Building Cash Reserves: A Must-Have Strategy for Nonprofit Sustainability

Help your board and management team work together to build a cash reserve and a policy surrounding it.

In a 2022 survey of the nonprofit sector by the Nonprofit Finance Fund, 39% of respondents stated they had less than three months of available cash, with some acknowledging they had only enough for one month.

Having cash reserves for a nonprofit is a must-have. But it’s not enough to simply have a cash reserve fund. The board needs to create a policy for when to use it and how to replenish it.

To help you do all that we created the guide to Building Cash Reserves: A Must-Have Strategy for Nonprofit Sustainability. It’s designed to help your management and board work together to ensure the longevity and sustainability of your nonprofit through a strategy that provides a regularly replenished cash reserve fund.

 


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