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ASU Lodestar Center Blog

Research and recommendations for effective, day-to-day nonprofit practice from ASU faculty, staff, students, and the nonprofit and philanthropic community.


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Marginalized communities are commonly supported through nonprofit organizations, and in the Native American communities this holds true. While native nonprofit organizations within their own tribal boundaries are often viewed as legitimate, since they are stationed directly in the geographic region of the root cause or population they serve, what about the ones outside of reservation lines? Maybe, there are even questions of nonprofit within native communities that are questionable in regards to their operations? Nonprofit organizations work to provide a service for a specific demographic or community, how do we make sure this is happening?

Experience and observation of nonprofit organizations rushing to provide a service to a specific native american community has led me to think harder about how important accountability is. As Hopi I can safely say that my people are known to be guarded, hesitant to let “outsiders” into our villages due to the uncertainty of what one’s true intention is. A part of this is due to the unique culture we live and our history which has taught us that we are not immune to invasion or attempts to overthrow our Hopi practices. While invasion and takeover are less prevalent in this day and age, we are still cautious of modern day exploitation. We recognize that a majority of organizations or representatives of organizations do not have negative intentions, but we also recognize when we are being taken advantage of.

Organizations…

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Illustration of a tired man sitting at a desk surrounded by piles of work

The nonprofit sector operates on an uncomfortable contradiction. We expect employees to carry out some of society’s hardest and most emotionally complex work, yet we often compensate and support them as if passion alone can sustain them. Today’s nonprofit workforce crisis makes one truth impossible to ignore: employee compensation and perceived sense of value constitute core infrastructure for mission impact.

Across the country, human service nonprofits report exceptionally high vacancy rates. Entry-level and direct-service roles remain unfilled for months at a time, programs operate at reduced capacity, and remaining staff shoulder overwhelming workloads. When organizations struggle to recruit and retain staff, the consequences often ripple outward. There are fewer clients served, longer waitlists, delayed services, and burnout that pushes even more employees out the door.

We tend to frame this as a funding problem. And yes, funding does matter. But this moment is also an opportunity to re-evaluate how nonprofits define “value.” Many organizations can no longer depend on altruism as a recruitment strategy. A sustainable nonprofit is one that regards their workforce with the same seriousness as programming, fundraising, and governance.

Compensation is more than a paycheck

Compensation is often misunderstood as simply “more money.” And to be fair, at first it is. Financial compensation offered to an…

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Illustration of multiple river streams that have money in them converging into one pool

Cultural nonprofits are often the heart of our communities providing enrichment through art and gathering spaces, yet building sustainable funding can be a challenge for their leadership. For cultural nonprofits, the key to sustainable funding is in diversification of revenue streams. Specifically, this type of organization should visualize their funding as a pie composed of pieces to represent their various funding sources with no single source creating the majority of the budget. Some pieces may be smaller or larger than others, but the total provides enough enrichment for the whole organization and those it serves. Here are four sources of income that are particularly useful for funding cultural nonprofits. 

Earned revenue 

Cultural institutions such as museums, theaters, and botanical gardens are the type of nonprofits that benefit from fee-based services. Through memberships, ticket sales, and gift shops, cultural institutions can bring in a steady source of revenue to maintain their operations by charging visitors for the service provided. Earned revenue streams also open the possibility to partner with other nonprofits to co-produce programming or offer facilities rentals when partners lack their own venue. There are as many options as there are types of institutions, but nearly all cultural nonprofits will benefit from earned revenue in their budget.

Giving

Both individual and corporate giving are integral pieces to cultural…

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nonprofit advocacy

Advocacy plays an important role in helping nonprofits extend their mission beyond direct service, by influencing the systems shaping community well-being. While many organizations prioritize program delivery, advocacy provides a pathway to elevate community concerns, and contribute to policy and environmental changes that create long-term impact. In a rapidly shifting social landscape, advocacy strengthens an organization’s ability to foster meaningful change and reinforce its mission through a broader form of influence. 

Why advocacy matters  

Advocacy is essential as many community challenges stem from conditions that cannot be resolved through programs alone. Direct services provide immediate support, but advocacy targets the policies and institutional barriers that perpetuate inequities. By engaging in advocacy, nonprofits help build conditions that prevent problems rather than simply responding to them. 

Advocacy also raises visibility for mission-driven work. When organizations share outcomes, highlight community needs, or articulate solutions, they influence public understanding and inform decision-makers. This visibility enhances credibility and positions nonprofits as knowledgeable partners in shaping strategies that affect the populations they serve. 

Additionally, advocacy often brings to light the lived experiences of communities into spaces where community decisions are made. Nonprofits often have trusted…

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volunteer value

With the growing need for support services across the United States nonprofit organizations are needed now more than ever before. Nonprofit and charity leaders must ensure their services can be sustained and grown to meet these increasing demands. So we are led to the question - how can nonprofits take action to ensure their organizations are sustainable and able to grow? Organizations should reflect on and address internal and external factors that could make it difficult or impossible to sustain or grow their programs.

These organizations should first look internally at their culture and infrastructure to ensure they are strong enough to sustain and grow programming. Studies show that having a strong organizational culture with strong values can positively impact an organization’s long-term sustainability and ability to grow due to employee satisfaction. Nonprofits should invest their time and energy in creating a culture and outlining a set of values that inspire employees. Organizations should recognize its employees that engage with the culture of the organization and demonstrate its values to solidify importance and leaders should prioritize their employee’s wellness to retain them long-term. Decreasing employee turnover provides the opportunity to retain institutional knowledge and sustain relationships with donors, volunteers, and those the organization serves.

Additionally, nonprofits need to invest just the…

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ASU Lodestar Center Blog