Being proficient in financial transparency is key to gaining confidence and investments from partners to create sustainable income generations.
In order to master diversification in the organisation, CareFlight National CEO said this comes from creating a positive brand and reputation that differentiates an organisation from other charities and not-for-profits in an oversaturated market.
“Every time we look at spending, we look at if it’s on the mission,” said CareFlight CEO Mark Frewen, speaking at the 2018 NFP Financial Leaders Summit. “He added that by being a “good steward of every dollar”, organisations can feed into transparency.
In order to attract and retain financial partners wanting to contribute to a not-for-profit entity, Frewen said it’s important to spend time on ensuring that the financial aspects of organisations’ practices are transparent and remain open to answering questions.
This feeds into the compliance around working with governments and the red tape that comes from government partnerships. Working with government groups often means the “costs of compliance goes through the roof”, and organisations will need to navigate hurdles.
Other than understanding these hurdles and being ready with financial information for government partnerships, Frewen said there are opportunities in existing accounts.
“Being good at account management and listening to the client is the easiest place to get growth. Often they only come to you for one thing, but when you’re really good at account management you can come to understand that they have other needs that you are able to help them with,” Frewen said.
CareFlight works to bring locate and rescue operations to people who cannot wait for life-saving care. It operates with the support of partners, across trusts and foundations, and a variety of community organisations. The support funds operations and provides access to medical equipment, medical training and special gear.
Frewen said the only way that CareFlight can survive in the future in a sustainable way is through diversifying its revenue. He added that part of the strategy exists in “looking at where we want to be in five or 10 years” and “zeroing on what our core skills are and what those things do to align them with where we want growth.”
“We really have to invest in those systems that help us be smarter. You have got to invest in that so you get the revenues to be smarter,” Frewen said.