How to Write a Nonprofit Business Plan – 8 Must-have Sections
Are you looking to start a nonprofit and make a positive impact? Then one of the crucial initial steps is a well-written nonprofit business plan. This plan serves as the blueprint for how your organization will operate, make an impact through its programs, raise funds, and ensure financial sustainability. In this blog post, we’ve covered the key components that should be included in every nonprofit business plan.
1. Executive Summary
The executive summary, although placed at the beginning of your plan, is best written last to ensure a concise and accurate view as it is the first impression, so you have to make it count. It briefly summarizes your organization’s mission, program synopsis, goals, market analysis, target community and fundraising strategy. This section is vital as it sets the tone for the rest of your plan, aiming to captivate readers and entice them to delve deeper. To get started on this section, check out this free executive summary template by Click up.
2. Community Need
In this section, you outline the societal or environmental issue your nonprofit aims to address, supported by data, research, insights or even personal stories. You demonstrate a genuine need for your organization and its mission which helps you attract supporters who resonate with your cause.
3. Market Analysis
Analyze the community landscape and identify the communities you’ll best serve. Identify if there are any existing organizations addressing the same issue, and explore opportunities for partnership and collaboration with them to amplify your impact.
4. Proposed Solution
Describe the programs or services your nonprofit will offer to tackle the identified problem. Explain your theory of change, outlining why and how your solution will make a difference, and how you will measure success (data collection, surveys)? And how your nonprofit will adapt based on outcomes. The following is an example of a proposed solution.
“Our programs will address [problem]. We believe [solution] will create change because [reason]. To measure success, we’ll use [metrics] and adapt based on results.“
5. Team Introduction
Showcase the human side of your organization. Introduce your team members and board members, highlighting their relevant experience and skills. Describe your core values that will guide your work and attract like-minded supporters. Briefly share your team’s motivation for starting this nonprofit.
6. Goals and Strategies
Define clear, achievable goals for the upcoming years, focusing on outcomes, target beneficiaries, and strategies to realize these objectives. Emphasize the importance of setting realistic yet ambitious goals aligned with your mission.
7. Resource Requirements
Detail the infrastructure, staff, technology, and funding needed to support your goals. Address both financial and human resources, outlining the necessary resources to ensure successful implementation of your plan.
8. Budget and Revenue Planning
Create a budget outlining your projected expenses for the next few years. Based on these expenses, calculate the funding you need to raise. Go beyond simply stating the amount needed. Describe your fundraising strategies – grants, donations, in-kind contributions, etc. Explore various revenue models to ensure financial sustainability in the long run.
How Retention CRM can help?
Retention CRM is not just a piece of software, but an organization that is committed to help nonprofits grow better and smarter. If you need help with a nonprofit business plan, you can knock on our doors and our nonprofit consultants will be happy to help? Share your experiences and challenges in the comments below.
Retention CRM is a nonprofit management software designed to digitally transform nonprofits and help them grow faster. You can book a free demo here.
