The Impact Issue #87: Mastering Financial Management

Hey there!

If numbers aren’t your thing, that’s okay. But after this issue, you may just have a change of heart.

This week is all about how to master financial management. We’re sharing expert tips, technology resources, and educational opportunities to help put you in the driver’s seat.

So buckle up and get ready.

Welcome to The Impact.

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🚨 Don’t Miss Out 🚨

AI has changed grant writing forever.

With more than two-thirds of nonprofits now using tools like ChatGPT, funders are increasingly wary of formulaic, chatbot-generated applications. So how do you make your proposals stand out?

On Wednesday, Nov 19th, join us for a practical crash course on using AI as a thought partner—not a shortcut—to write sharper, more persuasive proposals that sound like you.

You’ll learn how to:

• Apply a 5-step framework for using AI while staying authentic
• Leverage 3 key differentiators to make your proposals stand out
• Use GPT to pressure-test and sharpen outcome statements funders care about

👉 Save your spot!

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Pitfalls and Pointers

⚠️ Pitfall: Treating Financial Management as an Afterthought

While nonprofits aren’t focused on the pursuit of profit like for-profit organizations, a strong and healthy financial foundation is still incredibly important.

Yet, it can be easy to lose sight of that in pursuit of achieving your mission and increasing your impact. And treating financial management as an afterthought puts you at increased risk of making costly financial mistakes.

💡 Pointer: Proactively Create a Long-Term Financial Plan

Long-term planning is the first step to taking control of your financial future. You stop living one foot in front of the other and begin to imagine what’s actually possible with proper planning.

Here are four tips to help you break free from the survival mindset when it comes to your organization’s finances.

• Don’t plan in a silo. Make sure to include all key stakeholders across your organization in the planning process (Program leads, development directors, grant managers, etc). This will help you create sustainable fundraising strategies that are both achievable and support your nonprofit’s activities and goals.
• Let your past guide your future. Review your past spending to help assess future financial needs. Pay special attention to the expense categories you use. Are they the same across all budgets? Are there discrepancies? If there are, make sure to reconcile them so you can track your actual spend across categories. Then, use the findings to plan for your future and avoid unintentional overspend in categories due to miscategorization.
• Leverage your board. They are often industry experts, so don’t be afraid to ask for feedback, suggestions, or to bounce ideas off them. Be prepared when you meet with them. A balance cheat sheet can give them a snapshot of your finances and help them see any gaps.
• Regularly review your plans. Things change, so it’s important to review your long-term plans at least twice a year to make sure they’re still relevant. Pick a slow time of year or back out the date from when you have to share your plans with the board. Block the time and treat it like an actual grant deadline to help you prioritize plan reviews.

Looking for more tips?

📊 Check out these 7 best practices for nonprofit financial management!

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Tech You Should Know

What:

Blackbaud Financial Edge NXT is an accounting software that is specifically designed for nonprofits.

How Grant Writers Can Use It:

• Automate routine tasks. You can automate budgets, reports, bank and credit card reconciliation, and so much more.
• Input data and run reports in real time. Blackbaud has many reporting capabilities that make it easy to pull reports when you need them with the click of a button.
• Drive compliance. You can help make sure that you’re meeting post-award financial requirements within the interface to enhance financial transparency.

Keep in Mind:

• There is a cost associated with Blackbaud Financial Edge NXT, and you’ll need to request a demo to learn just how much.

📈 Explore the Blackbaud difference with Financial Edge NXT!

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Expert Perspectives

🏆 Tosha Anderson on Fueling Strategic Growth Through Financial Readiness

Tosha Anderson, Founder & CEO of The Charity CFO, understands that a strong financial foundation is essential to set your nonprofit up for success—both now and in the future.

But before you look to grow, you need to make sure you’re financially ready, and Tosha shared with us some practical tips to assess your readiness.

Here’s her expert advice:

• Check your reserves and cash on hand. You should have at least 25% of your annual operating budget in your reserves and 90 days of cash on hand before even thinking of expanding your programs.
• Be able to cover costs up front. Often, project and program expenses are reimbursable, which means you will need to pay them out of pocket initially. You will get the money back from the funder as part of the grant.
• Run multi-year financial projections to help you plan for the long-term. This will help you understand how expansion will affect your sustainability, the funds you will need to acquire, and so on. If you’re not sure where to start, Smartsheet has a great free financial projection and forecasting template available.

💰 Watch Tosha’s complete webinar for more tips to help you take control of your financial future!

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🎁 A Gift for You 🎁

For most, the idea of creating a Nonprofit Financial Statement can be incredibly intimidating. You have to pull a lot of different numbers and elements together to tell a complete financial story, and it can be difficult to know where to start.

Thankfully, we put together a free Nonprofit Financial Statement Template to help.

In it, you’ll find examples of statements of financial position, activities, cash flows, and functional expenses to help you create your own.

🥳 Download the freebie today!

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Opportunities Spotlight

🤝 Richard Donchian Foundation Grants

Who It’s For: Nonprofits looking to promote collaboration and partnership in the United States

Next Deadline: Rolling

Grant Amount: Up to $25,000

The Details:

The Richard Donchian Foundation strives to strengthen the human spirit and enhance personal integrity. They focus their giving on programs in three areas: Literacy & Education, Humanitarian Efforts, and Ethics & Personal Development. Priority is given to nonprofits serving the northeastern United States, though it is not a requirement.

👉 Apply Here!

⭐ Menasha Corporation Foundation Grant

Who It’s For: Nonprofits focused on giving back to the community

Next Deadline: February 1, 2026

Grant Amount: More than $3 million (Median grant amount)

The Details:

The Menasha Corporation Foundation Grant provides operating funds to nonprofits focused on four areas: Safe & Healthy Citizens, Community Betterment, An Educated Society, and Environmental Sustainability. While priority is given to nonprofits in Wisconsin, consideration is given to all areas where the Menasha Corporation does business and to nonprofits where its employees volunteer.

👉 Apply Here!

🔍 Explore additional grant opportunities and start funding your future today!

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Networking Nook

📅 Conference: Point of Lights Social Impact Conference

June 22-25 | Washington, D.C.

The nonprofit landscape continues to evolve, especially after recent changes to federal funding. As a result, it can be challenging to meet the needs of stakeholders and communities. Join like-minded individuals at this four-day conference and walk away with the tools, insights, and connections you need to navigate change and lead with purpose.

Don’t Miss Out!

✅ Register Now!

To check out more recent and upcoming live events, go here.

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In Case You Missed It

📑 Article: Financial Management Tools Every Nonprofit Should Use

Explore several financial tools that can help you stay organized and avoid last-minute scrambles for financial information and reports. You’ll be ready to tackle fiscal stewardship with these suggested resources.

👉 Get the Full Story!

📼 Video: How to Track an Awarded Grant’s Spending

Check out a quick overview of how you can track your grant’s spenddown using Instrumentl, driving transparency and collaboration within your team. You’ll see just how critical Instrumentl can be in helping you and your team stay on top of all financial details.

👉 Watch the Tutorial!

🎙️ Podcast: Experienced Grant Writer: Five things keeping you from earning $$$ this year

In this podcast, Meredith Noble, co-founder & CEO, LearnGrantWriting.org, shares tips to help you build confidence as a grant writer. She’ll provide strategies to help you land your dream clients and build your grant writing business. 

👉 Listen to the Episode!

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Take Control of Your (Financial) Future

You can’t force funders to award your grant requests, but there are moves you can make to help take control of your financial future.

Instrumentl can help you:

• Organize your grant calendar. You know exactly when funding is expected, reports are due, new grant deadlines, and so on.
• Track grant spenddown. Input your expenses and let Instrumentl do the rest. It can show you how much you have left, as well as a breakdown of what you’re spending money on.
• Centralize key information. Upload documents to Instrumentl’s document library. That way, you know the single source of truth and don’t need to guess.

That’s just the start of what Instrumentl can do.

🎉 Check it out for yourself and sign up today!