How to Use Data to Demonstrate Proof of Impact in Nonprofit Reporting
Nonprofit organizations are constantly competing for limited resources. In order to receive funding from public and private sources, nonprofits must use data to prove that they’re creating a positive impact and achieving their mission. Organizations that fail to demonstrate their value lose funding, reduce programming, shave payroll, and ultimately serve fewer clients.
To achieve a stable financial outlook, nonprofits will often create “proof of impact” reports to maintain accountability to their funders. These reports are rooted in clean data that quickly communicate how the community is benefiting from the organization’s work.
A nonprofit impact report is laser-focused on results and captivating story-telling. Impact reports are geared toward supporters and are an essential tool that fundraisers use to tell donors that their contributions make a difference.
It’s important to note that nonprofit impact reports are not just PR puff pieces. They are important communication tools that use data and stories to illuminate an organization’s key metrics of success. Effective nonprofit impact reports are grounded in quantitative and qualitative data.
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