Page 46 - 2025 Nonprofit Industry Trends

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GLEN LANDOW ALEX LIPSKY DR. BERNIE FURSHPAN LISA BURCH

PARTNER CO-OWNER & PRESIDENT MARKETING, PRESIDENT & CEO
LANDOW AND LIPSKY CONSTRUCTION PUBLIC RELATIONS & MEDIA EPIC LONG ISLAND
LANDOW ARCHITECTS THE HOLOCAUST MEMORIAL
TOLERANCE CENTER
There are many issues that will impact the nonprofit sector in 2025. At the top of my list is recruitment
It is critical for the economic health of a nonprofit organization that a facility analysis be Building in New York continues to grow more expensive, with labor, materials, and real estate and retention. Our sector is still struggling to come back from COVID – literally and figuratively. During the
performed to determine the optimal amount of space necessary to support the mission, costs reaching unprecedented levels. For most nonprofits, the single greatest challenge is Sustainable funding is one of the most significant challenges facing the pandemic, many people switched careers in an effort to find more meaning in their work. For some that
both now and in the foreseeable future. That analysis begins as zero-base budgeting. capital budget control. The key to any construction project is the creation of a comprehensive nonprofit sector. To ensure long-term stability and mission fulfillment, meant leaving the nonprofit sector. And, for those who stayed, they became used to working remotely.
Forget what you currently have. Start with what you actually need and work from there. capital budget. This budget encompasses not just direct construction costs but also site organizations should prioritize strategies for securing consistent and Younger employees, who entered the workforce post covid, know nothing but remote work. Enticing them
development, architectural and engineering fees, expediting, real estate acquisition, financing, reliable funding sources. This includes diversifying income streams, such to come into the office, which in the direct service field is a must, is something we are still working on and
The analysis may involve surveys, questionnaires, and focus groups conducted with fundraising, insurance, and essential contingency and escalation allowances based on industry as combining individual donations, grants, corporate partnerships, and probably will be for a while.
the various end users to gauge each stakeholder’s needs and expectations. Once the best practices. Establishing this detailed roadmap early on ensures that the development team social enterprise models. Establishing a strong endowment fund is also
information is collected and culled, a Building Program showing exactly what spaces has a reliable framework to guide decisions throughout every phase—from capital fundraising to essential for financial resilience, reducing dependence on unpredictable Another issue is ensuring we have adequate resources to pay staff and provide quality services. There
are some who believe that you shouldn’t make a lot of money in the nonprofit sector. Many of us rely
you need, their uses, sizes, number of occupants, adjacencies, required furniture and design, construction, and ultimately The Ribbon-Cutting of Your New Facility! funding, and focusing more on delivering impactful programs. on government grants, fundraising, and reimbursement rates that have not increased at a rate that
equipment, and additional information including code requirements is developed. The In Construction Management, we always refer back to the Project Management Triangle: Cost, keeps up with the cost of living. This makes it difficult to retain staff and difficult, for some, to even keep
Building Program confirms the total square footage actually needed for the organization Quality, Time. These three elements are interconnected, and addressing one without careful In order to accomplish this, nonprofits need to Improve visitor the lights on. Which means that we need to be focused on our advocacy efforts and be creative in our
to operate efficiently. Too much or too little space leads to wasted financial resources consideration of the others can create significant risks. For nonprofits, cost is often the primary experiences and customer service, which is essential for keeping partnerships with government, corporations, and private foundations.
that would otherwise go towards improved and increased programming. concern, but quality and time are equally critical. Quality involves designing facilities with supporters engaged and committed to an organization’s mission.
sustainability in mind, selecting low-maintenance equipment, adhering to evolving environmental Non-profits should be mindful not to prioritize funding at the expense In the face of current and anticipated challenges, nonprofits must adapt their operational strategies
Additionally, from a development perspective, donor opportunities are easily identified efficiency standards, and hiring reputable, qualified contractors. Time requires proactive of educational initiatives and their public mission, as doing so can in significant ways. Two key areas of focus should be funding diversification and operational efficiency.
from the Building Program as spaces and design elements can be used as affinity matches planning, such as developing a comprehensive Gantt chart to track progress and preparing for jeopardize long-term support. Instead, during 2025, organizations Firstly, the economic uncertainties ahead may adversely affect traditional funding sources. While grants
for individual naming rights. disruptions during construction. Are you ready for the move-in date, or are unexpected delays are advised to explore innovative approaches and leverage emerging and revenues from services and events remain vital, nonprofits should actively pursue diverse funding
extending rental costs? Cost oversight involves ensuring accurate budgets, managing change streams. Exploring innovative solutions such as social enterprise models and forging nontraditional
Finally, organizations should consider the development and strict adherence to a facilities orders, avoiding unnecessary expenses, and maintaining proper records for audits. technologies to strengthen and maintain meaningful connections with partnerships can help create more stable and resilient revenue bases.
management program which includes a regular schedule of short, medium, and long- their audiences. Secondly, as many nonprofits are tasked with doing more with less, streamlining operations becomes
term inspections and replacements, along with a sinking fund for capital expenditures. Future-proofing is now the cornerstone of every successful construction project, especially for essential for enhancing efficiency. Leveraging technology can play a critical role in this effort. By
It is critical that money be set aside for the upkeep and inevitable replacement of critical nonprofits. Sustainable design, forward-thinking building practices, and integrating technology embracing tools for fund management, donor engagement, and program delivery, organizations can
infrastructure. from the outset are essential for long-term success. Government initiatives are driving the optimize their operations. Incorporating project management software and data analytics can lead to
shift away from gas-fired appliances toward more sustainable electric solutions, such as VRFs better outcome tracking and improved efficiency.
and heat pumps, to reduce carbon footprints and combat climate change. Beyond regulatory
compliance, selecting materials that minimize maintenance and energy usage is critical to Furthermore, investing in technology solutions such as Customer Relationship Management (CRM)
managing operational costs over time. Additionally, as technology continues to evolve, installing systems and digital marketing tools can significantly enhance outreach efforts and donor management
infrastructure like future-use chases during construction ensures your facility is prepared to strategies. By adopting these changes, nonprofits can position themselves to navigate the evolving
adapt to advancements for decades to come. landscape and continue to fulfill their missions effectively.