If you are looking for a growing market to serve, check out non-profits.
Non-profits are growing fast. According to a report of the National Council of Nonprofit Associations entitled “United States Nonprofit Sector,” , there were 837,027 nonprofits in the United States in 2003. These non-profits had combined assets of $1.76 trillion which makes the U.S. nonprofit economy the sixth largest in the world — surpassing those of Brazil, Russia, Canada, Mexico, and South Korea.
Even in terms of employment, non profit workforce grew by 5.3 percent from 2002 to 2004 compared to the 0.2 percent drop in the for-profit world, according to the study at Johns Hopkins “Employment in America’s Charities: A Profile”
So what are the needs of non-profits that offers opportunities for small businesses? Here are a few:
1. Executive recruitment and temporary employee placement – with the tremendous growth in the non profit sector, the demand for top level officials in non profits has soared as well. The growth of the sector combined with its relative immaturity result in a growing demand for businesses who can assist them in finding their personnel needs. You can provide head hunting and recruitment services for non-profits.
2. Online job bank for non-profits – One opportunity online is to create a job bank listing job openings in non profits and where people interested in working for non profits can post their resumes.
3. Tools to tap online giving – Majority of contributions and donations to non profits come through their traditional sources such as direct mail and donor solicitation. However, non profits are seeing the growing potential of the Web to increase their donor base and generate contributions. Given the younger demographic of the Internet users, the Web also allows them to tap younger contributors relative to their traditional donor base.
Some opportunities in this area include providing consulting services on how the non profits can create an online presence and expand their membership base. I know of one non profit in Washington DC that even created a website specifically for the donors, where their studies and papers are translated from policy-speaks to “what is it for me” style for the donors – and they have seen an increase in their donations.
4. Technology needs of non profits are significant – One opportunity include creating software applications that will facilitate the giving process. Non profits involved in counseling, for example, need case management software that will allow them to track their activities with the people they deal with, write notes about their interactions, produce assessments, demographic analysis and activities reports and manage documents. The key though is affordable technology given that many of these non profits are cash strapped or lack resources. There are also a lot of demand to assist in creating their websites and helping them reach their target audiences.
Non profits offer a lot of opportunities for small businesses. Assess if this segment is something that will fit well with your business goals.
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