Survey shows significant belt-tightening by Christian non-profits

A survey released by the Christian Leadership Alliance of San Clemente, Calif., shows that Christian non-profits and parachurch organizations have had to significantly tighten their belts in light of the recession. The study conducted by David Schmidt and Associates revealed that across the board Christian organizations have cut back on expenses and trimmed budget outlooks to level with dwindling income streams. “This economic survey shows the notable impact that this economic downturn is having on Christian nonprofit organizations,” said Frank Lofaro, CLA president and CEO. “The revenues of charitable organizations have been adversely impacted by this economic downturn, but in this survey we have found that these organizations have taken significant steps to adjust to the new reality and plan effectively for the future.” Organizations with a wide range of budgets were surveyed. Those groups with budgets under $1 million showed a slightly larger decrease in giving from groups with larger budgets. Nearly half the organizations surveyed said the economy was having some impact on their revenue, with 21 percent saying it had a significant impact. Compared to the end of the 2008 fiscal year, 40 percent of the organizations said they had less cash on hand, 48 percent said donations were down, 51 percent said their reserves were down and 73 percent of the organizations with investments said their portfolio and endowments were down. Organizations were given 21 ways they may have responded to the recession. Fifty-two percent had reduced travel, 44 percent had frozen raises and 43 percent had cut their overall budgets for the 2009 fiscal year. Links: Executive summary of survey findings: http://www.christianleadershipalliance.org/store/inc/economic_outlook_research_executive_summary.pdf Christian Leadership Alliance: http://www.christianleadershipalliance.org/ David Schmidt and Associates: http://www.wiseplanning.net/