The differences between “sustainability” and “self-sufficiency”
The non-profit sector has traditionally been driven by a “dependency” model, relying primarily on philanthropy, voluntarism and government subsidy, with earned income a distant fourth. But social entrepreneurs have turned that formula on its head: Philanthropy, voluntarism, and government subsidy are welcome, but no longer central, because the dependency model has been replaced by two others. In the nonprofit world “sustainability” can be achieved through a combination of philanthropy, government subsidy and earned income. It’s a wonderful thing, sustainability, but for many non-profits it’s only a way station. “Self-sufficiency”, on the other hand, can be achieved only by relying completely on earned income, and is the ultimate goal of the most ambitious social entrepreneurs.
In short, as long as non-profits continue to be dependent on contributions from individuals, grants from Foundations, subsidies from government and other forms of largesse, they will never become sustainable or self-sufficient.
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