Nonprofit Overhead Costs

Source
The Bridgespan Group

When nonprofit organizations are able to invest adequately in staffing and infrastructure— “overhead”—they are better able to carry out their missions.  This resource lays out steps that organizations and their supporters can take to create an environment in which healthy growth is experienced. This guide talks about breaking the cycle of misleading reporting, unrealistic expectations, and pressure to conform.

The document explains how nonprofit leaders can take steps to break this cycle:

  • Develop a strategy that explicitly recognizes infrastructure needs
  • Communicate the logic for increased overhead investment throughout the organization, and to the board
  • Provide funders with better ways to measure their performance