Given the fundamental importance of fundraising to nonprofits, it is critical that charities plan for the possible downsides that come with raising money, says this article in a multi-part series on nonprofit risk management, published by the Alliance for Nonprofit Management.
Whether those downsides come in the form of conflicts-of-interest, donations from sources that turn out to be questionable, or gifts that contain restrictive requirements, this article aims to prepare nonprofit executives to deal with setbacks and difficult decisions.
The article walks through the basic risk-management questions: “What could go wrong? What will we do? How will we pay for it?”