A new report examines charity commitment to raising resources through trade rather than donations and identifies best practices and key challenges for charities looking for new income-generating activities.
The Social Investment Consultancy (TSIC) today released the firm’s latest research: Charities Unlocked: Realising the commercial and social value of charitable assets.
TSIC research director Rachel Linn led the sector research, which included 50 interviews with senior executives of charities representing £476.5 m in total income.
“Charities are already resourcefully leveraging their brands, people, products, services and expertise to make their own money – and they are going to be doing more of it,” said Jake Hayman, CEO of TSIC.
“The sector is infinitely more entrepreneurial than people give it credit for – charity executives are fighting the recession with enterprise.”
Other results of the research include:
9 out of 10 executives interviewed (88%) reported they were already earning at least a portion of their income through charging directly for core services, or trading activity.
65% reported that they planned to grow the relative share of their earned income further in the next five years.
On average, executives wanted to double the percentage they currently earn from trading.
Managing director of Age UK Enterprises Gordon Morris, who participated in the research, said: “There are real opportunities in trading but it has to be done correctly. I would tell charities that to get it right, they need to think correctly and commercially.
"You need to get the right people planning it and to get the right advice. By doing it properly, we’ve been able to develop a customer base who have stayed with us for years—we are building a renewable income base for our organisation.”
Previous TSIC research has shown that many of today’s philanthropists are more eager to invest in charity sustainability initiatives than direct programming.
TSIC has used its latest research to launch a new service, Charity Unlock, to advise charities on the transition to revenue generation.
Latest News
-
Trustee disputes increase amid financial pressures and societal tensions, warns regulator
-
Cultural charity considers selling London centre due to rising costs and income fall
-
Censured air ambulance charity with no aircraft announces its closure
-
'Bad actors' are increasingly using AI to try to set up fake charities, warns regulator
-
Cancer research charity's staff begin ‘continuous and indefinite strike action’
-
Late MP’s daughter announces closure of charity set up in his memory
Beyond the funding squeeze: Using equities to secure your charity’s future
With charities facing increasing financial pressure and traditional income streams under strain, making investments work harder has never been more important. M&G’s Richard Macey and Michael Stiasny join Charity Times to discuss why equities remain a vital long-term asset class for charities, how organisations can balance income generation and growth, and the opportunities the current market environment may offer to help strengthen financial resilience.
Charity Times Awards 2023
Charity Times video Q&A: In conversation with Hilda Hayo, CEO of Dementia UK
Charity Times editor, Lauren Weymouth, is joined by Dementia UK CEO, Hilda Hayo to discuss why the charity receives such high workplace satisfaction results, what a positive working culture looks like and the importance of lived experience among staff. The pair talk about challenges facing the charity, the impact felt by the pandemic and how it's striving to overcome obstacles and continue to be a highly impactful organisation for anybody affected by dementia.
© 2021 Perspective Publishing Privacy & Cookies
Recent Stories