Most family businesses only last a generation, only 40% of family businesses successfully transition to the second generation and the third generation only 13% make it.
The non-profit that I was the head of was like that, a very dynamic founder and leader and when she retired I took over. I built on the work she did and we were one of the go-to organizations by the state. We sat at the table when policy was being discussed. We were the only trans organization that was run by trans people in the state. We had connections with national trans organizations, we were invited to submit amici curiae briefs on various court cases and hearings. We sat in on meeting by the CT Department of Education safe schools coalition and the Department on Aging to help with policies on Long Term Care facilities. We also did training for the state corrections department. At one time we had the only trans health and law conference in the area.
We did good, we made it through two executive directors.
I asked Perplexity AI: “How long do a non-profit usually last?”
AnswerThe lifespan of non-profit organizations can vary significantly, but several key statistics provide insight into their longevity and challenges.Average Lifespan and Survival Rates
- Approximately 30% of non-profits fail to exist after 10 years. This statistic highlights the significant challenges that many non-profits face, including leadership issues, funding shortages, and mission drift.
- Many non-profits struggle in their early years, with a considerable number failing within the first few years of operation. The survival rate tends to improve as organizations mature, but the initial years are often critical for establishing sustainability.
Factors Influencing LongevitySeveral factors can impact the longevity of non-profit organizations:
- Leadership Quality: Effective leadership is crucial for guiding non-profits through challenges and ensuring they remain focused on their mission. Poor leadership can lead to organizational failure.
- Funding and Financial Management: Non-profits often face financial constraints, and those that fail to secure adequate funding or manage their resources effectively are more likely to close. The "nonprofit starvation cycle," where organizations cut overhead costs to meet donor expectations, can exacerbate these issues.
- Mission Clarity: Non-profits that maintain a clear and focused mission are more likely to survive. Organizations that experience "mission creep," where they expand their focus beyond their original goals, may struggle to maintain effectiveness and funding.
In summary, while many non-profits face significant challenges that can lead to early closure, those that navigate leadership, funding, and mission clarity effectively can achieve greater longevity.
Looking back, we had good mission clarity… help the trans community. Funding and financial management, well we were all volunteers. Leadership quality, well ours was excellent… smart, determined, and people savvy. And I think she was grooming me to takeover. They sent me to Connecticut Lobbying Conference twice, to the Albany Trans Rights Conference, the Facilitator Training - Voluntown Peace Trust, Voluntown CT, and to Grassroots Organizing, New York Power Summit, National Gay and Lesbian Task Force.
In all fairness they had an uphill battle, it was right at the beginning of the plague.
I imagine anytime now the coveted website will expire and the last remnants will be the Facebook page.
I'm away to a cookout this weekend at a couple's house in Haverhill... so you have canned articles.
I'm bring Shotgun Shells for appetizers.
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