The for-profit world used to complain that the nonprofit world (especially in the arts) needed to behave more like businesses. Now that nonprofits are suffering the same wrenching impacts as every other industry, the complaint is that we were behaving too much like businesses. The current such complaint relates to nonprofit use of debt.One of the things for-profit businesses do is use debt to advance their profits. If it's cheaper to get capital by borrowing the money, they borrow. If it's cheaper to get capital by buying, they buy. Over the … [Read more...]
Archives for September 2009
News from New England's largest public charity suggests that the winds might be changing in how much, how often, and how critically organized philanthropy distributes their money. The Boston Foundation announced a new strategy for giving that involves giving larger grants to fewer organizations, over longer periods, and with fewer strings attached. Says foundation president Paul S. Grogan in the Boston Globe:"There is no question that we're focusing more resources on fewer organizations.... We're really trusting the organization to make … [Read more...]
Andrew Taylor is a faculty member of American University's Arts Management Program in Washington, DC...
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