Economy Continues to Squeeze Charities
A new GuideStar survey, The Effect of the Economy on the Nonprofit Sector, finds that contributions dropped for 52 percent of charitable organizations between March and May 2009.
GuideStar, a leading source of nonprofit information, asked individuals associated with charitable organizations how contribution levels for March through May 2009 compared to those for the same period a year earlier:
- 52% of Organizations Reported Decreased Contributions
- 29% of Organizations Reported Contributions Stayed about the Same
- 18% of Organizations Reported Increased Contributions
- 1% of Organizations Responded “Don’t Know”
“Our latest survey presents both a ‘glass is half full’ and ‘glass is half empty’ scenario,” stated Bob Ottenhoff, GuideStar’s president and CEO. “One the one hand, the number of nonprofits reporting decreased contributions remained the same as in our previous survey. On the other hand, participants’ comments indicate that their organizations are stretched to the limit. Further, 8 percent still face closure because of financial reasons, and 58 percent report that demand for their services has increased.”