The Evolution of a Nonprofit Mission Statement

 

Nonprofits tend to establish their mission statement in the early stages of developing the organization. The mission statement is based on what the organization has determined to be the focus for serving their community or other populations. 

 

Within those early years, the nonprofit may find that the goals need to be refined and realigned based on more information gathered during the infancy phase. Goal realignment may come from: 

 

• Opportunities to partner with other organizations that create synergies to enhance mission outcomes
• Lack of resources as initially planned
• Unexpected changes that require a shift in the mission 

 

For nonprofits that have served their communities for many years, leaders may find that needs have evolved over time; successful results deem the program is no longer needed, or the target population is no longer present. This is when management should work with the Board and other strategic advisors to gather insight concerning possible changes in long-term goals, either by expanding, contracting, or modifying programs as needed.

 

The focus on funding priorities is important as needs change over time. Communication with donors and grant makers is key to maintaining and building a donor database with people and foundations who feel connected to the organization’s mission and confident they are helping to create positive change. It is important to demonstrate measurable impact to donors and grantors.

 

Intentional change in mission is beneficial when adapting to shifting community needs. However, a mission drift that leads you away from your focus can happen when the nonprofit team spends time chasing random funding with restrictions, or when donor interests do not align with your goals. An annual review would be beneficial to ensure your mission remains focused or to consider an official mission change.

 

The Form 990 “Return of Organization Exempt From Income Tax” is an annual filing requirement. You want to make sure that any mission changes do not have a negative impact on your tax-exempt status. The filing is available for public inspection. The first page of the form contains a brief summary of the organization’s mission or most significant activities with an expanded mission description on page 2. Keeping these disclosures up to date is important as prospective donors may rely on them to determine if they align with their charitable giving focus.