How to Draft a Business Plan for a Non-Profit Organization!!

How to Draft a Business Plan for a Non-Profit Organization!!

Non-profit organization refers to the organizations that serve the public cause and are exempted from taxes according to tax law. These organizations are mainly the charitable foundations, temples, churches, educational institution, religious centers, hospitals, scientific institutions and anything that serves public benefits and is adhered to their safety.

A business plan for a non-profit organization just like other organizations keeps on evolving from time to time based on the activities, funds, and developments. The founders can even think of setting up a business additionally to their initial foundation.

The following steps will show how to write a business plan for an NPO organization.

a) Title
The business plan should start with a Title that has these following things:-

  • Name of your Non-Profit Organization with ‘Business Plan’ term mentioned under it.
  • Mention the date period till which the business plan is to be followed.
  • Your organization contact details.

b) Executive Summary
This part contains precise information about the vision of your organization. The main points to include in Executive Summary are-

  • Title
  • What services your organization offers and how it caters to public benefits?
  • What is your organization target market?
  • Are you going to invest in your organization or you are seeking a loan for it?
  • What will be the size of your organization?
  • Awards, certifications or any prestigious details about your organization that you would like to share.

c) Services, Problems, and Solutions

In this part, you will be describing the services your organization is providing or wants to provide. How it is going to benefit the society, what kind of problems it can eliminate in the society and how it is going to do it, how suitable your organization is for the public society, etc. A clear outlay of all these things should be mentioned in this section. Also, mention what is the targeted group of your organization.

d) Analyze your Target clients

After you are clear with your organization goals and purposes, it is time to do the funding. In this section, you need to mention how you want to receive funds- through the governmental source or through private investors. You need to identify what kind of community or people are supporting your organization and who is interested to fund you. Based on that, you need to reach people for funding with a solid business plan.

e) Marketing strategy

This section describes how you are going to let your targeted market know about your organization. Are you going for media advertisements, seek help from online and social media platforms, go for community outreach, or any other marketing strategy that you will be applying to reach your target market? It focuses on how you are basically going to build public relations for your nonprofit organization.

f) Details about Management Team
In this part, you will mention about the people in your management team. What are their responsibilities for your organization and how well they have served or will be serving your organization? Mention their efficiency level by listing their previous experiences in the same field along with their name, credentials, and qualification.

g) Financial Plan

In the last part, give detailed information about the financial progress of your organization. If it’s new, you can outlay your financial strategies for the next few years, what are your financial goals and how you are going to achieve it. You can use additional documents for demonstrations like charts, graphs, spreadsheets, databases and other relevant documents for the clarity of the third person reading your business plan.


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