nonprofit business plan executive summary sample

The Executive Summary Of A Nonprofit Business Plan

How to write a nonprofit business plan: lesson 9.

What should the reader of the nonprofit business plan know (in general) about your nonprofit? The executive summary can be used for helping a potential lender, donor, etc. understand the gist of the nonprofit organization and the business side of things. Use this section to communicate the basic concept and the big picture items that are relevant to your nonprofit and to the cause you serve. Although it is one of the last things to write, this section goes at the front of your nonprofit business plan so readers have an overview of the plan before diving in to get more detail.

nonprofit business plan executive summary sample

What is it you want to do? Do you want to save whales? Are you hoping to help children in need? Do you want to share the gospel with others? Whatever your passion, it will be the driving force behind your nonprofit. In order to be effective, your mission should be clearly defined, easy to remember, and it should meet a particular need. If you can’t define the need (pain) the nonprofit solves, others won’t be able to rally behind your efforts. Perhaps you have a solution in mind, so go back and clearly define the pain you are solving. Write it down. Then write down how you will solve the pain. Together, this is called the pain/solution scenario. In other words, you have a clear definition of the thing you want to change and how you plan to change it.

What is your method for changing the world for the better? What are the exact outcomes you want to achieve? The impact is the overall result when you implement your solution.

Financial Overview

This is a snapshot of what the reader will see in the financials section of the plan. Don’t include everything. Just give them the big picture. When will the nonprofit be financially viable? When will the nonprofit reach certain impact goals? How many donations does the nonprofit need to be viable?

Keys To Success

Include any keys to success for the organization to be effective. The reader of the nonprofit business plan may be a person who can help you fulfill objectives in these key areas. Additionally, identifying keys to success will help you keep the important things at the front of your mind when the work of a nonprofit founder gets crazy.

Other Important Information

In this final area of the nonprofit business plan executive summary, include anything else you think is necessary to give the reader a good 30,000-foot view of what your organization is trying to accomplish. This may be a summary of other sections in the nonprofit business plan, or it may be something entirely different. Ask yourself what you would quickly want to know if you were interested in helping this nonprofit. Answer that question, and you’re on your way to finishing this section.

Once you have completed the executive summary for your nonprofit business plan, you’re 90% finished with the entire plan. Congratulations! It’s no easy endeavor to write a nonprofit business plan, but it’s well worth your time. With your plan, you have a great start for creating a terrific nonprofit that will thrive.

Additional Resources

For more help on tackling your nonprofit business plan’s executive summary, check out why this article by Bplans suggests approaching your executive summary as an elevator pitch . Need an example of a nonprofit executive summary ? Check out this organization’s sample of a nonprofit business plan .

Final Piece

Now that the bulk of your nonprofit business plan is complete, you’ll just need to put it all together . In the next lesson, we’ll cover what you’ll want to include in your appendices.

Put Your Nonprofit On The Fast Track To Success!

Creating and running a successful nonprofit organization can be extremely rewarding, but is not always an easy task—especially if it is your first time. To simplify things, we have created a success kit to help you get your nonprofit off the ground and start thriving. Fill out the form below to receive your free checklist.

Eric Nasalroad

Eric Nasalroad is the Chief Operating Officer at Aplos and has a passion for helping people start and grow nonprofits. Specializing in entrepreneurship, he has written a textbook on the topic and also serves as a professor at the prestigious Lyles Center for Innovation and Entrepreneurship at Fresno State. In addition to starting a variety of businesses of his own, he has helped hundreds of individuals launch their own nonprofits and businesses.

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Sample Nonprofit Business Plan with Explanations

Writing a business plan is a major undertaking. While most of us are accustomed to thinking of business plans as being a must for investors, they’re just as important in the world of nonprofit organizations.

At Addition Financial, we’ve worked closely with nonprofit startups. One of the most common questions they ask us is:

"What should I include in my nonprofit business plan ?"

It’s an important question to ask. Your nonprofit business plan will define your goals and help you attract experienced board members, employees and donors. We’ve put together this sample nonprofit business plan to show you what you should include when you write your business plan.

Executive Summary

At the beginning of your nonprofit business plan, you’ll need an executive summary. It must be concise and contain a clear and compelling statement of your mission.

Because it is so important, the executive summary is often the last part of a business plan to be written. It should summarize your market analysis, lay out why there is a need for the services you’ll provide and explain why you are qualified to provide them.

We suggest doing a rough draft of the executive statement to start. Then, you can refine it as you go along and revisit it at the end to put the final touches on it.

Products, Programs and Services

In this section, you’ll lay out the specific information on what your nonprofit does.

You’ll need to include:

The products or services you’ll sell
The social programs you’ll provide
The benefits the community will derive from your presence
The needs you’ll meet and your plans for meeting them

Another way of looking at this section is that it explains how you’ll fulfill the mission statement in the executive summary.

Customer and Market Analysis

Next, you’ll need to expand on the summary market analysis that you put into the executive summary.

Here, you should include:

An explanation of the issues that made you decide to start a nonprofit
Details about the number of people affected, who they are, where they live and how your organization will reach them

In this section of your nonprofit business plan, facts are the most important thing. Make sure to be meticulous in your research and include as much relevant information as possible.

Marketing Plan

No nonprofit organization can survive without a marketing plan to help it reach its target audience – which includes both the audience you serve and your potential donors. You should include the four Ps: product, price, place and promotion.

Here’s what to include in each:

Product : Every item, service or program you plan to provide
Price : The cost of the products you sell and the services you provide
Place : Your planned physical location as well as information about your web presence and any distribution channels you plan to use
Promotion : Explain how you’ll get people to use your services and/or make donations to your cause

It’s also a good idea to include a section on customer and donor retention, since many nonprofits rely on repeat donations to stay afloat.

Operations Plan

In this section of your nonprofit business plan, you’ll explain the specifics of how you plan to meet the goals that you specified in the Products, Programs and Services section.

Short-term processes , which are the day-to-day tasks that will allow you to run your nonprofit organization.
Long-term processes , which are the methods you plan to use to meet your growth goals. These may include plans for expanding your services or opening new locations.

Think of the operation plan as the nuts and bolts of your organization. It’s where you’ll demonstrate you have a vision for the future of your organization and a plan to get there.

Management Team/Organizational Structure

It’s important to have an experienced team to run a nonprofit. In this section, you’ll identify your primary team and board members, including details about their work backgrounds and relevant expertise. You may also choose to include your advisory board members, if you have them.

You should draw an organizational chart that shows:

Levels of management
Chains of commands
Financial sponsors
Other key players not mentioned here
Current and future staffing needs

This section allows you to highlight the team you’ve assembled. Your focus should be on demonstrating why this is the right team to help you reach your organizational goals.

The Simple Handbook for Successfully Managing Profits at a Nonprofit

Financial Plan

Your financial plan is where you’ll identify the different sources of funding you plan to use. You should include any outstanding loans and debts.

You should also:

Summarize your past and future cash flow statements.
Summarize your past and future balance sheets and income statements.
Describe your fundraising plans.
Identify gaps in your funding.
Articulate your plans for distributing excess funds.
Disclose salaries of key employees.

Transparency is essential for any nonprofit. Make sure that this section includes a full disclosure of your finances as they are now.

The final section of your nonprofit business plan is the appendix. This is where you’ll attach any supporting documentation. At a minimum, it should include your most current annual report, a copy of your strategic plan, full financial projections and promotional materials.

Writing a nonprofit business plan takes time. The key is to include the sections we’ve outlined here. As long as you use clear language and focus on transparency, you should end up with a business plan that will help you achieve your organizational goals.

To learn how Addition Financial’s checking accounts for nonprofits can help your organization, please click here now .

Posted on Mar 29, 2019

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Business Planning for Nonprofits

Business planning is a way of systematically answering questions such as, “What problem(s) are we trying to solve?” or “What are we trying to achieve?” and also, “Who will get us there, by when, and how much money and other resources will it take?”

The business planning process takes into account the nonprofit’s mission and vision, the role of the board, and external environmental factors, such as the climate for fundraising.

Ideally, the business planning process also critically examines basic assumptions about the nonprofit’s operating environment. What if the sources of income that exist today change in the future? Is the nonprofit too reliant on one foundation for revenue? What happens if there’s an economic downturn?

A business plan can help the nonprofit and its board be prepared for future risks. What is the likelihood that the planned activities will continue as usual, and that revenue will continue at current levels – and what is Plan B if they don't?

Narrative of a business plan

You can think of a business plan as a narrative or story explaining how the nonprofit will operate given its activities, its sources of revenue, its expenses, and the inevitable changes in its internal and external environments over time. Ideally, your plan will tell the story in a way that will make sense to someone not intimately familiar with the nonprofit’s operations.

According to Propel Nonprofits , business plans usually should have four components that identify revenue sources/mix; operations costs; program costs; and capital structure.

A business plan outlines the expected income sources to support the charitable nonprofit's activities. What types of revenue will the nonprofit rely on to keep its engine running – how much will be earned, how much from government grants or contracts, how much will be contributed? Within each of those broad categories, how much diversification exists, and should they be further diversified? Are there certain factors that need to be in place in order for today’s income streams to continue flowing?

The plan should address the everyday costs needed to operate the organization, as well as costs of specific programs and activities.

The plan may include details about the need for the organization's services (a needs assessment), the likelihood that certain funding will be available (a feasibility study), or changes to the organization's technology or staffing that will be needed in the future.

Another aspect of a business plan could be a "competitive analysis" describing what other entities may be providing similar services in the nonprofit's service and mission areas. What are their sources of revenue and staffing structures? How do their services and capacities differ from those of your nonprofit?

Finally, the business plan should name important assumptions, such as the organization's reserve policies. Do your nonprofit’s policies require it to have at least six months of operating cash on hand? Do you have different types of cash reserves that require different levels of board approval to release?

The idea is to identify the known, and take into consideration the unknown, realities of the nonprofit's operations, and propose how the nonprofit will continue to be financially healthy. If the underlying assumptions or current conditions change, then having a plan can be useful to help identify adjustments that must be made to respond to changes in the nonprofit's operating environment.

Basic format of a business plan

The format may vary depending on the audience. A business plan prepared for a bank to support a loan application may be different than a business plan that board members use as the basis for budgeting. Here is a typical outline of the format for a business plan:

Table of contents
Executive summary - Name the problem the nonprofit is trying to solve: its mission, and how it accomplishes its mission.
People: overview of the nonprofit’s board, staffing, and volunteer structure and who makes what happen
Market opportunities/competitive analysis
Programs and services: overview of implementation
Contingencies: what could change?
Financial health: what is the current status, and what are the sources of revenue to operate programs and advance the mission over time?
Assumptions and proposed changes: What needs to be in place for this nonprofit to continue on sound financial footing?

More About Business Planning

Budgeting for Nonprofits

Strategic Planning

Contact your state association of nonprofits for support and resources related to business planning, strategic planning, and other fundamentals of nonprofit leadership.

Additional Resources

Components of transforming nonprofit business models (Propel Nonprofits)
The matrix map: a powerful tool for nonprofit sustainability (Nonprofit Quarterly)
The Nonprofit Business Plan: A Leader's Guide to Creating a Successful Business Model (David La Piana, Heather Gowdy, Lester Olmstead-Rose, and Brent Copen, Turner Publishing)
Nonprofit Earned Income: Critical Business Model Considerations for Nonprofits (Nonprofit Financial Commons)
Nonprofit Sustainability: Making Strategic Decisions for Financial Viability (Jan Masaoka, Steve Zimmerman, and Jeanne Bell)

Disclaimer: Information on this website is provided for informational purposes only and is neither intended to be nor should be construed as legal, accounting, tax, investment, or financial advice. Please consult a professional (attorney, accountant, tax advisor) for the latest and most accurate information. The National Council of Nonprofits makes no representations or warranties as to the accuracy or timeliness of the information contained herein.

How to Write a Business Plan For a Nonprofit Organization + Template

Creating a business plan is essential for any business, but it can be especially helpful for nonprofits. A nonprofit business plan allows you to set goals and track progress over time. It can also help you secure funding from investors or grant-making organizations.

A well-crafted business plan not only outlines your vision for the organization but also provides a step-by-step process of how you are going to accomplish it. In order to create an effective business plan, you must first understand the components that are essential to its success.

This article will provide an overview of the key elements that every nonprofit founder should include in their business plan.

Download the Ultimate Nonprofit Business Plan Template

What is a Nonprofit Business Plan?

A nonprofit business plan is a formal written document that describes your organization’s purpose, structure, and operations. It is used to communicate your vision to potential investors or donors and convince them to support your cause.

The business plan should include information about your target market, financial projections, and marketing strategy. It should also outline the organization’s mission statement and goals.

Why Write a Nonprofit Business Plan?

A nonprofit business plan is required if you want to secure funding from grant-making organizations or investors.

A well-crafted business plan will help you:

Define your organization’s purpose and goals
Articulate your vision for the future
Develop a step-by-step plan to achieve your goals
Secure funding from investors or donors
Convince potential supporters to invest in your cause

Entrepreneurs can also use this as a roadmap when starting your new nonprofit organization, especially if you are inexperienced in starting a nonprofit.

Writing an Effective Nonprofit Business Plan

The key is to tailor your business plan to the specific needs of your nonprofit. Here’s a quick overview of what to include:

Executive Summary

Organization overview, products, programs, and services, industry analysis, customer analysis, marketing plan, operations plan, management team.

Financial Plan

The executive summary of a nonprofit business plan is a one-to-two page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan.

Start with a one-line description of your nonprofit organization
Provide a short summary of the key points of each section of your business plan.
Organize your thoughts in a logical sequence that is easy for the reader to follow.
Include information about your organization’s management team, industry analysis, competitive analysis, and financial forecast.

This section should include a brief history of your nonprofit organization. Include a short description of how and why you started it and provide a timeline of milestones the organization has achieved.

If you are just starting your nonprofit, you may not have a long history. Instead, you can include information about your professional experience in the industry and how and why you conceived your new nonprofit idea. If you have worked for a similar organization before or have been involved in a nonprofit before starting your own, mention this.

You will also include information about your chosen n onprofit business model and how it is different from other nonprofits in your target market.

This section is all about what your nonprofit organization offers. Include information about your programs, services, and any products you may sell.

Describe the products or services you offer and how they benefit your target market. Examples might include:

A food bank that provides healthy meals to low-income families
A job training program that helps unemployed adults find jobs
An after-school program that helps kids stay out of gangs
An adult literacy program that helps adults learn to read and write

Include information about your pricing strategy and any discounts or promotions you offer. Examples might include membership benefits, free shipping, or volume discounts.

If you offer more than one product or service, describe each one in detail. Include information about who uses each product or service and how it helps them achieve their goals.

If you offer any programs, describe them in detail. Include information about how often they are offered and the eligibility requirements for participants. For example, if you offer a job training program, you might include information about how often the program is offered, how long it lasts, and what kinds of jobs participants can expect to find after completing the program.

The industry or market analysis is an important component of a nonprofit business plan. Conduct thorough market research to determine industry trends, identify your potential customers, and the potential size of this market.

Questions to answer include:

What part of the nonprofit industry are you targeting?
Who are your competitors?
How big is the market?
What trends are happening in the industry right now?

You should also include information about your research methodology and sources of information, including company reports and expert opinions.

As an example, if you are starting a food bank, your industry analysis might include information about the number of people in your community who are considered “food insecure” (they don’t have regular access to enough nutritious food). You would also include information about other food banks in your area, how they are funded, and the services they offer.

For each of your competitors, you should include a brief description of their organization, their target market, and their competitive advantage. To do this, you should complete a SWOT analysis.

A SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis is a helpful tool to assess your nonprofit’s current position and identify areas where you can improve.

Some questions to consider when conducting a SWOT analysis include:

Strengths : What does your nonprofit do well?
Weaknesses : What areas could your nonprofit improve?
Opportunities : What trends or changes in the industry could you take advantage of?
Threats : What trends or changes in the industry could hurt your nonprofit’s chances of success?

After you have identified your nonprofit’s strengths, weaknesses, opportunities, and threats, you can develop strategies to improve your organization.

For example, if you are starting a food bank, your SWOT analysis might reveal that there is a need for more food banks in your community. You could use this information to develop a marketing strategy to reach potential donors who might be interested in supporting your organization.

If you are starting a job training program, your SWOT analysis might reveal that there is a need for more programs like yours in the community. You could use this information to develop a business plan and marketing strategy to reach potential participants who might be interested in enrolling in your program.

This section should include a list of your target audience(s) with demographic and psychographic profiles (e.g., age, gender, income level, profession, job titles, interests). You will need to provide a profile of each customer segment separately, including their needs and wants.

For example, if you are starting a job training program for unemployed adults, your target audience might be low-income adults between the ages of 18 and 35. Your customer analysis would include information about their needs (e.g., transportation, childcare, job readiness skills) and wants (e.g., good pay, flexible hours, benefits).

If you have more than one target audience, you will need to provide a separate customer analysis for each one.

You can include information about how your customers make the decision to buy your product or use your service. For example, if you are starting an after-school program, you might include information about how parents research and compare programs before making a decision.

You should also include information about your marketing strategy and how you plan to reach your target market. For example, if you are starting a food bank, you might include information about how you will promote the food bank to the community and how you will get the word out about your services.

Develop a strategy for targeting those customers who are most likely to use your program, as well as those that might be influenced to buy your products or nonprofit services with the right marketing.

This part of the business plan is where you determine how you are going to reach your target market. This section of your nonprofit business plan should include information about your marketing goals, strategies, and tactics.

What are your marketing goals? Include information about what you hope to achieve with your marketing efforts, as well as when and how you will achieve it.
What marketing strategies will you use? Include information about public relations, advertising, social media, and other marketing tactics you will use to reach your target market.
What tactics will you use? Include information about specific actions you will take to execute your marketing strategy. For example, if you are using social media to reach your target market, include information about which platforms you will use and how often you will post.

Your marketing strategy should be clearly laid out, including the following 4 Ps.

Product/Service : Make sure your product, service, and/or program offering is clearly defined and differentiated from your competitors, including the benefits of using your service.
Price : How do you determine the price for your product, services, and/or programs? You should also include a pricing strategy that takes into account what your target market will be willing to pay and how much the competition within your market charges.
Place : Where will your target market find you? What channels of distribution will you use to reach them?
Promotion : How will you reach your target market? You can use social media or write a blog, create an email marketing campaign, post flyers, pay for advertising, launch a direct mail campaign, etc.

For example, if you are starting a job training program for unemployed adults, your marketing strategy might include partnering with local job centers and adult education programs to reach potential participants. You might also promote the program through local media outlets and community organizations.

Your marketing plan should also include a sales strategy, which includes information about how you will generate leads and convert them into customers.

You should also include information about your paid advertising budget, including an estimate of expenses and sales projections.

This part of your nonprofit business plan should include the following information:

How will you deliver your products, services and/or programs to your target market? For example, if you are starting a food bank, you will need to develop a system for collecting and storing food donations, as well as distributing them to the community.
How will your nonprofit be structured? For example, will you have paid staff or volunteers? How many employees will you need? What skills and experience will they need to have?
What kind of facilities and equipment will you need to operate your nonprofit? For example, if you are starting a job training program, you will need space to hold classes, as well as computers and other office equipment.
What are the day-to-day operations of your nonprofit? For example, if you are starting a food bank, you will need to develop a system for accepting and sorting food donations, as well as distributing them to the community.
Who will be responsible for each task? For example, if you are starting a job training program, you will need to identify who will be responsible for recruiting participants, teaching classes, and placing graduates in jobs.
What are your policies and procedures? You will want to establish policies related to everything from employee conduct to how you will handle donations.
What infrastructure, equipment, and resources are needed to operate successfully? How can you meet those requirements within budget constraints?

The operations plan is the section of the business plan where you elaborate on the day-to-day execution of your nonprofit. This is where you really get into the nitty-gritty of how your organization will function on a day-to-day basis.

This section of your nonprofit business plan should include information about the individuals who will be running your organization.

Who is on your team? Include biographies of your executive director, board of directors, and key staff members.
What are their qualifications? Include information about their education, work experience, and skills.
What are their roles and responsibilities? Include information about what each team member will be responsible for, as well as their decision-making authority.
What is their experience in the nonprofit sector? Include information about their work with other nonprofits, as well as their volunteer experiences.

This section of your plan is important because it shows that you have a team of qualified individuals who are committed to the success of your nonprofit.

Nonprofit Financial Plan

This section of your nonprofit business plan should include the following information:

Your budget. Include information about your income and expenses, as well as your fundraising goals.
Your sources of funding. Include information about your grants, donations, and other sources of income.
Use of funds. Include information about how you will use your income to support your programs and operations.

This section of your business plan is important because it shows that you have a clear understanding of your organization’s finances. It also shows that you have a plan for raising and managing your funds.

Now, include a complete and detailed financial plan. This is where you will need to break down your expenses and revenue projections for the first 5 years of operation. This includes the following financial statements:

Income Statement

Your income statement should include:

Revenue : how will you generate revenue?
Cost of Goods Sold : These are your direct costs associated with generating revenue. This includes labor costs, as well as the cost of any equipment and supplies used to deliver the product/service offering.
Net Income (or loss) : Once expenses and revenue are totaled and deducted from each other, what is the net income or loss?

Sample Income Statement for a Startup Nonprofit Organization

Balance sheet.

Include a balance sheet that shows what you have in terms of assets, liabilities, and equity. Your balance sheet should include:

Assets : All of the things you own (including cash).
Liabilities : This is what you owe against your company’s assets, such as accounts payable or loans.
Equity : The worth of your business after all liabilities and assets are totaled and deducted from each other.

Sample Balance Sheet for a Startup Nonprofit Organization

Cash flow statement.

Include a cash flow statement showing how much cash comes in, how much cash goes out and a net cash flow for each year. The cash flow statement should include:

Income : All of the revenue coming in from clients.
Expenses : All of your monthly bills and expenses. Include operating, marketing and capital expenditures.
Net Cash Flow : The difference between income and expenses for each month after they are totaled and deducted from each other. This number is the net cash flow for each month.

Using your total income and expenses, you can project an annual cash flow statement. Below is a sample of a projected cash flow statement for a startup nonprofit.

Sample Cash Flow Statement for a Startup Nonprofit Organization

Fundraising plan.

This section of your nonprofit business plan should include information about your fundraising goals, strategies, and tactics.

What are your fundraising goals? Include information about how much money you hope to raise, as well as when and how you will raise it.
What fundraising strategies will you use? Include information about special events, direct mail campaigns, online giving, and grant writing.
What fundraising tactics will you use? Include information about volunteer recruitment, donor cultivation, and stewardship.

Now include specific fundraising goals, strategies, and tactics. These could be annual or multi-year goals. Below are some examples:

Goal : To raise $50,000 in the next 12 months.

Strategy : Direct mail campaign

Create a mailing list of potential donors
Develop a direct mail piece
Mail the direct mail piece to potential donors

Goal : To raise $100,000 in the next 24 months.

Strategy : Special event

Identify potential special event sponsors
Recruit volunteers to help with the event
Plan and execute the special event

Goal : To raise $250,000 in the next 36 months.

Strategy : Grant writing

Research potential grant opportunities
Write and submit grant proposals
Follow up on submitted grants

This section of your business plan is important because it shows that you have a clear understanding of your fundraising goals and how you will achieve them.

You will also want to include an appendix section which may include:

Your complete financial projections
A complete list of your nonprofit’s policies and procedures related to the rest of the business plan (marketing, operations, etc.)
A list of your hard assets and equipment with purchase dates, prices paid and any other relevant information
A list of your soft assets with purchase dates, prices paid and any other relevant information
Biographies and/or resumes of the key members of your organization
Your nonprofit’s bylaws
Your nonprofit’s articles of incorporation
Your nonprofit’s most recent IRS Form 990
Any other relevant information that may be helpful in understanding your organization

Writing a good business plan gives you the advantage of being fully prepared to launch and grow your nonprofit organization. It not only outlines your vision but also provides a step-by-step process of how you are going to accomplish it. Sometimes it may be difficult to get started, but once you get the hang of it, writing a business plan becomes easier and will give you a sense of direction and clarity about your nonprofit organization.

Finish Your Nonprofit Business Plan in 1 Day!

Nonprofit Business Plan: A Comprehensive Guide

by Jess Convocar on February 21, 2024
last update on February 22, 2024
Reading Time: 7 minutes

Like any other business, nonprofit organizations need careful, structured planning to ensure sustainable growth. This is possible by creating a business plan that not only serves as a roadmap but also helps in attracting donors and volunteers needed to bring the organization’s vision to fruition.

Crafting the perfect business plan involves many things, but the most important part is understanding what it should look like and how it can help the organization forward its mission. This guide simplifies the process, breaks down its unique components, and provides step-by-step instructions on how to write a nonprofit business plan.

What is a business plan for nonprofits?

A business plan for nonprofits is a strategic document that outlines a nonprofit organization’s goals and operational approach. While similar to for-profit business plans, the focus here is on achieving social impact rather than financial profit.

Projects implemented by nonprofit organizations typically revolve around fostering social welfare, advocacy, education, or humanitarian aid. For instance, a nonprofit working to address homelessness might outline projects such as providing shelter and meals, offering job training programs, and collaborating with local agencies to advocate for affordable housing policies.

A typical business plan for nonprofits includes:

The nonprofit’s mission, which sets the foundation for the entire plan;
Specific objectives,
Fundraising strategies,
Resource allocation,
And how it plans to measure success in terms of societal or community benefit.

But one thing to note is that there is no one-size-fits-all plan. Every little detail incorporated into the plan must be tailored to the organization’s needs, where it currently stands, and how it can contribute to its primary purpose – guiding the nonprofit to success.

Why Your Nonprofit Needs a Business Plan

A good plan does not only help attract external support but also benefits the organization internally. Listed below are the key reasons why your nonprofit needs a business plan:

Clarity of Mission, Vision, and Strategic Direction

Running a nonprofit organization isn’t the easiest task, and there may be times when you question whether you’re truly making an impact. Having a business plan gives you a perspective of the progress you’ve made and provides a distinct path moving forward.

This clear-cut framework ensures that the mission, vision, and strategic direction remain focused, helping the nonprofit make informed decisions and navigate challenges with purpose.

Proper Resource Planning and Financial Management

Poor financial management can lead to many problems, especially in nonprofits. With a business plan, this can easily be taken care of.

Since nonprofit organizations rely on various external funds, there should be an emphasis on resource planning and management. This involves forecasting the organization’s needs, such as financial, human, and technological resources, and strategically allocating them to support the mission and vision. Doing so also demonstrates fiscal responsibility to donors and stakeholders.

Strategic Fundraising and Sustainability

One of the most common and effective ways nonprofits gain support is through fundraising activities. A business plan helps you develop a targeted fundraising strategy that aligns with the organization’s goals. Clearly outlining the fundraising objectives, target audiences, and specific tactics provides a roadmap for effective resource mobilization.

Additionally, a structured plan attracts and retains donors by instilling confidence in them about the tangible impact their contributions can make.

Risk Management

A business plan is vital for developing strategies to handle risks and potential challenges. This proactive approach helps minimize the impact of unforeseen events, like economic recessions or natural disasters, on the nonprofit’s operations.

A robust risk management strategy not only saves time and money but also improves decision-making , avoids surprises, and, most importantly, prevents harm to the people your nonprofit serves.

Legal and Regulatory Compliance

Because the business plan already lays out how the organization works, it’s easier to understand and adhere to nonprofit laws like tax exemption and revenue regulations.

Dealing with these things from the start helps prevent potential problems, maintains transparency, and builds trust with stakeholders. This allows you to focus on carrying out the mission without legal conflicts.

How to Create a Business Plan Strategy

steps to create a business plan strategy

When gearing up to create a business plan for your nonprofit organization, it’s important to begin by thoroughly understanding the unique aspects of your mission. This solid foundation will guide you through the next steps of crafting a well-thought-out plan, which includes:

1. Create a strategy

Before anything else, you must identify your why .

Ask yourself what you want to happen. What does the organization stand for? Who does it serve? What do you hope for it to become?

If your long-term goal is to create a lasting impact and expand the community you serve, establish a strategy that mirrors your mission. Begin by assessing your organization’s current position, strengths, weaknesses, and opportunities. Based on your assessment, leverage the strengths and address weaknesses that may hinder progress.

Next, clearly define who your target audience is. Understand their specific needs and preferences to tailor your approach effectively.

Once the key factors have been determined and written down, it will serve as the starting point for the strategy.

2. Plan programs

The planning step is where you delve into the how. What are your plans to sustain and amplify the impact you aim to create?

Since you are not selling products or providing services to generate revenue, you’ll need to rely on fundraising events to support your cause. To do this effectively, create detailed program plans covering goals, activities, timelines, and expected outcomes. As always, ensure these plans align with your organization’s mission.

After establishing the programs, set up a monitoring system that tracks their effectiveness and evaluates them regularly. This helps you make informed changes as the nonprofit or the community’s needs evolve.

3. Ensure financial sustainability

Nonprofits receive financial support from various channels, such as individual donations, grants, sponsorships, and fundraising events. To ensure economic sustainability, building relationships with potential donors, individuals, institutions, and various funding sources is important to avoid relying too much on a single avenue.

In this sense, a well-thought-out budget is crucial for financial stability. Make sure to allocate resources carefully, considering program costs, administration expenses, and other needs. A clear and transparent budget not only aids in financial planning but also boosts trust with supporters.

4. Prioritize legal considerations

Even though dealing with changing rules might seem to lead to more paperwork than focusing on your mission, remember that compliance is as important as pursuing your organization’s goals. Some vital legal considerations include:

Legal structure and registration
Tax exemption (if applicable)
Fundraising compliance
Financial accountability
Intellectual property (such as logos, trademarks, and copyrights)
Data protection and privacy

Maintaining a good standing is crucial for obtaining licenses, securing grants and funding, protecting your organization’s reputation, and keeping the right to solicit support.

If you don’t have an in-house legal counsel, it’s a good idea to seek advice from experts who know nonprofit laws in your area when planning your business.

How to Write a Nonprofit Business Plan

Now that you’ve covered all the essential details, the next step is to create the business plan outline. There’s no strict format to follow, as it all depends on your organization’s specifics. However, make sure not to exclude these essential components when creating a nonprofit business plan:

1. Executive Summary

This part is a quick overview of the whole document. Since it’s the first thing people see in the business plan, it’s crucial to make it clear and interesting enough to grab their attention and encourage them to read the entire plan. Include the organization’s fundamentals – its history, objectives, and financing plans.

2. Organizational Overview

Provide a gist of who you are and who you serve. Here, express the organization’s mission, vision, and specific short-term and long-term goals.

3. Products, Programs, or Services Rendered

In this section, you must provide a detailed description of all the products and services mentioned in the executive summary. Highlight any unique aspects, such as innovative features and distinct advantages, that set you apart. State how instrumental these are to the success of your initiatives and how each one addresses the industry need.

4. Operational Plan

This is where you detail how your nonprofit will function on a day-to-day basis. Outline each team member’s daily, weekly, and monthly tasks, specifying responsibilities, timelines, and collaboration points to ensure a cohesive and efficient operation.

Additionally, spotlight any key processes, workflows, or systems necessary to achieve your mission.

5. Marketing Plan

The marketing plan should reflect the mission of the organization. Under this section, outline the strategies and channels to get your nonprofit out there. Include details about your target audience, methods for reaching them, and any promotional activities. This section may also cover partnerships, collaborations, and outreach efforts.

6. Financial Plan

The financial plan provides a comprehensive overview of your nonprofit’s financial health and projections. Include a budget, funding sources, and a breakdown of how funds will be allocated to support your operations and programs. This part is vital for demonstrating sustainability and helping make better-informed decisions.

7. Appendix

In the appendix, incorporate all the additional documents and information supporting the business plan’s main body. This may include resumes of key personnel, detailed financial statements, legal documents, or any other relevant materials.

Here’s a quick step-by-step guide on how to write a business plan:

Start by outlining the executive summary providing a concise overview of the plan.
Develop the organizational overview, which includes the mission and vision of the nonprofit.
Conduct a SWOT (strengths, weaknesses, opportunities, threats) analysis to identify and address internal and external factors.
Clearly articulate short-term and long-term goals and objectives.
Describe the programs and activities that will help achieve these goals.
Develop a marketing and outreach strategy to engage the community and attract support.
Create a detailed financial plan, including budgets, revenue streams, and financial projections.
Outline the governance and management structure, including roles and responsibilities.
Detail monitoring and evaluation processes to assess program effectiveness.

Nonprofit Business Plan Template

Once you have a clear grasp of your organizational goals and strategies, here’s a sample nonprofit business plan template to get you started:

Frequently Asked Questions (FAQs) on Nonprofit Business Plan

Q: how often should a non-profit business plan be updated.

Although nonprofit plans usually set up a roadmap for at least three to five years, they should be regularly reviewed and updated to ensure they remain relevant and aligned with the organization’s purpose and changing external factors. For younger companies, an annual update with six monthly reviews may be sufficient, while more established nonprofits might opt for an annual review with quarterly check-ins.

Q: What role does evaluation play in a non-profit business plan?

Smaller nonprofits often conduct formal evaluations because their funders require it, but the benefits extend in both directions. Internally, evaluations help the organization assess its performance, impact, and effectiveness. In doing so, the nonprofit meets funder expectations and gains valuable insights for improvement, ensuring transparency and better alignment with its mission.

Q: How can a non-profit maintain adaptability in its strategies?

To stay adaptable, a nonprofit can follow three basic practices. First, keep the business plan up-to-date to align with the changing goals and environment. Second, stay on top of current industry trends to anticipate shifts in the landscape and prepare ahead of time. Lastly, revamp tools and approaches to ensure strategies remain innovative and effective.

Plan for Nonprofit Success with Convene

man and woman writing a nonprofit business plan

A well-crafted nonprofit business plan is crucial for success. To achieve this, cooperation is necessary within the internal teams and partners. However, communication can be a common roadblock, especially in a remote workplace.

This is where Convene comes into play.

Convene is a reliable board portal for nonprofits that facilitates effective planning through its interactive and secure features. Easily collaborate with everyone in the organization by leveraging Convene’s live meeting capabilities, such as annotations and digital sign-offs. Also, keep track of the updates and reports with its secure document management features.

Check out this page to learn more about Convene and how it can benefit your nonprofit organizations.

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Get your nonprofit set up for success with a nonprofit business plan

How to Write a Nonprofit Business Plan in 12 Steps (+ Free Template!)

The first step in starting a nonprofit is figuring out how to bring your vision into reality. If there’s any tool that can really help you hit the ground running, it’s a nonprofit business plan!

With a plan in place, you not only have a clear direction for growth, but you can also access valuable funding opportunities.

Here, we’ll explore:

Why a business plan is so important
The components of a business plan
How to write a business plan for a nonprofit specifically

We also have a few great examples, as well as a free nonprofit business plan template.

Let’s get planning!

What Is a Nonprofit Business Plan?

A nonprofit business plan is the roadmap to your organization’s future. It lays out where your nonprofit currently stands in terms of organizational structure, finances and programs. Most importantly, it highlights your goals and how you aim to achieve them!

These goals should be reachable within the next 3-5 years—and flexible! Your nonprofit business plan is a living document, and should be regularly updated as priorities shift. The point of your plan is to remind you and your supporters what your organization is all about.

This document can be as short as one page if you’re just starting out, or much longer as your organization grows. As long as you have all the core elements of a business plan (which we’ll get into below!), you’re golden.

Why Your Nonprofit Needs a Business Plan

While some people might argue that a nonprofit business plan isn’t strictly necessary, it’s well worth your time to make!

Here are 5 benefits of writing a business plan:

Secure funding and grants

Did you know that businesses with a plan are far more likely to get funding than those that don’t have a plan? It’s true!

When donors, investors, foundations, granting bodies and volunteers see you have a clear plan, they’re more likely to trust you with their time and money. Plus, as you achieve the goals laid out in your plan, that trust will only grow.

Solidify your mission

In order to sell your mission, you have to know what it is. That might sound simple, but when you have big dreams and ideas, it’s easy to get lost in all of the possibilities!

Writing your business plan pushes you to express your mission in the most straightforward way possible. As the years go on and new opportunities and ideas arise, your business plan will guide you back to your original mission.

From there, you can figure out if you’ve lost the plot—or if it’s time to change the mission itself!

Set goals and milestones

The first step in achieving your goals is knowing exactly what they are. By highlighting your goals for the next 3-5 years—and naming their key milestones!—you can consistently check if you’re on track.

Nonprofit work is tough, and there will be points along the way where you wonder if you’re actually making a difference. With a nonprofit business plan in place, you can actually see how much you’ve achieved over the years.

Attract a board and volunteers

Getting volunteers and filling nonprofit board positions is essential to building out your organization’s team. Like we said before, a business plan builds trust and shows that your organization is legitimate. In fact, some boards of directors actually require a business plan in order for an organization to run!

An unfortunate truth is that many volunteers get taken advantage of . With a business plan in place, you can show that you’re coming from a place of professionalism.

Research and find opportunities

Writing a business plan requires some research!

Along the way, you’ll likely dig into information like:

Who your ideal donor might be
Where to find potential partners
What your competitors are up to
Which mentorships or grants are available for your organization
What is the best business model for a nonprofit like yours

With this information in place, not only will you have a better nonprofit business model created—you’ll also have a more stable organization!

Free Nonprofit Business Plan Template

If you’re feeling uncertain about building a business plan from scratch, we’ve got you covered!

Here is a quick and simple free nonprofit business plan template.

Basic Format and Parts of a Business Plan

Now that you know what a business plan can do for your organization, let’s talk about what it actually contains!

Here are some key elements of a business plan:

First of all, you want to make sure your business plan follows best practices for formatting. After all, it’ll be available to your team, donors, board of directors, funding bodies and more!

Your nonprofit business plan should:

Be consistent formatted
Have standard margins
Use a good sized font
Keep the document to-the-point
Include a page break after each section
Be proofread

Curious about what each section of the document should look like?

Here are the essential parts of a business plan:

Executive Summary: This is your nonprofit’s story—it’ll include your goals, as well as your mission, vision and values.
Products, programs and services: This is where you show exactly what it is you’re doing. Highlight the programs and services you offer, and how they will benefit your community.
Operations: This section describes your team, partnerships and all activities and requirements your day-to-day operations will include.
Marketing : Your marketing plan will cover your market, market analyses and specific plans for how you will carry out your business plan with the public.
Finances: This section covers an overview of your financial operations. It will include documents like your financial projections, fundraising plan , grants and more
Appendix: Any additional useful information will be attached here.

We’ll get into these sections in more detail below!

How to Write a Nonprofit Business Plan in 12 Steps

Feeling ready to put your plan into action? Here’s how to write a business plan for a nonprofit in 12 simple steps!

1. Research the market

Take a look at what’s going on in your corner of the nonprofit sector. After all, you’re not the first organization to write a business plan!

How your competitors’ business plans are structured
What your beneficiaries are asking for
Potential partners you’d like to reach
Your target donors
What information granting bodies and loan providers require

All of this information will show you what parts of your business plan should be given extra care. Sending out donor surveys, contacting financial institutions and connecting with your beneficiaries are a few tips to get your research going.

If you’re just getting started out, this can help guide you in naming your nonprofit something relevant, eye-catching and unique!

2. Write to your audience

Your business plan will be available for a whole bunch of people, including:

Granting bodies
Loan providers
Prospective and current board members

Each of these audiences will be coming from different backgrounds, and looking at your business plan for different reasons. If you keep your nonprofit business plan accessible (minimal acronyms and industry jargon), you’ll be more likely to reach everyone.

If you’d like, it’s always possible to create a one page business plan AND a more detailed one. Then, you can provide the one that feels most useful to each audience!

3. Write your mission statement

Your mission statement defines how your organization aims to make a difference in the world. In one sentence, lay out why your nonprofit exists.

Here are a few examples of nonprofit mission statements:

Watts of Love is a global solar lighting nonprofit bringing people the power to raise themselves out of the darkness of poverty.
CoachArt creates a transformative arts and athletics community for families impacted by childhood chronic illness.
The Trevor Project fights to end suicide among lesbian, gay, bisexual, transgender, queer, and questioning young people.

In a single sentence, each of these nonprofits defines exactly what it is their organization is doing, and who their work reaches. Offering this information at a glance is how you immediately hook your readers!

4. Describe your nonprofit

Now that your mission is laid out, show a little bit more about who you are and how you aim to carry out your mission. Expanding your mission statement to include your vision and values is a great way to kick this off!

Use this section to highlight:

Your ideal vision for your community
The guiding philosophy and values of your organization
The purpose you were established to achieve

Don’t worry too much about the specifics here—we’ll get into those below! This description is simply meant to demonstrate the heart of your organization.

5. Outline management and organization

When you put together your business plan, you’ll want to describe the structure of your organization in the Operations section.

This will include information like:

Team members (staff, board of directors , etc.)
The specific type of nonprofit you’re running

If you’re already established, make a section for how you got started! This includes your origin story, your growth and the impressive nonprofit talent you’ve brought on over the years.

6. Describe programs, products and services

This information will have its own section in your nonprofit business plan—and for good reason!

It gives readers vital information about how you operate, including:

The specifics of the work you do
How that work helps your beneficiaries
The resources that support the work (partnerships, facilities, volunteers, etc!)
If you have a membership base or a subscription business model

Above all, highlight what needs your nonprofit meets and how it plans to continue meeting those needs. Really get into the details here! Emphasize the work of each and every program, and if you’re already established, note the real impact you’ve made.

Try including pictures and graphic design elements so people can feel your impact even if they’re simply skimming.

7. Create an Executive Summary

Your Executive Summary will sit right at the top of your business plan—in many ways, it’s the shining star of the document! This section serves as a concise and compelling telling of your nonprofit’s story. If it can capture your readers’ attention, they’re more likely to read through the rest of the plan.

Your Executive Summary should include:

Your mission, vision and values
Your goals (and their timelines!)
Your organization’s history
Your primary programs, products and services
Your financing plan
How you intend on using your funding

This section will summarize the basics of everything else in your plan. While it comes first part of your plan, we suggest writing it last! That way, you’ll already have the information on hand.

You can also edit your Executive Summary depending on your audience. For example, if you’re sending your nonprofit business plan to a loan provider, you can really focus on where the money will be going. If you’re trying to recruit a new board member, you might want to highlight goals and impact, instead.

8. Write a marketing plan

Having a nonprofit marketing plan is essential to making sure your mission reaches people—and that’s especially true for your business plan.

If your nonprofit is already up and running, detail the work you’re currently doing, as well as the specific results you’ve seen so far. If you’re new, you’ll mostly be working with projections—so make sure your data is sound!

No matter what, your Marketing Plan section should market research such as:

Beneficiary information
Information on your target audience/donor base
Information on your competitors
Names of potential partners

Data is your friend here! Make note of market analyses and tests you’ve run. Be sure to also document any outreach and campaigns you’ve previously done, as well as your outcomes.

Finally, be sure to list all past and future marketing strategies you’re planning for. This can include promotion, advertising, online marketing plans and more.

9. Create a logistics and operations plan

The Operations section of your business plan will take the organizational information you’ve gathered so far and expand the details! Highlight what the day-to-day will look like for your nonprofit, and how your funds and resources will make it possible.

Be sure to make note of:

The titles and responsibilities of your core team
The partners and suppliers you work with
Insurance you will need
Necessary licenses or certifications you’ll maintain
The cost of services and programs

This is the what and how of your business plan. Lean into those details, and show exactly how you’ll accomplish those goals you’ve been talking about!

10. Write an Impact Plan

Your Impact Plan is a deep dive into your organization’s goals. It grounds your dreams in reality, which brings both idealists and more practically-minded folks into your corner!

Where your Executive Summary lays out your ambitions on a broader level, this plan:

Clarifies your goals in detail
Highlights specific objectives and their timelines
Breaks down how you will achieve them
Shows how you will measure your success

Your Impact Plan will have quite a few goals in it, so be sure to emphasize which ones are the most impactful on your cause. After all, social impact is just as important as financial impact!

Speaking of…

11. Outline the Financial Plan

One of the main reasons people want to know how to write a nonprofit business plan is because of how essential it is to receiving funding. Loan providers, donors and granting bodies will want to see your numbers—and that’s where your Financial Plan comes in.

This plan should clearly lay out where your money is coming from and where it will go. If you’re just getting started, check out what similar nonprofits are doing in order to get realistic numbers. Even if you’re starting a nonprofit on a tight budget , every bit of financial information counts!

First, map out your projected (or actual) nonprofit revenue streams , such as:

Expected membership contributions
Significant donations
In-kind support
Fundraising plan

Then, do the same with your expenses:

Startup costs
Typical bills
Web hosting
Membership management software
Subscription
Costs of programs

If your nonprofit is already up and running, include your past accounting information. Otherwise, keep working with those grounded projections!

To make sure you have all of your information set, include documents like:

Income statement
Cash flow statement
Balance sheet

This information comes together to show that your nonprofit can stay above water financially. Highlighting that you can comfortably cover your operational costs is essential. Plus, building this plan might help your team find funding gaps or opportunities!

12. Include an Appendix

Your appendix is for any extra pieces of useful information for your readers.

This could be documents such as:

Academic papers about your beneficiaries
Publications on your nonprofit’s previous success
Board member bios
Organizational flow chart
Your IRS status letter

Make sure your additions contribute to your nonprofit’s story!

Examples of Business Plans for Nonprofits

Here are two great examples of nonprofit business plans. Notice how they’re different depending on the size of the organization!

Nonprofit Recording Co-op Business Plan

This sample nonprofit business plan shows what a basic plan could look like for a hobbyists’ co-op. If your nonprofit is on the smaller, more local side, this is a great reference!

What we like:

Details on running a basic membership model
Emphasis on what it means to specifically be a sustainable cooperative
A list of early milestones, such as hitting their 100th member
Clarification that all recordings will be legal

Nonprofit Youth Services Business Plan

This sample nonprofit business plan is for a much larger organization. Instead of focusing on the details of a membership model, it gets deeper into programs and services provided.

What we like

The mission is broken down by values
A detailed look at what each program provides
A thorough sales plan
Key assumptions are included for the financial plan

How to Create a Nonprofit Business Plan With Confidence

We hope this sheds some light on how creating a nonprofit business plan can help your organization moving forward! Remember: you know what you want for your organization. A business plan is simply a tool for making those dreams a reality.

Is a membership program part of your business plan? Check out WildApricot ’s award-winning membership management software!

With our 60-day free trial , you’ll have all the time you need to fall in love with what we have to offer.

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Nonprofit Business Plan Template

Written by Dave Lavinsky

Business Plan Outline

Nonprofit Business Plan Home
1. Executive Summary
2. Company Overview
3. Industry Analysis
4. Customer Analysis
5. Competitive Analysis
6. Marketing Plan
7. Operations Plan
8. Management Team
9. Financial Plan

Nonprofit Executive Summary

Business overview.

Helping Youths Thrive Non Profit is a startup nonprofit organization located in Chicago, Illinois. The mission of Helping Youths Thrive is to provide a safe, comfortable, welcoming place for children and teens to go after school, on weekends, or whenever they need a place to socialize or seek counseling. Helping Youths Thrive will also provide certified and trained counselors onsite who are there to counsel or mentor children and teens who may need a safe person to talk with for whatever problems they may be experiencing. Medical, law enforcement, or social workers will be called upon if the counseling team deems it is necessary. Ultimately, Helping Youths Thrive Nonprofit’s mission is to help the underserved community of Chicago get the youth off of the street and provide a safe and welcoming place to go instead of having to go home by themselves or be forced to assimilate with local gang members or drug users.

Helping Youths Thrive Non Profit will be located in a low-income neighborhood of South Chicago where there is an abundance of youth attending the nearby seven public schools. The facility is a former warehouse that will be renovated and converted to a 10,000 square foot indoor facility with an adjacent basketball court and playground. All indoor and outdoor facilities will be closely monitored by security guards, counselors, and mentors.

Service Offering

The following are the services that Helping Youths Thrive Non Profit will provide:

Tutoring; help with homework or school projects
Area for homework and/or studying
Board game and movie watching area
Monitored playground and basketball court
Counselors who are on hand ready to speak with kids who request counseling
On-site nurse

Customer Focus

Helping Youths Thrive Non Profit will target all youths attending the nearby public schools in the southern area of Chicago. The children will all be school age, from the ages of 4 – 17.

Management Team

Tonya Jordan will be the Director of the nonprofit organization. Her Master of Public Administration degree and decades of nonprofit and charity work in Chicago make her an expert in running a nonprofit foundation. She fully understands the 501c3 requirements, grant requirements, and dedication it takes to make a charitable foundation sustainable. Tonya will also hire an Accountant to manage all donations and funding, payables, and payroll. She will also hire a Director of Fundraising to help with sponsor outreach and obtaining a steady stream of charitable gifts. There will be one social worker supervisor, security supervisor, and custodial supervisor to oversee their respective departments and teams.

Success Factors

Helping Youths Thrive Non Profit will be able to achieve success by offering the following competitive advantages:

It will be the largest facility with more available hours for youths to hang out. It will be available before school, after school, weekends, and evenings.
It will provide a team of counselors/social workers to provide free counseling for children that require it or request it.
All youths in attendance will have access to healthy snacks and meals.
The management team will work with proper authorities and/or child services to intervene in a familial situation if necessary.
Helping Youths Thrive Non Profit will partner with the local public schools to act as a partner in education in order for every single student to thrive.

Financial Highlights

Helping Youths Thrive Non Profit is seeking $250,000 in debt financing to begin operations of the nonprofit. The funding will be dedicated towards securing the warehouse, adjacent lot space, and facility and playground build-out. Funding will also be dedicated towards three months of overhead costs to include payroll of the staff, rent, and working capital. The breakout of the funding is below:

Securing warehouse space and adjacent empty lot, build-out, and design: $100,000
Grant writer and 501c3 designation filings: $15,000
Three months of overhead expenses (payroll, rent, utilities): $60,000
Supplies, food, games, playground equipment, furniture: $65,000
Working capital: $10,000

3 Sample Nonprofit Business Plans For Inspiration

Download our Ultimate Nonprofit Business Plan Template here

Below are sample plans to help guide you in writing a nonprofit business plan.

Example #1 – Kids Are Our First Priority (KAOFP) – a Nonprofit Youth Organization based in Chicago, IL
Example #2 – Church of the Sacred Heart – a Nonprofit Church based in St. Louis, MO
Example #3 – Finally Home – a Nonprofit Homeless Shelter in Los Angeles, CA

Sample Nonprofit Business Plan #1 – Kids Are Our First Priority (KAOFP) – a Nonprofit Youth Organization based in Chicago, IL

Executive summary.

Kids Are Our First Priority (KAOFP) is a 501(c)3 nonprofit youth organization that seeks to provide opportunities for students who might otherwise not have access to the arts and humanities. We believe all students should have the opportunity to discover and develop their interests and talents, regardless of socioeconomic status or geographic location. We offer completely free after-school programming in music production, digital photography, creative writing, and leadership development to 12-18-year-olds at risk of dropping out of high school.

Our organization has been active for over five years and has run highly successful programs at two schools in the city of Chicago. We have been awarded an active grant from a local foundation for this coming year, but we will need to cover all costs on our own after that point. Nonprofit administrators have seen a lot of turnovers, leaving the organization without a sustainable plan for reaching its goals.

Organization Overview

The Kids Are Our First Priority (KAOFP) is a 501(c)3 nonprofit youth organization with a mission to provide opportunities for development and self-expression to students who might otherwise not have access. Audiences include at-risk, low-income students from elementary through high school in the Chicago area.

Our programs are built around creative learning with two goals: firstly, creating a space for learning and growth; secondly, encouraging students to share their work with the world.

KAOFP runs three different programs in partnership with closely related nonprofit organizations, providing after-school programming for elementary, middle, and high school-aged children. Programs take place twice a week at different schools around Chicago. While each program is unique in its goals and activities, all programs focus on creative development in the arts and humanities.

Products, Programs, and Services

The three programs offered by KAOFP are Leadership Development (LD), Creative Writing (CW), and Music Production (MP). Students learn in small groups led by skilled instructors. All activities are designed to encourage student engagement, creativity, expression, and community building. Instructors encourage students to share their work with the world through presentations on- and off-site.

Leadership Development (LD)

The Leadership Development program is designed to provide leadership opportunities for high school students who might not otherwise have access to these experiences. Students learn about facilitation, collaboration, communication, and organizational skills as they plan and run projects of their own design. The program’s goal is to provide a structured environment that encourages students to become more confident and comfortable being leaders in their schools, communities, and future careers.

Creative Writing (CW)

Students learn how to use writing creatively as a tool for expression, discovery, and communication. In small groups led by skilled instructors, students write poetry, short stories, and essays of their own design. They also learn about the publishing industry, read each others’ work, and share their writing with the community.

Music Production (MP)

Students learn how to use digital media as a tool for expression, discovery, and communication. In weekly sessions led by skilled instructors, students explore music production through computer software and recording equipment. Students produce their own music and write about their experiences in weekly journals. Industry professionals in the community often volunteer to lead special workshops and seminars.

Industry Analysis

The youth arts and humanities field is extremely competitive. There are many different types of nonprofit organizations doing similar work, but few credible providers with long-term commitments to their communities. KAOFP’s greatest strengths and competitive advantages are our stable and qualified staff, a strong foundation of funding and community support, and a diverse set of programs.

Our biggest competitors include national non-profits with large budgets for advertising and marketing as well as commercial programs that offer music lessons and creative writing courses which may be more cost-effective than our programs. We feel that by focusing on specific areas of creative expression, KAOFP can better serve its communities and differentiate itself from other nonprofit organizations effectively.

Customer Analysis

KAOFP serves elementary, middle, and high school-aged students with programs that include both after-school and summer programming.

Our focus is on low-income neighborhoods with a high population of at-risk youth. In these areas, KAOFP fills a void in the education system by providing opportunities for creative expression and leadership development to students who would not otherwise have access to these resources.

The demographics of our current students are as follows:

91% African-American/Black
6% Hispanic/Latino
5% Multiracial
3.9% Low Income
4.9% Not Identified

Our main target is low-income African American and Latino youth in Chicago Public Schools. We would like to expand our outreach to include other communities in need of creative enrichment opportunities.

Marketing Plan

KAOFP’s marketing program is designed to support student, parent, and staff recruitment by promoting the organization’s goals and programs. Our main target audience consists of parents seeking after-school enrichment opportunities for their children that emphasize creativity and the arts.

To reach this audience, we advertise in public schools as well as on social networking sites such as Facebook and Twitter. We intend to begin marketing online through a company-sponsored blog, which will feature regular updates about KAOFP events and activities. We also intend to use word of mouth as a form of marketing.

Strategic partnerships with local schools and community centers will provide us with additional exposure as well as additional resources to secure funding.

Operations Plan

KAOFP’s day-to-day operation is structured around its programs on Tuesdays from 4 pm to 8 pm.

Administrative offices are located in the same space as each program, allowing instructors to closely monitor their students and provide support as needed. The administrative offices serve the essential function of fundraising, communications, record-keeping, and volunteer coordination. KAOFP’s Board of Directors meets bi-monthly to provide further leadership, guidance, and oversight to our board members and volunteers.

Customer service is conducted by phone and email during our regular business hours of Monday – Friday 9 am to 12 pm. We are not open on weekends or holidays.

Management Team

KAOFP’s organizational structure includes a Board of Directors, an Executive Director, and Program Directors. The Board of Directors provides guidance and oversight to the organization, while the Executive Director manages day-to-day operations. The Program Directors oversee each of KAOFP’s programs.

KAOFP has a small but dedicated staff that is committed to our students and our mission. Our team has a wide range of experience in the arts, education, and nonprofit sector.

Executive Director

The Executive Director is responsible for the overall management of KAOFP. This includes supervising staff, developing and implementing programs, overseeing finances, and representing the organization to the public.

Our Executive Director, Susie Brown, has been with KAOFP since its inception in 2010. She has a B.A. in Fine Arts from the University of Illinois at Urbana-Champaign and an M.F.A. in Creative Writing from Columbia College Chicago. Susie is responsible for the overall management of KAOFP, including supervising staff, developing and implementing programs, overseeing finances, and representing the organization to the public.

Program Directors

Each of KAOFP’s programs is overseen by a Program Director. The Program Directors are responsible for developing and implementing the program curricula, recruiting and training program instructors, and evaluating student progress.

Art Program Director

The Art Program Director, Rachel Smith, has a B.A. in Fine Arts from the University of Illinois at Urbana-Champaign. She is responsible for developing and implementing the program curricula, recruiting and training program instructors, and evaluating student progress.

Music Program Director

The Music Program Director, John Jones, has a B.A. in Music Education from the University of Illinois at Urbana-Champaign. He is responsible for developing and implementing the program curricula, recruiting and training program instructors, and evaluating student progress.

Theatre Program Director

The Theatre Program Director, Jane Doe, has a B.A. in Theatre Arts from the University of Illinois at Urbana-Champaign. She is responsible for developing and implementing the program curricula, recruiting and training program instructors, and evaluating student progress.

Board of Directors

KAOFP’s Board of Directors provides guidance and oversight to the organization. The Board consists of community leaders, educators, artists, and parents. Board members serve three-year terms and can be renewed for one additional term.

Financial Plan

KAOFP’s annual operating budget is approximately $60,000 per year, with an additional one-time cost of about $10,000 for the purchase of equipment and materials. The agency makes very efficient use of its resources by maintaining low overhead costs. Our biggest expense is instructor salaries, which are approximately 75% of total expenses.

Pro Forma Income Statement

Pro forma balance sheet, pro forma cash flow statement, nonprofit business plan example #2 – church of the sacred heart – a nonprofit church based in st. louis, mo.

The Church of Sacred Heart is a nonprofit organization located in St. Louis, Missouri that provides educational opportunities for low-income families. We provide the best quality of education for young children with tuition rates significantly lower than public schools. It has been voted Best Catholic Elementary School by the St Louis Post Dispatch for four years running, and it has maintained consistently high ratings of 4.5 out of 5 stars on Google Reviews since its opening in 1914.

The Church of Sacred Heart strives to build strong relationships with our community by making an impact locally but not forgetting that we operate on global principles. As such, our school commits 10% of its profits to charitable organizations throughout the world every year, while also conducting fundraisers throughout the year to keep tuition rates affordable.

We are currently transitioning from a safe, high-quality learning environment to an even more attractive facility with state-of-the-art technology and modern materials that will appeal to young students and their families. New facilities, such as additional classrooms and teachers’ lounges would allow us not only to accommodate new students but also attract current families by having more places within the school where they can spend time between classes.

By taking full advantage of available opportunities to invest in our teachers, students, and facilities, we will be able to achieve steady revenue growth at 4% per year until 20XX.

The Church of Sacred Heart provides a safe learning environment with an emphasis on strong academics and a nurturing environment that meets the needs of its young students and their families. Investing in new facilities will allow us to provide even better care for our children as we continue to grow as a school.

Mission Statement: “We will strive diligently to create a safe, respectful environment where students are encouraged and inspired to learn through faith.”

Vision Statement: “Sacred Heart believes education gives every child the opportunity to achieve their full potential.”

The Church of the Sacred Heart was built in 1914 and is located in the Old North St. Louis neighborhood, an area with a high concentration of poverty, crime, unemployment, and abandoned buildings.

The church houses the only Catholic school for low-income families in the north city; together they formed Sacred Heart’s educational center (SCE). SCE has strived to provide academic excellence to children from low-income families by providing a small, nurturing environment as well as high academic standards.

The facility is in need of renovations and new equipment to continue its mission.

The Church of the Sacred Heart is a small nonprofit organization that provides a variety of educational and community services.

The services provided by Sacred Heart represent a $5 billion industry, with nonprofit organizations accounting for $258.8 billion of that total.

The health care and social assistance sector is the largest among nonprofits, representing 32 percent of revenues, followed by educational services (18 percent), and human and other social service providers (16 percent).

The key customers for the Church of the Sacred Heart are families in need of affordable education. The number of students in the school has increased from 500 when it opened in 1914 to 1,100 at its peak during 20XX-20XX but has since declined due to various reasons.

The children at Sacred Heart are from low-income families and 91 percent qualify for free or reduced lunches. Most parents work or have a family member who works full-time, while others don’t work due to child care restraints. The number of children enrolled in Sacred Heart is stable at 1,075 students because there is a lack of affordable alternatives to Catholic education in the area.

SCE offers K-5th grade students a unique learning experience in small groups with individualized instruction.

Sacred Heart has an established brand and is well known for its high standards of academic excellence, which include a 100 percent graduation rate.

Sacred Heart attracts prospective students through promotional materials such as weekly bulletins, mailers to homes that are located in the area served, and local churches.

Parents and guardians of children enrolled in Sacred Heart are mainly referrals from current families, word-of-mouth, and parishioners who learn about the school by attending Mass at Sacred Heart.

The Church of Sacred Heart does not currently advertise; however, it is one of the few Catholic schools that serve low-income families in St. Louis, MO, and therefore uses word of mouth to attract new students to its school.

The Church of Sacred Heart has an established brand awareness within the target audience despite not having direct marketing plans or materials.

The operations section for the Church of the Sacred Heart consists of expanding its after-school program as well as revamping its facility to meet the growing demand for affordable educational services.

Sacred Heart is located in an area where more than one-third of children live below the poverty line, which helps Sacred Heart stand out among other schools that are more upscale. Expansion into after-school programs will allow it to capture a larger market share by providing additional services to its target audience.

In order to expand, Sacred Heart will have to hire additional personnel as well as invest in new equipment and supplies for both the school and the after-school program.

The Church of Sacred Heart’s financial plan includes a fundraising plan that would help renovate the building as well as acquire new equipment and supplies for the school.

According to the National Center for Education Statistics, Catholic elementary schools across all grade levels spend an average of $6,910 per pupil on operating expenses. A fundraising initiative would help Sacred Heart acquire additional revenue while expanding its services to low-income families in St Louis, MO.

Financial Overview

The Church of the Sacred Heart expects to generate revenues of about $1.2 million in fiscal year 20XX, representing a growth rate of 2 percent from its 20XX revenue level. For 20XX, the church expects revenues to decrease by 4 percent due to a decline in enrollment and the lack of new students. The Church of Sacred Heart has experienced steady revenue growth since its opening in 1914.

Revenue stream 1: Tuition – 22%
Revenue stream 2: Investment income – 1%

Despite being located in a poverty-stricken area, the Church of Sacred Heart has a stable revenue growth at 4 percent per year. Therefore, Sacred Heart should be able to attain its 20XX revenue goal of $1.2 million by investing in new facilities and increasing tuition fees for students enrolled in its after-school program.

Income Statement f or the fiscal year ending December 31, 20XX

Revenue: $1.2 million

Total Expenses: $910,000

Net Income Before Taxes: $302,000

Statement of Financial Position as of December 31, 20XX

Cash and Cash Equivalents: $25,000

Receivables: $335,000

Property and Equipment: $1.2 million

Intangible Assets: $0

Total Assets: $1.5 million

Balance Statement

The board of directors has approved the 20XX fiscal year budget for Sacred Heart Catholic Church, which is estimated at $1.3 million in revenues and $920,000 in expenditures.

Cash Flow Statement f or the Fiscal Year Ending December 31, 20XX

Operating Activities: Income Before Taxes -$302,000

Investing Activities: New equipment and supplies -$100,000

Financing Activities: Fundraising campaign $200,000

Net Change in Cash: $25,000

According to the 20XX fiscal year financial statements for Sacred Heart Catholic Church, it expects its investments to decrease by 4 percent and expects to generate $1.3 million in revenues. Its total assets are valued at $1.5 million, which consists of equipment and property worth approximately 1.2 million dollars.

The Church of Sacred Heart’s financial statements demonstrate its long-term potential for strong revenue growth due to its steady market share held with low-income families in St. Louis, MO.

Nonprofit Business Plan Example #3 – Finally Home – a Nonprofit Homeless Shelter in Los Angeles, CA

Finally Home is a nonprofit organization that aims to provide low-income single-parent families with affordable housing. The management team has a strong background in the social service industry and deep ties in the communities they plan to serve. In addition, Finally Home’s CEO has a background in real estate development, which will help the organization as they begin developing its operations.

Finally Home’s mission is to reinvent affordable housing for low-income single-parent families and make it more sustainable and accessible. They will accomplish this by buying homes from families and renting them out at an affordable price. Finally Home expects its model of affordable housing to become more sustainable and accessible than any other model currently available on the market today. Finally Home’s competitive advantage over similar organizations is that it will purchase land and buildings from which to build affordable housing. This gives them a greater amount of ownership over their communities and the properties in which the homes are located, as well as freedom when financing these projects.

Finally Home plans on accomplishing this by buying real estate in areas with high concentrations of low-income families who are ready to become homeowners. These homes will be used as affordable housing units until they are purchased by Finally Home’s target demographic, at which point the organizations will begin renting them out at a base rate of 30% of the family’s monthly household income.

Finally Home plans on financing its operations through both private donations and contributions from foundations, corporations, and government organizations.

Finally Home’s management team has strong backgrounds in the social service industry, with deep ties to families that will be prepared to take advantage of Finally Home’s affordable housing opportunities. The CEO of Finally Home also brings extensive real estate development experience to the organization, an asset that will be especially helpful as Finally Home begins its operations.

Finally Home is a nonprofit organization, incorporated in the State of California, whose mission is to help homeless families by providing them with housing and support services. The centerpiece of our program, which will be replicated nationwide if successful, is an apartment complex that offers supportive living for single parents and their children.

The apartments are fully furnished, and all utilities are paid.

All the single parents have jobs, but they don’t earn enough to pay market-rate rent while still paying for other necessities such as food and transportation.

The organization was founded in 20XX by Henry Cisneros, a former U.S. Secretary of Housing and Urban Development who served under President Bill Clinton. Cisneros is the chairman of Finally Home’s board of directors, which includes leaders with experience in banking, nonprofit management, and housing professions.

The core values are family unity, compassion for the poor, and respect for our clients. They are the values that guide our employees and volunteers at Finally Home from start to finish.

According to the United States Conference of Mayors’ Task Force on Hunger and Homelessness 20XX Report, “Hunger & Homelessness Survey: A Status Report on Hunger & Homelessness in America’s Cities,” almost half (48%) of all homeless people are members of families with children. Of this number, over one quarter (26%) are under the age of 18.

In 20XX, there were 9.5 million poor adults living in poverty in a family with children and no spouse present. The majority of these families (63%) have only one earner, while 44% have zero earners because the person is not old enough or does not work for other reasons.

The total number of people in poverty in 20XX was 46.5 million, the largest number since Census began publishing these statistics 52 years ago.

Finally Home’s goal is to help single parents escape this cycle of poverty through providing affordable housing and case management services to support them long term.

Unique Market Position

Finally Home creates unique value for its potential customers by creating housing where it does not yet exist.

By helping single parents escape poverty and become self-sufficient, Finally Home will drive demand among low-income families nationwide who are experiencing homelessness. The high level of need among this demographic is significant nationwide. However, there are no other organizations with the same market position as Finally Home.

Finally Home’s target customers are low-income families who are experiencing homelessness in the Los Angeles area. The organization will actively seek out these families through national networks of other social service providers to whom they refer their clients regularly.

Finally Home expects to have a waiting list of families that are interested in the program before they even open their doors.

This customer analysis is based on the assumption that these particular demographic groups are already active users of other social service programs, so referrals will be natural and easy for Finally Home.

Industry Capacity

This information is based on the assumption that these particular demographic groups are already active users of other social service programs, so referrals will be natural and easy for Finally Home.

There is a growing demand for low-income single-parent housing nationwide, yet there is no one organization currently providing these services on a national level like Finally Home.

Thus, Finally Home has a competitive advantage and market niche here because it will be the only nonprofit organization of its kind in the country.

Finally Home’s marketing strategies will focus on attracting potential customers through national networks of other social service providers. They will advertise to their referral sources using materials developed by the organization. Finally Home will also advertise its services online, targeting low-income families using Google AdWords.

Finally Home will be reinventing affordable housing to make it more accessible and sustainable for low-income single parents. In this new model, Finally Home will own the land and buildings on which its housing units are built, as well as the properties in which they are located.

When a family is ready to move into an affordable housing unit, Finally Home will buy the home they currently live in. This way, families can take advantage of homeownership services like property tax assistance and financial literacy courses that help them manage their newfound wealth.

Finally Home has already partnered with local real estate agents to identify properties for purchase. The organization expects this to result in homes that are at least 30% cheaper than market value.

Finally Home will finance its operational plan through the use of private contributions and donations from public and private foundations, as well as corporate sponsorships.

Finally Home’s management team consists of:

Veronica Jones, CEO, and Founder
Mark MacDonald, COO
Scott Bader, CFO

Management Summary

The management team has a strong history of social service advocacy and deep ties in the communities they plan to serve. In addition, the organization’s CEO has a background in real estate development that will be helpful as Finally Home begins operations.

Year 1: Operation startup costs to launch first five houses ($621,865)
Year 2: Deliver on market offer and complete first capital raise ($4,753,000)
Year 3: Deliver on market offer and complete $5 million capital raise ($7,950,000)
Year 4+: Continue to grow market share with a national network of social services providers ($15,350,000).

This nonprofit business plan will serve as an effective road map for Finally Home in its efforts to create a new model for affordable housing.

Nonprofit Business Plan Example PDF

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Simple Steps to Write an Executive Summary

by Funding For Good | May 22, 2023 | Development/Fundraising , Grant Research , Grant Writing

The executive summary is one of the most important parts of any grant proposal.

Think of your executive summary like a movie trailer. The executive summary sets the tone for your proposal, previews your proposed impact, highlights your organization’s expertise, and demonstrates how your work aligns with donors’ funding priorities.

That’s a LOT to accomplish in only a few words. That’s why we recommend taking the time to polish the executive summary for every grant proposal you submit.

Luckily, writing a great executive summary isn’t rocket science—though that doesn’t mean it’s always easy. Since Funding for Good’s team has written hundreds of successful proposals, we thought we’d break down what it takes to write a winning executive summary.

What Is an Executive Summary?

Most nonprofit grant proposals open with a brief executive summary. In a few hundred words—2-4 paragraphs—an executive summary introduces and summarizes the overall grant application.

The executive summary should also inspire donors to continue reading the proposal. This means that the executive summary has a dual purpose. It serves as both an informational and an inspirational tool.

How to Write an Effective Executive Summary

Many nonprofit grant-seekers approach writing an executive summary in one of two ways:

Writing lofty yet vague text that conveys few concrete details.
Squishing in as many facts as possible.

Neither of these approaches is ideal—and can turn off donors.

An executive summary should be clear, concise, and persuasive and include the following:

Who you are
What you do
A description of your problem
A few key descriptors of your program/project
What makes your program/project extraordinary
How your organization/program/project is uniquely positioned

Example of an Executive Summary

Let’s look at an example of a nonprofit executive summary in action. Below is an executive summary that we wrote several years ago for a successful grant proposal.

Of course, reading an executive summary is different than writing one. So, to help you write an effective executive summary, let’s break down our example line-by-line.

Deconstructing a Successful Executive Summary

Paragraph one.

In the first paragraph, the first sentence includes the mission statement of the organization.

A well-written mission statement should describe who you are, what you do, and how you do it. If your mission statement isn’t stellar yet, then it might be time to consider a strategic planning process for your nonprofit .

The second sentence describes what is being requested, including a dollar amount.

The third sentence previews how the program or project is unique.

BOOM! First paragraph done!

Paragraph Two

Next, you can strip the second paragraph down to basics—and essentially fill in the blanks.

{ Program/Project Name } was designed in { Month Year } { to do what? }. Since its inception, the program/project has { grown, expanded, served, etc. who/what? }. Due to { what reason } we have a need for { what is your need for }, but lack funding to provide { it, them, etc. }. { Program/Project Name } strives to { do what } of { for whom } through { list services you provide }.

TA-DA! Second paragraph done!

Paragraph Three

The third and final paragraph indicates how your program/project is extraordinary (this needs to be quantitative/measurable) and includes data and statistics to support the claim.

Recommended Writing Process

As with most elements of grant proposals, we recommend starting with content first before worrying about language. Your first step is gathering information to cover each of the key elements. For example:

Do you have a concise description of your organization’s mission?
Can you describe the problem you are trying to solve?
Are you clear on what makes your organization uniquely situated to solve this problem?

An executive summary can be written before or after you have drafted the full grant proposal. In most cases, however, you will want to write the executive summary after you have written the rest of the proposal. This way, the information you need will already be at your fingertips.

In some cases, though, writing the executive summary first can help you understand how to frame the rest of your proposal for a specific donor audience. This may be the case if you’re adapting an existing grant proposal or program description for a new donor.

Bonus Executive Summary Tips

Remember, an executive summary needs to combine information and inspiration.

As you’re revising, be sure to think about the interests of your audience—and mention how your proposed work matches those priorities.
If you have great quotes from letters of support, client recommendations, incredible statistics, or other extremely compelling data, you should include a couple of snippets. Just remember not to go overboard. You have the rest of the grant proposal narrative to describe your impact.
Follow up the last paragraph by encouraging donors to consider assisting, partnering, or collaborating with you to accomplish your goal or fill a critical gap.

Now it’s time to get writing!

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Nonprofit Food Bank Business Plan

Start your own nonprofit food bank business plan

Helping Hand

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">.

Helping Hand is a tax-exempt not-for-profit food bank that serves all of Johnson County, Washington. Helping Hand’s goal is to alleviate hunger in Johnson County by soliciting, collecting, growing, and packaging food for distribution through a network of service agencies and programs that serve our target population groups. Our services include food box programs, emergency food programs, and a youth farm that provides opportunities for self-sufficiency activities for “at risk” youth. Helping Hand receives support from the county, charitable organizations and corporate sponsorship.

Approximately 20% of Johnson County residents qualify for assistance from Helping Hand. Our client base is low-income people, mainly families, who need emergency help to put food on the table. Nearly half of those served by the program are children. Helping Hand operates a warehouse facility where we store donated or rescued food for distribution. The program actively solicits food from local food growers, retailers, wholesalers, and processors. In addition, Helping Hand collect food donations from restaurants for immediate distribution to service programs.

It is estimated that the number of children who need services from Helping Hand will increase during the next five years. Johnson County is growing and a number of new families are entering the area to look for employment. A number of programs exist to help transition these new families into the county. Helping Hand is an important resource to these programs because we can respond quickly with the one of the most important resources these families need. Food!

Our services improves the ability of families to care for children and achieve goals of self-sufficiency. Helping Hand’s services, now, are a small investment in comparison to cost of ignoring the problem of hunger in the county and the influence it has on a number of health and crime issues.

Nonprofit food bank business plan, executive summary chart image

1.1 Mission

The mission of Helping Hands is to alleviate hunger in Johnson County by soliciting, collecting, growing, and packaging food for distribution through a network of agencies and programs, as well as provide opportunities for self sufficiency. Our services include food box programs, emergency shelters, congregate meal sites, residential treatment services, and children’s programs.

1.2 Objectives

This new initiative is designed to create a food bank that will serve all of Johnson County, Washington. Our objectives are:

Acquire $200,000 of start-up funding through corporate, private charities and government financial support.
Raise an additional $100,000 in fundraising activity.

Organization Summary organization overview ) is an overview of the most important points about your company—your history, management team, location, mission statement and legal structure.">

Helping Hand is a food bank serving Johnson County, Washington. The program’s focus is to identify and utilize resources for food in the county in order to eliminate hunger among low-income individuals and families in the area.

The program performs the following:

Operates a youth farm program for “at-risk” young people.

2.1 Start-up Summary

Helping Hand’s start-up cost is $200,000. A significant portion of the cost is donated trucks and collection vehicles for food, as well as a storage facility. The remainder are the expenses normally associated with opening an office. The program is funded by contributions from ten corporate sponsors, a grant from a private philanthropic trust, and Johnson County. The assumptions are shown in the following table and chart.

Nonprofit food bank business plan, organization summary chart image

2.2 Legal Entity

Helping Hand is a Washington nonprofit corporation.

Approximately 20% of Johnson County residents qualify for assistance from Helping Hand. Low-income people, mostly families, who need emergency help to put food on the table will be helped by this new program. Nearly half of the people we serve are children and nearly one-fifth are senior citizens. In the families we serve, there is at least one working person.

Helping Hand collects food at its centralized facility in the city of Monroe and distributes the food to nonprofit social service agencies and programs in the county. The majority of the food we distribute is in the form of emergency boxes. Individuals or families can receive up to 15 boxes a year. Each box contains a 3-5 day supply of high-quality food. The remaining resources are dedicated to providing food to residential treatment facilities, dinner programs, youth service centers, foster homes, children’s program and more.

Market Analysis Summary how to do a market analysis for your business plan.">

The population base for Johnson County is 600,000. Approximately 20% of the county’s population can be characterized as low-income. This represents 120,000 residents that are potentially in need of services from Helping Hand.

This group can be broken down into three segments:

Seniors (30,000);
Individual Adults (35,000);
Children (55,000).

Children represent 45% of the county residents in need of Helping Hand services. The program has identified children and their families as it primary target customers. It is projected that the number of low-income children will increase in Johnson County by 20% over the next four years. By 2006, children will represent 52% of Helping Hand’s client base. With effective intervention, the debilitation effects of hunger can be eliminated. Consequently, the families will be better able to be successfully providing for its children.

4.1 Market Segmentation

Service Geographics Helping Hand serves the Johnson County area with a total population in excess of 600,000 people. Over 50% of the county’s population lives in Monroe. The remaining bulk of county’s population resides in Lewisville, Drain, Fremont, and Lakespurs.

Service Demographics It is estimated that 20% of the county’s residents are low-income. Of the county’s 120,000 low income residents, 25% are seniors, 30% are individual adults, and 45% are children. Family groupings represent over 64% of low income residents in Johnson County. Over 90% of these families has at least one family member working full-time. This is why children and their families are the focus of the program.

Service Psychographics One of the most typical profiles of families interested in this type of program can be described by the following:

The families are most receptive to receiving food assistance through social service programs that are working with the families in other concerns.

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Nonprofit food bank business plan, market analysis summary chart image

4.2 Target Market Segment Strategy

The primary target population group for Helping Hand is children (from birth to 16 years of age) and their families. This group has been identified as the fastest growing segment of the population that need food bank services. The impact of food assistance is most critical during the first five years of a child’s life. Children ages birth to five years of age represents 50% of the children served by the program.

Strategy and Implementation Summary

Helping Hand will focus on establishing an effective collection network with local growers, retailers, wholesalers, and processors. Another primary goal will be the creation of a youth farm that will employ “at risk” youth. The program will also start a fundraising campaign with area retail markets, banks and credit unions in order to raise an additional $100,000.

Helping Hand will advertise its services to the target populations groups through the agencies that serve these groups on a daily basis.

5.1 Marketing Strategy

Helping Hand’s marketing program will focus on increasing its visibility in the community. Participating food retail stores will carry information about Helping Hand and how stores like this one are helping the community. Award plaques will be distributed to stores each year and the program will find additional methods to raise the profile of stores that assist the program.

Program brochures will be distributed by local social service programs and agencies that serve the target population groups. In addition, these programs and agencies will serve as advocates of using Helping Hand in response to the need for emergency food.

5.2 Fundraising Strategy

Helping Hand will immediately start a Fall Fundraising campaign that will focus on using the local banks and credit unions to collect donations to fight hunger. Typically, food drives are started in October and November. Helping Hand will place donation bins in participating banks and credit union. In addition, customers in local retail food stores can donate money to Helping Hand at the checkout stand.

5.2.1 Funding Forecast

Helping Hand’s monthly revenues for the 2002-2003 calendar year will fluctuate based on the seasons. During Fall the program will have its major fundraiser. The summer months are anticipated to be weak food collection months.

The following are Helping Hand’s fundraising and food collection programs:

Food Collection (FC) Participating retailers, wholesalers, and processors will donate food stuffs. These contributors will contribute donations of a monthly basis.

Fill the Bucket (FtB) Each Fall, Helping Hand will run a fundraiser through local banks and credit union. Small containers that will look like the larger Helping Hand food bins will sit at the counter of each teller.

Food Rescue Express (FRE) Helping Hand will collect donated food from local restaurants to be immediately distributed to programs in the area that will in turn distribute the food to their clients.

Gleaning Harvest leftovers and unsold produce from farmers’ fields will be collected by Helping Hand. Every year thousands of pounds of fresh fruit and vegetables are left to rot or get tilled under the field. Gleaning reduces waste while feeding people. Helping Hand actually recruits gleaning crews from the local support program.

Youth Farm (YF) The youth farm utilizes kids in diversion program or local program serving “at risk” kids to provide a learning environment that turn these kids life around. The produce is sold by the youth farm crew members at a on-site produce stand. All proceeds are used to support Helping Hand programs.

Editor’s Note: To maximize the chart size for the Funding Monthly and Funding By Year charts below the fundraising categories above have been abbreviated within the Funding Forecast table. Charitable/Corporate Program Funding will use C/CPF as an acronym in the table and charts.

Nonprofit food bank business plan, strategy and implementation summary chart image

Management Summary management summary will include information about who's on your team and why they're the right people for the job, as well as your future hiring plans.">

Helping Hand’s management team consist of a board of directors and an executive director. The program will consist of five service coordinators.

6.1 Personnel Plan

The following table summarizes the program’s personnel expenditures for the first three years.

The staff will consist of five coordinators:

Volunteer coordinator;
Food solicitation coordinator;
Distribution coordinator;
Warehouse coordinator;
Youth farm coordinator.

The detailed monthly personnel plan for the first year is included in the appendix.

Financial Plan investor-ready personnel plan .">

Helping Hand is funded from a variety of sources, public and private. We anticipate that funding will increase by 15% over the next three years. The executive director and the board of directors will be responsible for reviewing the program expenditures and making adjustment to assure the program solvency.

7.1 Important Assumptions

The financial plan depends on important assumptions, most of which are shown in the following table.

The key underlying assumptions are:

We assume a continued need for emergency food services in the county.

7.2 Projected Surplus or Deficit

Helping Hand’s Projected Surplus and Deficit is shown on the following table. The detailed monthly projections are included in the appendix.

Nonprofit food bank business plan, financial plan chart image

7.3 Projected Cash Flow

Helping Hand’s cash flow is represented as funding dollars and collected food and monetary donations. The monthly cash flow is shown in the illustration, with one bar representing the cash flow per month, and the other the monthly cash balance. The annual cash flow figures are included here and the more important detailed monthly numbers are included in the appendix.

7.4 Projected Balance Sheet

The following table represents the Project Balance Sheet for Helping Hand.

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Simple Steps to Write an Executive Summary

There are 8 basic elements of most proposals. Each grant application will not use the same terminology, but most will ask for this type of information. Some grants won’t have all of these, some will have more, but a good template can be created for your programs and projects based on these:

Executive Summary
Organizational Information
Statement of Need
Project Description
Evaluation Methods
Sustainability Plan

Today, we are going to focus on the Executive Summary. A well-written executive summary can be used interchangeably as a Letter of Inquiry. Some argue that this is the most important element of the proposal. In a few hundred words, summarize the grant application. What’s more, you must invite/compel the reader to read on.

Instinctively, grantseekers approach this one of two ways:

squish in as many facts as possible

Neither is ideal.

An executive summary should be clear, concise, and persuasive and include the following:

Who you are
What you do
A description of your problem
A few key descriptors of your program/project
What makes your program/project extraordinary
How your organization/program/project is uniquely positioned

Let’s look at an example. This is an executive summary that we wrote for a grant years ago, that was As you can see, I already highlighted for you where the description, unique position, key descriptors, the extraordinary statements are in this example.

Now let’s learn how to deconstruct this for YOUR needs.

In the first paragraph, the first sentence is the mission statement of the organization. If you have a well-written mission statement, it should say who you are, what you do, and how you do it. If it doesn’t, you might consider revising it with your board. Otherwise, if can be your first sentence.

The second sentence says what is being requested and a dollar amount.

The third sentence is the statement of how the program or project is unique.

BOOM! First paragraph done!

In the second paragraph, you can deconstruct the paragraph this way and fill in your details:

{Program/Project Name} was designed in {Month Year} {to do what?} . Since its inception, the program/project has {grown, expanded, served, etc. who/what?} . Due to {what reason} we have a need for {what is your need for} , but lack funding to provide {it, them, etc.} . {Program/Project Name} strives to {do what} of {for whom} through {list services you provide} .

TA-DA! Second paragraph done!

The third and final paragraph should indicate how your program/project is extraordinary (this needs to be quantitative/measurable) and include data and statistics to support the claim. If you have letters of support, etc. that you can pull quotes from, which can be helpful too. Follow-up the last paragraph by encouraging them to consider ‘assisting’, ‘partnering’, ‘collaborating’ with you to accomplish your goal, or fill your need (whichever is most appropriate).

It is amazing to me how much quicker this is to teach in-person than it is to type it out! I also have some videos that might be useful as you continue to find ways to make your grant requests more successful. They can be found here: https://youtu.be/c8vsmuea-Vg

I hope you find this helpful as you compose your grant templates and work to secure the dollars needed to build your capacity.

Happy Writing! Mandy

This blog is an original work of the attributed author and is shared with permission via Foundant Technologies' website for informative purposes only as part of our educational content in the philanthropic sector. The views, thoughts, and opinions expressed in this text belong solely to the author and do not necessarily reflect Foundant's stance on this topic. If you have questions or comments, please reach out to our team .

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The Executive Summary Of A Nonprofit Business Plan
The executive summary can be used for helping a potential lender, donor, etc. understand the gist of the nonprofit organization and the business side of things. Use this section to communicate the basic concept and the big picture items that are relevant to your nonprofit and to the cause you serve. Although it is one of the last things to ...
How to Write a Nonprofit Business Plan (with Examples)
Avoid using jargon, acronyms, or any unfamiliar terms. Write for a general audience, and you'll be more likely to keep the reader engaged. 2. Outline your plan. Make a nonprofit business plan outline. Once you know what information will be put into the plan, you'll understand what data you need to source to write it.
Nonprofit Business Plan Template & Example (Updated 2024)
Executive Summary - The Executive Summary of your nonprofit business plan explains your overall strategic plan to achieve success as a nonprofit. It will include your organization's mission statement, goals, and objectives. This section will also include information on your target market, competition, and marketing strategy.
Nonprofit Business Plan Executive Summary
Although it is normally written last, your executive summary provides an introduction to your entire business plan. The first page should describe your nonprofit's mission and purpose, summarize your market analysis that proves an identifiable need, and explain how your nonprofit will meet that need. With regards to your Mission Statement ...
Sample Nonprofit Business Plan with Explanations
Your nonprofit business plan will define your goals and help you attract experienced board members, employees and donors. We've put together this sample nonprofit business plan to show you what you should include when you write your business plan. Executive Summary. At the beginning of your nonprofit business plan, you'll need an executive ...
Business Planning for Nonprofits
Here is a typical outline of the format for a business plan: Table of contents; Executive summary - Name the problem the nonprofit is trying to solve: its mission, and how it accomplishes its mission. ... The Nonprofit Business Plan: A Leader's Guide to Creating a Successful Business Model (David La Piana, Heather Gowdy, Lester Olmstead-Rose, ...
The Ultimate Guide to Writing a Nonprofit Business Plan
Step 3: Outline. Create an outline of your nonprofit business plan. Write out everything you want your plan to include (e.g. sections such as marketing, fundraising, human resources, and budgets). An outline helps you focus your attention. It gives you a roadmap from the start, through the middle, and to the end.
Business Plan For A Nonprofit Organization + Template
Financial Plan; Appendix . Executive Summary. The executive summary of a nonprofit business plan is a one-to-two page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan. ... Sample Balance Sheet for a Startup Nonprofit Organization. Year 1: Year 2: Year 3 ...
How to Write a Nonprofit Business Plan + Example [Updated 2024]
Here are the essential components: Executive Summary - This is a summary of your entire business plan, and should include a brief description of your nonprofit organization, its mission and goals, the problem you are trying to solve, your proposed solutions, and an overview of your financial projections. Organization Overview - This section ...
How to Write a Nonprofit Business Plan
Executive summary. The executive summary of a nonprofit business plan is typically the first section of the plan to be read, but the last to be written. That's because this section is a general overview of everything else in the business plan - the overall snapshot of what your vision is for the organization. Write it as though you might ...
Nonprofit Business Plan: Guide + Template
A business plan for nonprofits is a strategic document that outlines a nonprofit organization's goals and operational approach. While similar to for-profit business plans, the focus here is on achieving social impact rather than financial profit. Projects implemented by nonprofit organizations typically revolve around fostering social welfare ...
How to Write a Nonprofit Business Plan in 12 Steps ...
Here are the essential parts of a business plan: Executive Summary: This is your nonprofit's story—it'll include your goals, as well as your mission, vision and values. ... This sample nonprofit business plan shows what a basic plan could look like for a hobbyists' co-op. If your nonprofit is on the smaller, more local side, this is a ...
Non Profit Business Plan Executive Summary
Nonprofit Executive Summary Business Overview. Helping Youths Thrive Non Profit is a startup nonprofit organization located in Chicago, Illinois. The mission of Helping Youths Thrive is to provide a safe, comfortable, welcoming place for children and teens to go after school, on weekends, or whenever they need a place to socialize or seek ...
Nonprofit Business Plan Template & Guide [Updated 2024]
Growthink's nonprofit business plan template below is the result of 20+ years of research into the types of business plans that help nonprofit organizations (NPOs) to attract funding and achieve their goals. Follow the links to each section of our nonprofit business plan template: 1. Executive Summary.
Nonprofit Business Plan Templates
Download Sample Nonprofit Business Plan Outline Template. Word | PDF | Google Doc. ... Start with What You Have: With the exception of completing the executive summary, which you must do last, you aren't obligated to fill in each section of the plan in order. Use the information you have on hand to begin filling in the various parts of your ...
How To Write a Nonprofit Business Plan (2024)
Create a logistics and operations plan. Write an impact plan. Outline the financial plan. 1. Create an executive summary. The first section of nonprofit business plans is the executive summary. The executive summary should describe your organization and the contents of your nonprofit business plan.
PDF CONFIDENTIAL SAMPLE NONPROFIT BUSINESS PLAN OUTLINE TEMPLATE
sample nonprofit business plan outline template presented to: date prepared contact. confidential page 2 table of contents ... executive summary . confidential page 4 2. organization overview 2.1 organization background 2.2 mission statement and vision statement 2.3 opportunity .
Sample Nonprofit Business Plans
Sample business plans from nonprofit organizations with which The Bridgespan Group has worked. For nonprofit organizations, the business-planning process offers a rare opportunity to step back and look at the organization as a whole. It is a time to connect the dots between mission and programs, to specify the resources that will be required to ...
3 Sample Nonprofit Business Plans For Inspiration
Sample Nonprofit Business Plan #1 - Kids Are Our First Priority (KAOFP) - a Nonprofit Youth Organization based in Chicago, IL. ... Executive Summary. Finally Home is a nonprofit organization that aims to provide low-income single-parent families with affordable housing. The management team has a strong background in the social service ...
Simple Steps to Write an Executive Summary
Most nonprofit grant proposals open with a brief executive summary. In a few hundred words—2-4 paragraphs—an executive summary introduces and summarizes the overall grant application. The executive summary should also inspire donors to continue reading the proposal. This means that the executive summary has a dual purpose.
Business Plan Executive Summary Example & Template
Bottom Line. Writing an executive summary doesn't need to be difficult if you've already done the work of writing the business plan itself. Take the elements from the plan and summarize each ...
Nonprofit Food Bank Business Plan Example
Executive Summary. Helping Hand is a tax-exempt not-for-profit food bank that serves all of Johnson County, Washington. Helping Hand's goal is to alleviate hunger in Johnson County by soliciting, collecting, growing, and packaging food for distribution through a network of service agencies and programs that serve our target population groups.
Simple Steps to Write an Executive Summary
Instinctively, grantseekers approach this one of two ways: vague. squish in as many facts as possible. Neither is ideal. An executive summary should be clear, concise, and persuasive and include the following: Who you are. What you do. A description of your problem. A few key descriptors of your program/project.

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