Ways for Nonprofits to Slash Costs but Not Productivity
As donations, government support, and other revenue streams drop while costs rise in the age of the pandemic, many nonprofits like yours are left in a difficult situation. While cutting costs can help you survive, you also don’t want to lose access to critical resources. Thankfully, there are several ways for nonprofits to slash costs without hurting productivity. Let’s look at some options that may help your organization find efficiencies.
1. Use Free Software
Instead of paying for expensive software, you can try free options for nonprofits. For example, instead of paying for a yearly Microsoft Office subscription, consider using Google docs. Likewise, you can complete most tasks yourself with free accounting software instead of paying a small business accountant. On a similar note, you can skip a pricey monthly Adobe Suite fee and try Canva instead.
You can also use Constituent Management Software (CRM) designed for nonprofits to boost efficiencies at a fair price. Many nonprofits prefer Sumac’s CRM software because it’s free for charities that qualify and reasonably priced. Now, you might think that free software is inadequate, but this CRM carries numerous valuable options, like top nonprofit software for case management needs.
2. Invest in Remote Working Measures
There are two key advantages of adopting remote working protocols nowadays. For starters, it helps keep your staff safe with the novel coronavirus still a threat. Secondly, it helps you slash costs. During the pandemic, many organizations have started working remotely and sold their office equipment to enhance company coffers. They’ve also saved money on high operational costs like rent, electricity, transportation, and more.
Of course, your team may still need to meet and organize. You can either hold meetings virtually or meet physically at a public park or café.
3. Find More Volunteers
Now is the time to push your mission statement. Use free tools like social media marketing software to advertise your nonprofit’s mission statement and connect with like-minded people. Volunteers don’t cost your organization anything but are usually motivated and work exceptionally hard when they believe in you.
4. Audit Expenses
Sit down with your accounting experts and audit your expenses. Consider dropping any expenses you can do without or don’t add value to your company. However, avoid going too far. For example, selling your coffee maker might save your organization some money on filter expenses, but it may demotivate staff. Remember, some people can’t function without coffee!
5. Look Within
Instead of firing employees and lowering your team’s morale, find workers that can wear multiple hats. For example, have your visual artist also manage your social media pages if they have the right skillset. Likewise, ask the most outgoing people on your team if they’d like to manage phone lines, even if they do other jobs. In testing times, many nonprofit employees are happy to multitask to assist their team.
6. Buy in Bulk
An excellent way to get better prices from vendors is to pool resources or join a buying collective. Remember, the bigger the order volume, the lower the cost.
While lowering costs isn’t easy, creative nonprofits can find a way without hurting morale or productivity!