Can Entrepreneurs Fill the Corporate Giving Void?

Due to either exodus and/or consolidation - the corporate donor base in many markets can no longer support the the volume of corporate giving seen in year's past. The distribution of wealth in these markets often shifts to the entrepreneurial sector. Given this significant shift, how can non-profits successfully appeal to the growing entrepreneur class in order to advance their organizations?

OVERVIEW
Entrepreneurship is on the rise. If you're wondering if the trend will continue, consider that just a few short years ago most universities did not have a major in entrepreneurship let alone an individual course offering. Today, the top undergraduate and graduate programs are ranked and national enrollment is swelling - suggesting that the continued growth of the entrepreneurial sector is likely.

DISTINCTIVE CHALLENGES
Organizations must recognize the three most significant challenges associated with nurturing the entrepreneurial sector.

1. Corporate givers don't literally give away their money. When an entrepreneur donates, she is contributing dollars that could otherwise grow her income or be reinvested in her organization. And sometimes the money is completely tied up in the organization which can often be cash-starved.
2. Because entrepreneurs wear the multiple hats of growing a business, they often lack (or perceive they lack) the time to get involved with non-profits whether at the board or committee level.
3. As the non-profit sector knows all too well, with few exceptions it takes a significant multiple of entrepreneurial donors to equal what can be gifted by one corporate donor.

TAKEAWAYS
With the financial landscape shifting, nonprofits must work hard to engage entrepreneurs. This issue is too large a challenge to be fully addressed here. However, a launch point for non-profits is to more proactively interface with entrepreneurial organizations. For example, I am a member of several entrepreneurial groups and none of those groups has any associate memberships from the non-profit sector. Nonprofits should also target appropriate board representation from the entrepreneur community...remember entrepreneurs run in packs - one strong relationship can lead to many, many introductions.

As with most development initiatives, mission affinity will be the driver to entrepreneurial engagement.