by Jean Sidden

Created on: September 29, 2009

A nonprofit mission statement is the explanation for why the nonprofit exists. In order to gain incorporation and to raise money as a nonprofit, the organization must have a mission statement. Though some nonprofits may have rather poorly written mission statements, in the best of circumstances the mission statement is the blueprint for the organization's activities.

Some older nonprofits may not have carefully thought out mission statements. The economy and the laws were different when the nonprofit business model was first developed. Now, particularly in the current economic climate, it is very important to not only have a mission statement but to have a good mission statement. With everyone tapping into the same funding sources a mission statement is the means to let a donor know why your organization is different and deserves the money.

The mission statement steers the purpose of the organization. It guides its activities and sets its goals. It should appear on the organization's letterhead, fax cover sheets, business cards and all promotional and fundraising documentation. It is the elevator speech for anyone who represents the organization in the community. If a board member is playing golf with a prospective donor the mission statement is what that board member uses to explain the purpose of the organization and let the donor know where his money will go and how it will be used.

Your patrons support your organization based on the goals in your mission statement. If you deviate from that mission and go in another direction, your patrons may decide you are no longer who you say you are as an organization and withdraw their support. It is possible to change mission statements but that should be done first before the organization takes off on a new path. As long as the mission statement is in existence it is valuable evidence of the identity of the organization and it is this identity that the public supports.

Nonprofit organizations must be able to explain who they are, what they do and whom they serve. All this information is included in a good mission statement. The public and private funding sector judge the organization based on the execution and performance of what is included in its mission statement.

A nonprofit is in the business of finding financial support for its work and operation. It should always be searching for new and better ways to raise money. The most important first step towards making sure your organization is uniquely deserving of financial support is by having a well-written mission statement.

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