Stakeholders are any person or entity that has an interest in your organisation. The decisions and actions of your nonprofit organisation can affect these stakeholders, therefore they have a ‘stake’ in it.
So who are stakeholders in a nonprofit organisation? Keep reading as we explain who internal and external stakeholders of a nonprofit or charity are.
- Board of trustees/members
- Local communities
Many nonprofit organisations struggle to find volunteers for a charity as it is a lot of work with no monetary pay. In order to recruit passionate individuals, you must make them aware of the unique perks and benefits of working for a charity, such as remote volunteer opportunities, flexible hours, and rewarding experiences.
While being a vital stakeholder, volunteers are also the driving force behind a thriving nonprofit, as they can help your organisation run more efficiently, increase community reach and provide better support to your beneficiaries.
Board of Trustees and Members
In charge of overlooking the operations in an effectively and ethically, members of nonprofit organisations set management policies and structures in place that help with long-term success and sustainability. Nonprofit members fall into three categories: paid, honorary and appointed, all of whom are key stakeholders.
A nonprofit organisation needs the help of skilled employees in order to function smoothly. Therefore, it’s important to seek people looking to find non profit jobs, recruit and adequately train. Hiring the right personnel has a tremendous impact on the organisation’s efficiency, work culture and public perception.
As the organisation’s endeavours directly impact the livelihoods of paid employees, they should provide these essential stakeholders with the guidance to support the organisation in all its ventures.
The sole purpose for a nonprofit to function, beneficiaries are the most important stakeholders in an organisation, as their wellbeing and betterment depend on the ongoing campaigns and programs conducted.
To better help the community and improve ongoing programs while implementing new ones, organisations should use their beneficiaries as valuable sources of information who provide much needed feedback and insight.
Donors and Sponsors
Donors and sponsors are invaluable to a nonprofit organisation, as they provide the funds and resources needed for a charity to function, making them a key stakeholder in a nonprofit. Once you have conducted a nonprofit donor search and found a list of generous contributors, it’s important to develop and maintain relationships with the funders. Securing constant funding is the best way to ensure that your programs run consistently in order to better the lives of others.
Governments and Corporations
Governments and corporations are external stakeholders who help and support nonprofit organisations through grants and large contributions. Proactively seeking funds through grants and trusts can truly help make a difference in your nonprofit organisation.
A nonprofit or charity automatically becomes a part of a broader community, as its mission is to help the public and those in need, making local communities a valued external stakeholder.