A few of us coaches from the Executive Coaches of Orange County recently attended OneOC’s terrific workshop “Nonprofits by the Numbers”. On the agenda were presentations by:
- Kathleen Costello & Dr. Shelley Arsneault (CSU Fullerton’s Gianneschi Center for Nonprofit Research) on the nonprofit sector in Orange County
- David Greco (Nonprofit Finance Fund) on the State of the Nonprofit Sector
- Regina Birdsell (Center for Nonprofit Management) on the Orange County Nonprofit Compensation & Benefits Study
- There are 2 million nonprofits in the United States (Estimates from some other sources are lower depending on the definition “nonprofit”.)
- One in 10 Americans work for a nonprofit.
- $300 billion is donated annually to nonprofits.
- Nonprofits generate about $1.1 trillion a year.
- 6.5% of Americans volunteer for nonprofits.
The presentations were loaded with important information. Some figures stood out for me:
- The number one reason people are motivated to donate to charities is the organization’s mission. (Not a surprise!) A close second is personal experience. This simply reconfirms that finding the right donors is the key to effective fundraising.
- 57% of nonprofits have enough cash to cover 3 months or less of expenses. This is certainly an indication that many nonprofits teeter on the edge of existence on a daily basis.
- The average cost of medical insurance per employee increased from $783 per month in 2011 to $907 per month in 2012, a 16% increase, prompting some nonprofits to freeze wages in return for maintaining the same level of health care coverage.
My “takeaway” from this session: The nonprofit sector in the U.S. and Orange County is not only a critical “industry” for the millions of beneficiaries of these organizations, but an important part of our national and local economy.