Capital One: Nonprofits Anticipate Growth
Seventy-six percent of the nonprofit professionals surveyed by Capital One Bank at this past December’s Greater Washington Society of Certified Public Accountants (GWSCPA) Nonprofit Finance & Accounting Symposium indicated that they expect their nonprofit organization to grow in 2014. In addition, 57% of survey respondents reported that they experienced better financial performance in 2013, compared to the previous year. About a third (33%) stated that their financial health is unchanged from a year ago, and only 10% say it is worse.
However, the majority (63%) of those surveyed expect operational costs to be the greatest challenge facing their nonprofit organization in 2014, compared to other potential issues such as access to government funding (21%), the Affordable Care Act (10%) and a cap on charitable deductions (6%).
“An overwhelming majority of nonprofit industry professionals expect their organization to grow this year, despite operational, personnel and fundraising challenges,” said Adam Ostrach, SVP, Capital One Bank. “Our team of banking professionals aims to provide the support that nonprofits need to adapt in this changing economic environment.”
Nearly half (45%) the survey respondents reported that remaining competitive with pay and benefits will be the biggest personnel issue they face this year. Additionally, 55% of those surveyed said the greatest fundraising challenge this year will be increased competition among organizations.
“Nonprofits need to effectively address a host of internal and external challenges to grow and fulfill their missions,” added Kathleen Malloy, SVP, Capital One Bank’s Not-For-Profit Banking Group. “Capital One Bank is committed to providing nonprofit organizations with customized financing and growth solutions for continued success.”