TITLE

An Analytic Approach to Selecting a Nonprofit for Donation

AUTHOR(S)
Ramirez, Andrés; Saraoglu, Hakan
PUB. DATE
January 2011
SOURCE
Journal of Financial Planning;Jan2011, Vol. 24 Issue 1, p59
SOURCE TYPE
Academic Journal
DOC. TYPE
Article
ABSTRACT
• Charitable giving is an important aspect of the economic and social fabric of the United States. However, without a doubt, the economic crisis of 2007-2009 will have a deep impact on the nonprofit sector. • The economic crisis has affected non- profits in two important ways: First, the value of endowments of nonprofits has dropped significantly. Second, the difficult economic environment is affecting donors (individuals and foundations) negatively. • Donors face growing pressure in allocating their donation dollars as their resources have decreased and the needs of nonprofits have increased. To make matters more difficult, the number and scope of nonprofits are growing significantly. • As the number of public charities with similar objectives increases, it becomes more complicated for donors to make a choice that is consistent with their own purpose for giving. • The goal of this paper is to develop an analytic framework for selecting a nonprofit from among competing alternatives, Specifically, we propose a process in which consultants or financial planners help donors evaluate nonprofits using a set of financial and governance criteria to generate a ranked short-list of alternatives for further evaluation.
ACCESSION #
57458276

 

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