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This is not news, and nonprofits are no exception to the rule. Yet it is also not news that most nonprofits do not spend enough money on drinking problem. In our consulting work at pregnant sex com Bridgespan Group, we frequently find that our clients agree with the idea of improving infrastructure and augmenting their management capacity, yet they are loath to actually make these changes because they do not want to increase their overhead spending.

Despite findings such as these, many nonprofits continue to skimp on overhead. And they plan to cut even more overhead spending to weather the current recession, finds a recent Bridgespan study. Surveying more than 100 executive directors of organizations across the country, we found that 56 percent of respondents planned to reduce overhead spending. Why do nonprofits prenant funders alike continue to shortchange overhead.

To answer this question, we studied four national nonprofits that serve youth. Each organization has a mix of funding, including monies from government, foundation, and individual sources.

We also interviewed the leaders and managers of a range of nonprofit organizations and funders, as well as synthesized existing research on overhead costs in the nonprofit sector. Our pregnnt reveals wex a vicious cycle fuels the persistent underfunding of overhead.

At the pregannt pregnant sex com, nonprofits respond to this pressure in two ways: They spend too little on overhead, and they underreport their expenditures on tax forms and in fundraising materials. Over time, funders expect grantees to do more and more with less and less-a cycle that slowly starves nonprofits. Particularly in these tough economic times, an organization that decides-on its own-to buck the trend and report its true overhead costs could risk losing major funding.

Resetting funder expectations would help pave the way for honest discussions with grantees.



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