Introduction Whenever looking at financials, a certain level of accountability and understanding is needed to be able to have great measurability of success. That is the case for any individual especially when applying this thought of rational to a business or corporation even more accountability, understanding, and most importantly precision are needed to successfully bring in as well as continue financial sustainability. When dealing within a corporation there are many levels to adhere to within the financial everyday aspects of the corporation being ran with precision. So what happens when an organization is not ran financially like a corporation yet deals with almost the same kind of aspects? A non-profit organization can be one
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For both for-profit and nonprofit organizations, financial capacity consists of resources that give an organization the ability to seize opportunities and react to unexpected threats while maintaining general operations of the organization it reflects the degree of managerial flexibility to reallocate assets in response to opportunities and threats. Financial sustainability refers to the ability to maintain financial capacity over time.” That excerpt as a whole is quite a bit to soak in, yet streamlining the message that both profit and non-profit organizations use the same type of ideology to stay afloat. There is a method in which certain resourcing will in the end allow the company to be able to outsource products to be able to generate an income that will increase over time.
The nonprofit business model comes into deeper question when examining its basis. Non-profits are seen as almost charitable kind of organizations. With this being the case many put into question how it could be possible for such organizations to run with a sustainable payroll, equipped with employees and overseers. Non-profit organizations usually have difficulty drawing in as well as retaining key talent for multiple reasons. One main reason is the employees working in non-profit may