Difference between revisions of "How to Start an NGO"
From NGO Handbook
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Lastly, once the NGO decides what the bookkeeping system should be, it is essential that all financial transactions are documented and recorded into financial journals by the bookkeeper. Transactions should be numbered and put in chronological order and thank you notes are essential for every donation received. Thank you notes should be copied and added to the journals, as well as check stubs and deposit receipts. The bookkeeper must be well organized in order to prevent the misuse of funds and ensure efficient spending for programs. | Lastly, once the NGO decides what the bookkeeping system should be, it is essential that all financial transactions are documented and recorded into financial journals by the bookkeeper. Transactions should be numbered and put in chronological order and thank you notes are essential for every donation received. Thank you notes should be copied and added to the journals, as well as check stubs and deposit receipts. The bookkeeper must be well organized in order to prevent the misuse of funds and ensure efficient spending for programs. | ||
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| + | == 10. Come Up With a Fundraising Plan == | ||
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| + | Money required for an NGO to operate primarily goes into their educational and social programs, the overall operation of the NGO (administration, utilities), and projects (surveys, giving programs). Both the board of directors and the executive director should be active participants in fundraising and it is important that writing grants, seeking contributions, and other fundraising skills are acquired skills early in the NGOs development. | ||
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| + | In order to come up with the best fundraising strategy, it is important to identify what the needs are of the NGO and what sources can best fulfill these needs. Professionalism, communication, and accountability are crucial for building trust with a potential donor. Also, understanding why a person or group is supporting a program, activity, or the NGO as whole is useful in soliciting them to contribute for a second time or even continuously. The following presents some examples of ways in which an NGO may choose to pursue funding: | ||
| + | *Foundations. Generally, they all have readily available guidelines that can be found through researching that explain what kind of NGOs they fund and how to apply for grants. There tend to be three different types of foundations. | ||
| + | **Most foundations fall under the category of independent foundations where most of the funding comes from individual, family, or group endowments. | ||
| + | o Community Foundations receive money from local sources and distribute it to local NGOs. | ||
| + | o Corporate Foundations are set up legally through business corporations and is governed by trustees. They tend to support communities in which the corporation operates. | ||
| + | • Corporations and businesses that have staff working in community relations or public relations departments. These departments fund many charities in communities where the company operates and usually provides grants to NGOs regardless of location. | ||
| + | • Religious groups tend to fund organizations regardless of location. | ||
| + | • Individuals may provide long term funding or short term funding to an NGO. | ||
Revision as of 11:51, 23 July 2008
Starting an NGO can be a very time-consuming process. It requires a strong vision and dedication from an individual or group that share a common concern about a community. If initiated correctly in an organized and strategic way, the services implemented to benefit the community can be very helpful and resourceful.
The following presents nine steps, in general chronological order, that are useful in the formation of an NGO. This paper acts as a broad “how to” guideline and these issues may vary depending on each NGO. It is important to realize that these situations also vary from country to country, as each one has its own specific requirements and recommendations.
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