“What is your plan for sustaining the project beyond the grant period?​”

Many grant-seeking, mission-driven organizations are quite familiar with this question, or a variation of it.  But the “go-to” response often is that the organization "seek grant funding from other sources to sustain the program.” However, a description of a multi-prong sustainability plan that includes efforts to identify and pursue future grant funding sources and explore additional revenue streams demonstrates a more thoughtful approach to sustainability.

Multiple revenue streams help businesses to spread risk by decreasing reliance on singular sources of revenue and provide stability or cushion to ride out the tough and challenging times and, ultimately, to sustain business presence into the future.

Overcoming barriers to sustainability

Sometimes, non-profit organizational culture and mindset may pose barriers to full consideration of other potential sources of revenue that could help sustain programming and services operations. For example, sometimes there may be concern or confusion among social sector organizations as to what is mission-critical to maintain their mission-driven non-profit “identity” and this impacts their perspective on what is and is not possible or acceptable behavior for non-profit businesses. The non-profit designation from the IRS defines non-profit businesses as those:

1. Organized to meet a mission-driven agenda;
2. Not organized to create profits for distribution to shareholders​; and
3. They are tax-exempt organizations operating under the Internal Revenue Service (IRS) 501 (c)3 tax code in the United States.

While non-profit organizations are not in the business of making profits to distribute to shareholders, creating and/or retaining revenue streams that can be reinvested into programming and services to advance their missions and increase their impact is advantageous.

No profit, no mission” or “No margin, no mission,” the controversial mantra among several non-profit health care organizations is a catch-phrase that acknowledges, in part, the need for revenue streams in addition to charitable donations and/or grant funds from private and public funding sources for sustainable mission impact.

How social entrepreneurship can support sustainability

According to Social Impact Architects, “social entrepreneurship” is the “mindset” of change agents seeking to create social change through the development and implementation of creative “entrepreneurial” solutions and “social enterprise” is the business model through which an organization can achieve a “double bottom line of both maximizing social and financial return.”

How can a “social entrepreneurship” mindset/culture support organizations that serve the aged and disabled, e.g., agencies in the home and community-based services network, in developing meaningful sustainability plans for continued and expanded programming and services?

In May 2023 the National Council on Aging (NCOA) offered a webinar, “Introduction to Social Entrepreneurship and Implications for Sustainability,” which I co-presented along with my colleague and friend, Bernard Turner, ​EdD, Associate Professor and Program Director of Social Entrepreneurship​, Jack C. Massey College of Business, Belmont University. One of the webinar’s learning objectives was for participants to have an increased understanding of their assets and how their assets may be used in innovative sustainability efforts.​

In this interactive webinar, there was a two-part break-out exercise in which participants were to think through “3-5 unique skills common among the agencies in the group” and subsequently think through how those unique skills/assets could translate into innovative and collaborative services or programs that could result in new sustainable revenue streams.

Has your organization conducted an assessment of your unique skills and/or assets that could translate into potential revenue streams to support sustainability?

Some of the ideas that came up during this session included, as an example, using assets, such as excess building/office space, as potential revenue for other organizations seeking storage and/or meeting or event space solutions. Other organizations considered their expertise, experience, and skills in volunteer recruitment, training, and management for home-delivered meal delivery programs as a potential asset to market as a business.

Consider how your organization’s unique skills, expertise and/or assets may translate into potential revenue streams that can improve overall programming and service sustainability.

More information about sustainability and social entrepreneurship

For more information, tips and resources, check out the following:

• Cause Impact: Social Enterprise Business Consultant
• Social Enterprise Alliance
• REDF: REDF | Accelerating the social enterprise movement
•  Echoing Green
• YouTube Video - 8 Social Enterprise Examples for 2023

This project was supported, in part by grant number 90CSSG0048  and 90FPSG0051 from the U.S. Administration for Community Living, Department of Health and Human Services, Washington, D.C. 20201. Grantees undertaking projects under government sponsorship are encouraged to express freely their findings and conclusions. Points of view or opinions do not, therefore, necessarily represent official Administration for Community Living policy.