Zira J. Smith Ed.D. Of the University of Illinois Extension gave a presentation titled “How Non-Profits Become Self-Sufficient”. One of the slides is titled “Innovation is not Entrepreneurial” and I agree with Ms. Smith. Innovation, according to Ms. Smith is not making brochures prettier, implementing new programs and reaching out to new audiences and still relying on the same old foundations, organizations, donors and government agencies for funding.

I was talking to a non-profit director recently and she was so excited that her organization was thinking of opening a gift store to earn more income. She was so excited that I hesitated to ask her if her organization did any market research to see if this potential new venture would actually return any income and what level of income would be possible. This is not like the movie “The Field of Dreams” where Ray hears a voice say “if you build it they will come”. People will only come if it is something they need and not everyone needs a new gift shop.

Non-profits need to look at their core competencies and develop services that can be sold to other businesses in their community.  As I said in my previous post “Non-profits have development officers.  Now is the time for non-profits to have a Business Development Officer, or “Chief Entrepreneur” to package services that could be “saleable” to the companies in their community and to think about and develop new sources of revenue for their organizations.

Tomorrow I'll talk about how domestic violence shelters can partner with other companies to earn income.