Navigating Nonprofit Financials - Exponent Philanthropy

Navigating Nonprofit Financials

Search for Additional Resources

Before you recommend a grant to a nonprofit, consider reviewing its financials. Financials are easy to access in many cases, and they contain a host of insights into how the nonprofit operates.

Not every grant warrants in-depth financial review, of course, and not every nonprofit has the capacity to produce perfectly polished financial statements. Some foundations right-size their due diligence, spending more time reviewing financials for new grantees, large grants, or complex grants.

Keep in mind: Financials are just one way of looking at any multifaceted organization, and the stories behind the numbers often are more important than the numbers themselves. Always review financials with a mind to an organization’s unique circumstances and always supplement financials with other information about the nonprofit’s programs, outcomes, staff, and board.

Full article includes sample documents.

Login to Read More

Exclusive Member Content

Join Now