaking engagements at local universities. You could charge for educational workshops, concert events, galas, fashion shows, marathons, bowling, and golf tournaments.
Benefits of Diversifying Revenue
The benefits of diversifying revenue are significant. You increase the longevity and resilience of your nonprofit. You create more opportunities for your nonprofit to help more people.
Strategic planning will often uncover ideas that can help your nonprofit diversify revenue outside of donations. Strategic planning takes a 360-degree view of the strengths, weaknesses, threats, and opportunities of your organization. This view can draw on your strengths while finding ways to build up your weaknesses and fortify your foundation and find opportunities that will help your organization to be resilient against threats. If you are ready for an unbiased look at your organization, contact Mighty Penguin today to start the strategic planning process.
