For a long time, my company, like many nonprofits, was struggling to make ends meet. Our budget was as lean as it could be, while still making sure that operations ran smoothly (if not quite quickly). We were working our way to financial stability.
And one day, with a letter and a phone call, things changed. We received a modest, unexpected bequest that did more than pay our bills for the month. Instead of juggling payments and hoping for donations, we had some breathing room to plan for the future.
What would we do with this unanticipated gift? Spend it? Save it? A little of both?
Sudden good fortune, like winning a lottery or jackpot, is one of the most dangerous things to happen to an organization – or an individual.
There’s that’s rush of euphoria, sense of freedom, and perilous impulsiveness. There are arguments about what to do with good fortune. There are other people who want to share in your good fortune. And there is the temptation to spend that good fortune quickly – and unwisely.
Having learned from a past gift that was unwisely spent, board leaders wanted to designate the entire amount toward our fledgling endowment.
Working with the day to day expenses and limitations of a small company, staff wanted to designate a small amount for operations.
As a nonprofit, we asked ourselves three basic questions:
1. Could we continue to function well if we didn’t have this gift? Specifically, how would our clients and staff be affected if we didn’t have this gift?
2. Will there still be a strong need for our services over the next 20, 30, and 40 years?
3. Are we committed to serving our future clients who need our services?
This unexpected gift spurred me to commit to our mission, not just in the short term, but for generations to come. It changed my perspective from today’s clients to future beneficiaries.
In the end, the answer wasn’t difficult. We decided to designate the entire gift toward the endowment, but also slightly increase our budget for staff and operations in the next year.
What would you do with sudden good fortune?