Let me tell you what keeps me up at night. It’s cash flow. That’s what keeps so many CEO’s and Executive Directors up at night.
It shows up when they walk into board meetings with a tight smile and a silent prayer that nobody will ask the hard question about where the money is going to come from.
Unless you have a cash cushion, cash flow is ALWAYS the #1 issue among nonprofit CEO’s. Its tighter now than ever, because we are in the most competitive fundraising environment in our lifetime.
The best fundraisers tell a better story than most. They think of their donors as investors and focus on showing an ROI. Showing the tangible results of their gift.
The disconnect between the impact you're making and the way your numbers support that impact is costing you more than stress. It’s costing you money.
Here’s the truth: Nonprofits need better financial data.
I've spent decades helping nonprofits get control of their accounting and grant management. What I’ve learned is that most aren't struggling with fundraising because they don’t know how to inspire. They’re struggling because their data isn’t aligned with their mission delivery.
That’s why I created the FA STORY Framework — five actionable steps that help your financials reflect your mission:
S - Structure Your Chart of Accounts
Your chart of accounts is not just an accounting structure. It’s your narrative framework. If it hasn’t been reviewed in years, chances are it isn’t set up to tell today’s story. Every mission-critical activity should map clearly to a line item. Admin allocations, program costs, fundraising activities—they all need a home that reflects their role in your impact.
T - Track Labor to Mission
Labor is the single largest expense in most service-based nonprofits, often upwards of 70%. If you’re not allocating fully-loaded staff time across grants, programs, and admin, you’re flying blind. And worse, you’re leaving reimbursable dollars on the table. Whether it’s HUD, Medicaid, or private grants, funders want to see where the time (and money) is going.
O - Ownership in Budgeting
Too often, finance teams build budgets in isolation. That means your numbers don’t reflect real-world costs. You’ll change the whole culture about fundraising by getting program managers involved in creating, monitoring, and owning their budgets. When they understand how spending ties back to outcomes, they become your strongest allies in both stewardship and storytelling.
R - Reports that Guide Decisions
Yes, you need reports for audits. But what about reports that help you make decisions? Forecasting, scenario planning, real-time grant balances—those are the tools that empower Executive Directors and CFOs to lead with confidence. Stop settling for what your accounting system spits out. Demand reports that guide action.
Y - Yield Outcomes with Financial Insight
Funders are no longer satisfied with emotional appeals that say "we served 2,564 people." They want to know the impact that happens in your community because of their gift. If you can say, "It costs $31.42 per Student, per week, to run this program, and here’s the outcome we saw in your community," you’re not just reporting—you’re persuading.
Final Thought:
You don’t need to be a financial expert to lead a data-driven organization. You need the right framework, the right tools, and a community of peers who get it.
That’s why I invite you to join the Fundraising Accountant Community. It’s a safe space to help nonprofit leaders stop fearing their financials and start using them as their most powerful fundraising tool.
Let’s fix your numbers so they finally reflect your mission. Join our purpose-driven community...
