Data shows 79% of nonprofits took a revenue hit from the pandemic
BryteBridge (formerly BryteBridge Nonprofit Solutions), a leading provider of nonprofit services that focuses on nonprofit start-up, growth, and compliance, released a new report today that sheds light on the challenges new nonprofits face and the impact of the COVID-19 pandemic on emerging nonprofits.
BryteBridgeu2019s inaugural report, The Essential Work of Emerging Nonprofits, surveyed 250 nonprofit leaders across the country. It is the first in a planned annual series of in-depth analyses that pinpoint challenges and solutions for sustainability in the nonprofit sector. Survey results revealed four core challenges new nonprofits face: compliance, staffing, financial health, and fundraising.
u201cNonprofits and the services they provide are critical to a thriving society,u201d said Brian Davis, President of BryteBridge. u201cBy shedding light on common challenges new nonprofits face, this report can help them overcome obstacles so they can better serve their constituents.u201d
Key insights from the report on the pandemicu2019s impact include:
- 79% of nonprofits report that they suffered from a decrease in revenue attributed to the pandemic. 38% said that these revenue reductions were 50% or greater
- Only 25% of nonprofits said they had enough cash flow to comfortably cover expenses without any adjustments to spending
- Nearly 60% of nonprofits had to implement furloughs to survive the pandemic
Key insights from the report on core concerns of new nonprofits include:
- The top two challenges nonprofits under five years old face are compliance concerns and fundraising
- Fundraising is the predominant concern going forward for 37% of nonprofits
- Securing 501(c)(3) status and planning fundraising programs are significant first-year priorities
- 73% of organizations need help with volunteer management in their first year
For interviews or more information on BryteBridge, this report, and the data, please contact Emily Cooper (firstname.lastname@example.org).