Best Metrics | Best Metrics for Non-Profits

Best Metrics for Non-Profits

August 6, 2024 / 52:27/E7

This episode of the Best Metrics Podcast features Catherine Demes Maydew, Director of Government and Nonprofit Consulting at Creative Planning, discussing key financial metrics and considerations for nonprofit organizations. Catherine provides insights on analyzing financial statements, including the importance of unrestricted net assets, functional expense allocation, and key ratios like program expense and net margin. She also shares advice for board members and CPAs working with nonprofits, emphasizing the need for education and understanding an organization's unique financial story beyond just the numbers.

Learn more about Peerview Data
https://www.peerviewdata.com

Connect with Catherine Demes Maydew
https://www.linkedin.com/in/cdemesmaydew
https://creativeplanning.com/team/catherine-demes-maydew

Connect with Glenn Dunlap
https://linkedin.com/in/glenn-dunlap

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(00:00) - Best Metrics for Non-Profits
(00:46) - Guest Introduction: Catherine Demes Maydew
(01:18) - Creative Planning and BerganKDV Merger
(03:01) - Services Offered by Creative Planning Business Services
(05:04) - Focus on Government and Nonprofit Practice
(07:41) - Understanding Nonprofit Financial Statements
(11:17) - Analyzing Net Assets and Financial Health
(16:30) - Impact of COVID on Nonprofit Financials
(17:41) - Each Nonprofit Has Some Unique Analysis
(24:18) - Importance of Footnotes in Financial Statements
(27:13) - Navigating Fundraising Challenges
(27:55) - Understanding Functional Expenses
(28:29) - Allocating Indirect Expenses
(29:48) - Analyzing Program Expense Ratios
(32:12) - Implementing Functional Expense Reports
(34:12) - Some More Metrics for Nonprofits
(39:06) - Post-COVID Trends in Nonprofit Funding
(41:56) - Board Member Responsibilities and Training
(47:59) - Final Thoughts and Advice for New Board Members

Glenn Dunlap

Glenn Dunlap is the Co-Founder & CEO of Peerview Data

Director of Government and Nonprofit Consulting at BerganKDV