Alex
Forum Replies Created
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The feasibility study is the most important step. It provides the data needed to validate or adjust the initial campaign goal. Many organizations move forward without sufficient testing and encounter difficulties later. A methodical approach is therefore valuable. First, define the objectives clearly. Then, test the assumptions with potential donors and key stakeholders. This helps ensure the campaign is built on a solid and realistic foundation.
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This is a strategic decision. A fiscal sponsor can provide immediate infrastructure and access to tax-exempt operations, which can be a significant advantage when testing a new concept. However, this arrangement also means giving up some control. Going alone provides greater independence but requires substantial administrative work from the beginning. The appropriate choice depends on the team’s capacity, resources, and long-term vision.
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These are difficult questions, particularly with so much uncertainty around funding and tax policy. Scenario planning can at least give the board something concrete to discuss. I would look at a best case, middle case, and difficult case rather than trying to predict everything. Regular budget reviews also make it easier to adjust when circumstances change.
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Hello Donald, welcome to the community. Your calculation looks right to me. It follows the standard approach to calculating Liquid Unrestricted Net Assets, with the focus being on resources that are genuinely available for use. You are taking out restricted funds and less liquid assets such as buildings, while accounting for the related debt. The result gives a clearer picture of the resources the organisation can access. I think of it as the financial cushion for a rainy day.
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The main risk is that these unusually favourable arrangements can disappear when local politics or budgets change. An organisation could then face the rather awkward task of finding affordable space at short notice. I would keep a small reserve fund for that possibility and make sure the agreement includes clear termination terms. Maintaining relationships with alternative venues is also worth considering.