Diverse sources of revenue such as earned income and philanthropic giving minimize risk and maximize autonomy for a nonprofit.

Question

Quizplus · Accepted Answer

Diverse sources of revenue provide stability and flexibility for a nonprofit, allowing them to pursue their mission without depending solely on one source of funding. Earned income can come from activities like program fees, events, or merchandise sales, while philanthropic giving can come from individual donors, foundations, or corporations. By diversifying their revenue streams, nonprofits can minimize the risk of financial instability and maintain their autonomy in decision-making.

Diverse Sources of Revenue Such as Earned Income and Philanthropic