Sixty-one percent of nonprofits are seeing a significant decrease in clients using their services, while 32 percent say they anticipate such a decline to occur later this year, according to a new survey from the Nonprofit Finance Fund.
Such changes can create financial hardship for nonprofits that get reimbursements based on the number of people served.
The survey adds to the flurry of recent research showing how the coronavirus pandemic is disrupting nonprofits. Conducted March 18 through March 23, it gathered responses from 465 nonprofits.
Further, 60 percent of nonprofits reported they were experiencing “destabilizing conditions that threaten long-term financial stability.”
The pandemic is also hurting earned revenue for nonprofits that deliver products or services, such as performance tickets or tuition. Seventy-five percent of nonprofits said they had less earned revenue.
Likewise, 50 percent of groups polled said they were getting fewer donations, and 27 percent said they were experiencing reductions in government revenue.
Fifty-six percent said they were struggling with staff availability due to disruptions in child care, and 43 percent said their volunteers had limited or no availability due to child-care issues.