Non‐governmental organisations and financial sustainability

Non‐governmental organisations (NGOs) have an important role to play in addressing the serious developmental challenges South Africa is facing today. Financial sustainability is critical for NGOs to be able to sustain their organisations and programmes. In this article key concepts and definitions related to the theme are referred to first. The second part emphasises the importance and role of sound management in building and operating financially‐ sustainable organisations (and programmes). The article also focuses on funding: minimum requirements and criteria for funding; sources of funding/income for NGOs; and funding proposals and obtaining funds. Reference is made to the importance of organisations’ long‐term sustainability plans, which should not only include relations with funders but also comprehensive strategies for earning ongoing income. In conclusion, the article calls for the establishment of a common understanding of ‘financial sustainability of NGOs’ by all concerned parties in order to maximise the impact of development on communities.

Notes

Founder and owner, Sunrise Afrika Development Management Services (SADMS), Cape Town.