How to Create a Nonprofit Income Strategy Step #1: Set Outcome-Based Goals

You’re clear on your mission—and you’re moving forward. But when it comes to funding that future, the path can feel foggy. You’re not alone.

Many nonprofit leaders know where they generally want to go—but when it’s time to get specific about outcome-based goals and funding, the vision can blur.

Like New Englanders in January, the answer is clear: go south.

But “south” could mean Miami, Tucson, or the Caribbean.

Likewise, your nonprofit’s “south” might be to improve water quality, prepare kids for kindergarten, or support people with developmental disabilities.

To build a successful nonprofit income strategy, you need more than a compass direction. You need a clear destination—one that donors can “get” and get behind.

Why Positioning Comes Before Nonprofit Income Strategy

What does it really mean to help people with developmental disabilities live better lives?

Until you define the specific outcome-based goals you’re aiming for, you can’t position your organization effectively—or develop an income strategy that works.

• Housing for young adults?
• Employment training for adults?
• Family support services?

Each of these helps you reach your goal—but trying to do all of them leads to burnout, donor confusion, and unnecessary competition.

What, for example, does it mean to help people with developmental disabilities to live better lives? Your plans will be more fruitful, your execution swifter, and your community of support more supportive, once you develop specifics. It matters if you’re talking about housing, employment, family relations, or health matters. It matters if you’re seeking housing for young adults or seniors.

Different destinations invite different nonprofit income strategies. Each one offers a distinct value proposition—and speaks to a different group of donors and funders. Your strategy should match the people who care and are willing to invest.

Would a nonprofit income strategy example help?

Your south is to help people with developmental disabilities to live better lives.

A clear destination doesn’t just inspire your team—it signals to funders that you know where you’re going and how their support makes a difference.

Nonprofit Income Strategy Example Concepts 

• Young adult housing: Likely income sources – capital grants, loans, and earned income

• Children’s therapy services: Likely income sources – individual donations and foundation grants

• Employment for young adults: Likely income sources – mix of government funding, corporate sponsorships, donations, and earned income

When you clarify the destination, you clarify your audience and potential partners. And once you know your audience, you can design a value proposition—and a matching nonprofit income strategy—that speaks directly to them.

(Read more nonprofit income strategy examples here.)

The Best Nonprofit Income Strategy Starts with a Specific Outcome-Based Goals

Today’s Challenge

Write down a list of specific, outcome-based goals your organization could pursue.
Next to each one, jot down who wins when you win—the groups that would benefit enough to invest in your success.

This simple exercise can help you stop chasing every funding opportunity and start focusing on the right strategy for where you’re headed.

Need support developing your nonprofit income strategy?

Karen is available for a mini-consult or more to help you identify the best way forward, now.  Click here to contact her to learn more.

Or stay in the loop with Karen’s CEO Solutions, a monthly dose of strategy, clarity, and support just for nonprofit CEOs.