Showing posts from June, 2023

Nonprofit Financial Management - Means to an end inverted

A significant difference between private and public sector is what I call ‘means to an end inverted’ where in private sector, the thing you do is the means to an end which is money; in the public sector, money is the means to an end which is the thing you do. That being said, serving the public is a business when you are being paid for a deliverable.   Schools, service organizations, sporting clubs, emergency services, and social welfare programs all have two things in common: they are there to provide citizens or members a service, and they are accountable to the funders. Whether the program is funded through federal, state/provincial or local taxes, or through donations, service fees, or membership dues, the concept is the same.   Why is the inversion of Means to an End important for those who operate in the nonprofit and public service sectors? It has to do with the philosophy of why you do what you do, and if you are doing it for the right reasons. Entrepreneurs are there to ma