Bridgespan Group survey documents economy’s impact

The Bridgesan Group, which compiled its Managing in Tough Times Survey in November 2008, has updated it in November 2009 and has published the findings of both surveys online.

Despite recent stock market gains and speculation that the recession has ended, the situation for many nonprofits continues to decline, the surveys found. The latest survey, conducted in the fall of 2009, showed that 93 percent of the nonprofits surveyed were experiencing the effects of the downturn, up from 75 percent one year ago.

As city, state, and federal governments have slashed budgets, foundations have reduced their grant-making, and individuals have cut back their charitable giving, the number of organizations that reported funding cuts has increased to 80 percent from 52 percent, the number dipping into reserves rose to 48% from19%.

Even in the last six months, the situation for many nonprofits has continued to deteriorate: 44 percent of leaders reported that their situation was worse than it was six months ago, while only 15 percent said their situation had improved. Click here to read the complete survey report on the Bridgespan web site.