Turn a Profit
This competition for nonprofits encourages for-profit ideas.
Can charity be profitable? Yes, when you're talking about
the National Business Plan Competition for Nonprofit Organizations,
held annually by the Yale School of Management-The Goldman Sachs
Foundation Partnership on Nonprofit Ventures. The competition aims
to encourage nonprofit organizations to create for-profit divisions
or subsets of their organizations, providing the nonprofit entity
with more funding sources.
Started in 2003, the competition has been well-received,
attracting about 500 entrants annually, says co-deputy director
Samantha Beinhacker. "Nonprofits have long done this type of
earned-income activity," Beinhacker says. "The
competition helps them put a structure behind it."
Business consultants and experts help the 20 semifinalists
sharpen business plans that can heighten their success, so even if
a nonprofit doesn't win, it still receives valuable business
guidance. While substantial cash prizes are awarded to winners
($100,000 each to four grand-prize winners, $25,000 each to four
runners-up), entrants also consider the feedback they receive on
submissions and the consulting and guidance they gain throughout
the competition as highly prized elements, says co-deputy director
Cynthia Massarsky.
Content Continues Below
As a 2004 grand-prize winner, San Francisco-based VolunteerMatch
received yearlong consulting services, helping it thrive. The
online service, started in 1998 by Jay Backstrand, 37, allows
volunteers to match themselves with organizations that need their
help. According to VolunteerMatch's president, Deborah
Dinkelacker, the consulting services "helped us see the real
guts of our service and innovate the VolunteerMatch corporate
service." The company's for-profit service, which brings
in over $650,000 annually, provides volunteer matching for
corporations.
Finals of the third annual National Business Plan Competition
for Nonprofit Organizations are scheduled for June 9-10. Click here for more
information on this year's winners and application requirements
for next year's competition.