The Transparency Squeeze

It is a great time to be a donor. Your dollar now goes further, can be used more effectively and can align with your heart in ways that it never could before. You’re able to give more creatively, effectively and with greater impact than you were, even a few years ago. You now have an abundance of resources at your finger tips to rate non profits, to evaluate how closely their cause aligns with your heart and to see the impact your investment is making. It’s only going to get better.

It is a great time to be a non profit. You can now communicate with your donor more effectively, showing them the impact their money is making and communicating just how thankful you are they are a part of your team. Your website can be used to show real-time fundraising success, to put up interactive budgets, solicit feedback and engage your community in your cause. You are able to be challenged, helped, held accountable and encouraged to be more fiscally responsible then ever before - and that is a great thing for you.

The impending “transparency squeeze” is going to bring a divide between the organizations that are faking it, and those that are making it. Non profits have a unique opportunity to view this as a chance to showcase their amazing work to the world. They get to tell the stories of how they are making a difference and to get donors and participants involved in that difference. Alternatively, they can see it as a threat, a nuisance and avoid disclosure altogether. They can cite ‘conflict of interest’ or claim it’s “too much work.” Or they can get on board with the donor’s right to know and encourage an active engagement in their cause. Transparency is not without risks. Being vulnerable to unsolicited input, exposing your budgets, your meeting minutes and baring your ‘non profit soul’ to the world can stir up conflict, cause you to challenge assumptions and bring issues to light that you would rather have left secret. When your disagreements are out in the open, when your budget priorities are exposed and when your assumptions are revealed - are you proud of the way your non profit conducts itself?

The thing with the Transparency Squeeze is that it’s already happening. The conversation is going on - whether you are a part of it or not. People are making judgements about your website whether you ask them or not, they are talking about you in coffee shops or online regardless of if you’re listening. Donors are ‘judging’ whether their dollar is being used well or not - whether you are giving them information or they are digging for it on their own. It is estimated that 86% of all major donors visit your website before making their gift (even if the gift is offline) - what does your website say about you?

Now is a great time to be a non profit, the tools are there for you to tell your donors, volunteers, friends and family about how great your cause is. Your work needs to be championed, the success need to be highlighted and the failures admitted. Don’t run from the transparency squeeze - embrace it and watch donors respond.