Written by Christiana Charles-Iyoha
Non governmental organizations are non
profit organizations that most often are donor dependent. Projects, staffing,
quality office space and equipment are largely dependent on the generosity of
donors and where donor generosity stops, the life span of the NGO most probably
comes to an end. Having worked in the sector for close on twenty five years, I
have seen many great NGOs with huge potentials for contributing immensely to
human, national and global development close shop because they could no longer
access donor funds, a function of donor fatigue coupled with dwindling AID and
donor funding. This calls for creative means of achieving financial
sustainability in the sector so that in the long run, NGOs can exist without
donor support. A rather tall dream for people and organizations who are known
as non profits, unschooled in raising cash flow from assets because they have
always being schooled in raising grants and donations. Though a rather tall
dream, what is required is a mental and institutional paradigm shift from donor
dependence to organisation’s cash flow from assets dependence implying that non
profit organizations must learn to build assets. This is critical because
grants will continue to dwindle and donor fatigue will increase. Secondly, you won’t
need to work at pleasing donors; conform to their agenda to work at their pace
at the risk of displeasing your constituency. You will work at your own pace,
follow your own agenda and actually implement projects that are relevant to the
needs of the constituency or communities you serve.
Assets however do not drop from the sky.
Money is required to build and maintain assets. How then do organizations who
do not earn income from business transactions suddenly acquire assets? Several ways if you adopt the business approach
to NGO management. Though NGOs are non
profits, they can also participate in profit making ventures that earn income
for the organization and not the Trustees of the organization. Therefore NGOs
should actively engage in business activities that do not detract from the vision
of the organization but earn and adds income to the organization. This way,
NGOs become social enterprises that both serve their constituencies’ interests
as well as generate income to remain afloat in providing social development
services.
Some
money making initiatives include but are not limited to:
Harness vital information for development
in special packages and market same.A
number of NGOs have over time through their various interventions developed
pools of useful and relevant development information that is critical to
development planning and interventions. Such wealth of information should be
traded for good money which the organization should reinvest in more profitable
income generating activities to ensure the financial sustainability of the
organization.
Package
such knowledge into books (print, electronic and audio and sell.) Such
knowledge can further be documented into other formats in which knowledge can
be gained such as documentaries, research and research data all of which the
organization can convert into money. You can build an empire of knowledge
resources that transforms as an organization and sell. Information thoughtfully mined and processed
with a target audience in mind is a very expensive product that can be sold by
subscription. Advertise the information products you have for sale.
Training
Be so knowledgeable that your knowledgebase is
in constant demand. Therefore organize training, physical and online, document
knowledge in publications, preferably how to books that can help other people
and institutions do their work effectively.
Provide a Service
A
number of NGOs provide subsidized fee paying educational services, health
education services, potable water provision in rural communities, agricultural
development services and just about any service that helps to improve the
quality of lives of people.
Consultancies to Government and the
Private Sector Build and maintain a well linked website –
make money on the website through affiliate marketing and taking on
advertisements. Blog on the website and convert the
blogposts to an e-book as well as an audio book and make some cool money.
Create a channel on YouTube. Share
training and other development videos and monetize your channel.
Get a short code and share vital
information for a fee. Evaluate the capacities of
your organization in terms of staff strength, expertise, knowledge base,
commitment to development, skill sets, equipment, contacts, mission and vision
statements and explore how you can commercialize some or all of these to
leverage financial resources for sustainability purposes. 
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