'Managing for Recovery' survey report: are charities winning the battle for funds?

In response to the economic climate, 85 per cent of Australian third sector organisations are changing their focus from cost cutting to generating revenue growth over the next twelve months.

The second survey by the Centre for Social Impact (CSI), PricewaterhouseCoopers (PwC) and the Fundraising Institute Australia (FIA), Managing for Recovery, reveals that in the face of the worldwide financial crisis, Australian charities generally expect a positive year ahead.

Fundraising Institute Australia CEO Chris McMillan said the survey clearly showed how swift action by the third sector in the first half of 2009 in putting sustainable business strategies in place ensured the sector successfully weathered the financial storm.

"It's imperative not-for-profits continue to have a clear financial plan and strategy over the next 12 months to ensure their sustainable future in a competitive market," Ms McMillan said.

Mr Millen said larger organisations have fared better than their smaller counterparts in the last 6 months, with two in five (39 per cent) of large respondents experiencing an increase in income compared to a quarter (25 per cent) of small organisations. This trend is expected to continue across all sources of funding.

"There are pluses and minuses to this as large not-for-profits are likely to obtain more government funding than small not-for-profits," Mr Millen said.

"On the other hand, larger organisations are more likely to have investments, and therefore suffered greater falls in investment income as a result of the downturn."

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Contribution of the Not-for-Profit Sector - Productivity Commission research report

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