Humanities and Social Sciences

2014; 2(3): 57-64

Published online May 30, 2014 (http://www.sciencepublishinggroup.com/j/hss)
doi: 10.11648/j.hss.20140203.12

Challenges facing local NGOs in resource mobilization

Rehema C. Batti
Ongoing PHD student in the School of Management, Atlantic International University, 900 Fort Street Mall 40 Honolulu, Hawaii, USA

Email address:
[email protected]

To cite this article:

Rehema C. Batti. Challenges Facing Local NGOs in Resource Mobilization. Humanities and Social Sciences.
Vol. 2, No. 3, 2014, pp. 57-64. doi: 10.11648/j.hss.20140203.12

Abstract: Development organizations need resources to help them continue providing services to the community. Non
Govermental Organizations (NGOs) for a long time have relied on the generosity of donors to support their project activities
through grants and donations. However organizations have realized that such funding sources are often insufficient to meet
needs and rising costs for project implementation. In Africa despite vast differences among the NGOs most share a common
challenge of unlimited needs chasing limited resources. Local NGOs face difficulties securing enough funds because the
projects undertaken require substantial amounts of resources, both financial and non-financial due to high poverty levels in
most parts of the continent. Resource mobilization requires a lot of time and skills to seek resources from different sources
and the pressure to mobilize resources may lead the organizations to use methods that compromise the values they are
fighting for through their work.

Keywords: Resource Mobilization in Local NGOs, Fundraising in NGOs, Challenges in Resource Mobilization

future is and will be to explore additional mechanisms to

1. Introduction boost financial stability without sacrificing the mission of
Resource mobilization is a valuable component for their organizations. This paper seeks to highlight the
strengthening an NGO. Unfortunately there is a lot of challenges currently faced, make recommendations and
competition for donor resources and in many cases for an share emerging trends in resource mobilization that
organization to secure resources it depends on how well it can organizations can use to build a more sustainable resource
compete with other organizations to raise funds; and on how base.
good it is at exploring other ways to source for resources.
Those NGOs fortunate enough to have adequate resources 2. Perspectives in Resource Mobilization
to support their current operations still face uncertainty over
future funding. Many organizations wonder whether the 2.1. Definition Resource Mobilization and Fundraising
donors will keep supporting program costs or will they shift • Resource mobilization is a process whereby resources
their focus to other more pressing needs. At times a donor both financial and non financial resources are
runs out of business and can no longer provide resources. mobilized either externally or internally to support
These are some of the scenarios that create uncertainty over organization activities.
donor funding and makes it extremely difficult for NGOs to • Fundraising is the act of persuading people or
plan and implement their project activities consistently. organizations to raise money for a cause. Fund-raising
The uncertain continuity of donor funding, forces an NGO is the activity of collecting money to support a charity
to live a project to project existence, which makes it difficult or political campaign or organization.
to design and expand project activities to improve the Fundraising means that funds are elsewhere and
quality of services. However the common mistake that local approaches need to be explored to access the funds.
NGOs make is to become over dependent on a single source Resource mobilization has additional two concepts; one is
of funding. When that source reduces or dries up the that non‐financial resources are crucial and secondly some
organization struggles to generate new funding when it is too resources can be generated by the organization internally
late, hence programs are compromised or terminated. rather than sourced from others.
Therefore, the task facing NGOs currently and in the
58 Rehema C. Batti: Challenges Facing Local NGOs in Resource Mobilization

2.2. Sources for Funding or Resources term and this means these organizations have objectives
which were never intended to be sustainable in the long-run.
There are two categories for sourcing of funds or This scenerio makes one to conclude that the way
resources organizations are managed is quite “unsustainable” and
2.2.1. Conventional unfortunately has an impact on how an organization
Individual philanthropy, Private foundations, corporate mobilizes and manages resources. It is vital for
agencies, government and foreign development agencies organizations to consider sustainability in a new more
comprehensive way if they are to succeed in the future.
2.2.2. Non Conventional Means Sustainability is not only linked to how an organization is
Membership fees, businesses, income generating able to mobilize and generate ongoing resources required to
activities, Prizes/Awards; sustaining its mission and undertaking quality work but also
It is important for organizations to understand funding there is a link between quality and sustainability.
sources within categories that they have not fully explored Quality of services is often one of the critical ingredients
and design mechanisms of accessing them. There are three in achieving an organization’s sustainability. Organizations
ways to mobilize resources as follows; accessing existing are required to adopt crosscutting quality assurance systems
resources through private and public sources, generating to ensure quality of services is not compromised overtime as
new wealth and capitalizing on non-financial resources this is key to ensuring that services undertake by the
organization remain on demand.
2.3. Resource Mobilization Framework Many people equate an organization’s sustainability with
Resource mobilization process is made up of 3 aspects as its financial strength, but this alone becomes irrelevant over
follows the resources, mechanism and the providers time. Mavuto (2013:88) 1 lists some characteristics of a
• Mechanism: sustainable NGO which include strategy, established
These include submission of grant proposals, special constituency, sound organizational governance, enlightened
events, small business and application for donation. management, learning culture and good public relations.
• Means/Resources:
These include the following cash, technical support, 3.2. Resource Mobilization the Key to Sustainability
human resource, subsidized service and facilities, equipment,
information and goods. Organizations without a strong sustainability culture will
• Resource Providers: not grow. A good sustainability culture exists when all staff
These may include; International NGOs, bilateral and respect their donors and want to understand and meet their
multi-lateral agencies, cooperatives, government and needs. A good culture exists when staff members value
businesses among others program and sustainability as two necessary components of
a successful organization and appreciate their
interconnectedness.
3. Sustainability and Resource An organizational culture that is flexible helps an
Mobilization organization in looking for ways to maximize resources, in
finding innovative ways of raising funds, or carrying out
3.1. Concept of Sustainability of Organizations programs in challenging environments.
However it is important for organizations to realize that the
There is a lot of talk and literature on what, how and whys sustainability of an organization does not only depend on the
of organization sustainability. Many organizational leaders resources an organization has but it is also affected by the
are striving to understand and explore ways to build a following: existence of competent staff, supportive policies,
sustainable organization that will ensure they are making a internal systems to manage assets, an organization’s ability to
positive impact on the society and the environment in which establish relationships with individuals and organizations and
it works. organizational culture that reinforces sustainability efforts.
There is evidence in literature that shows that When an organization is competing for resources and
organizations are struggling to grow consistently over a other support in a very tight market place the organization’s
period of 10 years. Many local NGOs in Africa are smaller, appeal has to be different, better, “cheaper” and unique. A
privately-owned, group owned or family-owned and are donor has no reason to select an organization over another if
short-lived as they are unable to achieve long-term, there no evidence of innovativeness or value in supporting
consistent growth or improve performance. an organization and therefore it is crucial to view an
For many local NGOs in Africa, there are high rates of organization’s mission from the perspective of current and
senior management turn-over, internal wrangles caused by potential donors and emphasize those aspects of an
power structures, poor financial reporting and the intense organization’s work which are appealing from a donor’s
scrutiny of financial expenditures by donors and perspective
governments hence management focus remains biased on
short-term performance. This happens because the reward 1
Mavoko Kapyepye (2013), Resource mobilization for NGOs in the developing
systems do not recognize and value performance in the long
world. London. Adonis and Abbet Publishers Limited
 Humanities and Social Sciences 2014; 2(3): 57-64 59

4. Challenges Facing NGOs in Resource 4.1.5. Rules and Regulations within a Country for
Accessing Government Funds
Mobilization The rules and regulations that govern accessing and
NGOs are operating under a highly resource competitive applying for government funds and resources make it
environment. The challenges that NGOs encounter in resource difficult for organizations to access resources. For example
mobilization efforts can be divided into external and internal in Kenya a policy of funding one CBO/NGO bi-annually per
challenges. division is seen as an obstacle to the resource empowerment
NGOs.
4.1. External Challenges
4.1.6. Donor Prejudices
4.1.1. Donor Country Priorities Changing Organizations that have a good track record can easily
Many at times NGOs face dictation of priorities from access resources. Cases of funds or resource embezzlements
donors hence organizations shift focus or are not eligible to are very serious and donors talk on who has done what and
apply for the funds as they are not meeting the donor good track record is important. According to an article
priorities. Thomas Parks (2008:213)2 noted that an NGO published by IRIN (2011)4many young organizations face
faced shortfalls when the major bilateral donors were the challenge of not being known and donors do not give
shifting priorities towards economic development and others money as they are not aware of the organization
outside the traditional scope of the organization. competencies or track record.
4.1.2. Criteria being Used/Applied to Organizations 4.1.7. Natural and Manmade Occurrence e.g. Floods,
Donor’s preferences have continued to change and they Earthquakes, Wars
have become increasingly selective. One notes that different When natural disasters occur most donor funds get
donors apply different conditions on aid, for example diverted to support relief programs and many local NGOs
specify projects that can be supported within their budget, lack the capacity or expertise to undertake relief projects and
working in partnership or collaboration with others, during this time fewer funds are directed to normal
geographic cover, sector and a properly constituted development programs.
organization. Countries that are experiencing conflict experience a
decrease in resources available to NGOs as donors do not
4.1.3. Donors Conditional Ties want to fund NGOs in areas of conflict as perceive the funds
In the donor world the funding trends are changing. We will be diverted and purchase of weapons or it will become
see donors are using basket funding or sometimes shift in difficult to attain results in conflict prone areas.
funding from NGOs to focus on government institutions and
hence the NGOs end up competing for the same funds with 4.1.8. Competition from “Political NGO”
the government institutions that have resources and capacity Some NGOs are directly or indirectly linked to political
to mobilize for resources. Mavuto (2013:23) 3 states that parties within their countries country and because they are
restrictions given to organizations for example not allowing politically connected they easily lobby for development
them to engage with another donor during the period they agencies for funding to ‘alleviate poverty’ in their
are funding the organization also affects NGOs from constituencies and hence those with no political association
diversifying their donor sources. end up not accessing the much required funds to support
genuine cases of poverty.
4.1.4. Political Interference
Government policies and political climate increase 4.1.9. Competition among NGOs in the Same Sector
bureaucratic red tape for NGOs mobilizing resources Duplication of resources is seen in the activities of some
externally. Where there is political instability donors will NGOs. For example where there are about ten or more
either not release funds or they reduce or enforce stringent NGOs within the same geographical area and alloffer the
measures. same services at the expense of other areas that require equal
Government attitude and perceptions of NGOs have not been attention. This raises competition among the NGOs instead
good in many African countries and some organizations of cooperation and unfortunately at times these are not the
have been considered by the government as a threat. This areas where the donors what to focus on.
has led to some being deregistered or been given restrictions There is also a challenge of increased competition
for sourcing funds from external donors for example in between NGOs for funds especially against larger,
Ethiopia. established NGOs that are known by international donors
due to their involvement in relief activities during famine or
floods. This puts the emerging NGOs under immense
2
Parks Thomas (2008), The Rise and fall of donor funding for advocacy NGOs:
4
Understanding the impact. Development in Practice, Volume 18,No2 April 2008 IRIN (2011),Foreign funding critical for NGO survival. Nottingham
GFP.www.globalpolicy.org/ngos/introduction: funding for NGOs.html University centre for Research in Economic Development and International
3
Mavoko Kapyepye (2013), Resource mobilization for NGOs in the developing Trade.(October 2011)GFP.www.globalpolicy.org/ngos/introduction: funding for
world. London. Adonis and Abbet Publishers Limited NGOs.html
60 Rehema C. Batti: Challenges Facing Local NGOs in Resource Mobilization

pressure to prove themselves to international donors of their resource mobilization or the leaders become too comfortable
capability to manage resources where aid flow is declining. with the current methods of resource mobilization and are
not willing to explore other new ways.
4.1.10. Type of Network Involved in
Networks that NGOs are engaged in may hinder their 4.2.4. Inadequate Strategic and Operational Plans
ability to access and mobilize resources effectively. This is No strategic plans that guide the organization to know
because some networks are not well thought out and hence what the objectives are and enable the organization identify
organizations do not gain visibility, experience or access the resources needed. Most strategic plans developed are for
new avenues for resource mobilization. In this case, the donor purposes only and do not reflect the actual needs to be
networks that the NGOs joined did not add any value in the addressed by the communities.
area of resource mobilization.
4.2.5. Inadequate Networking Skills
4.2. Internal Challenges Networking is a common term frequently used by NGOs
sector in many African countries, but rarely practiced. Many
NGOs are expected to initiate, design and implement NGOs lack networking skills and instead are seen competing
projects that can be scaled up by governments and donors. for resources than working together towards common
However, in addition to external challenges, NGOs also interest. Many donors are currently looking to fund
have major internal challenges organizations that are in networks or working together.
4.2.1. Capacity Limitation within Organizations 4.2.6. Inadequate Awareness on Available Opportunities
There is significant capacity limitation among indigenous There are windows of opportunities that exist within
NGOs in terms of human resource and due to having countries that sometimes NGOs fail to exploit due to lack of
insufficient staff then to pursuing appropriate funding or awareness that the opportunities exist. For example
resources remains elusive to many. For example in Kenya, it according to Beverly etal(2012:129) 6 indicates that
was noted that Isinya division had about 484 CBOs of government funds available were not accessed by civil
various types formed to address the poverty/household ill society organizations due to inadequate awareness about the
health experienced in the area. However, only 25% of these availability and the procedures required to access the funds.
CBOs were found to be actively implementing projects at
micro level, the rest remained inactive due to inability to 4.2.7. Governance
mobilize the required resources for implementing their NGOs in many countries do not have effective
mandates. (Beverly etal 2012:128)5 governance structures and where a board exists, they are
rarely effective in providing strategic leadership in ensuring
4.2.2. Accountability and Transparency resources are mobilized. Mavuto (2013:86) 7 states that
Many organizations fail in the two central pillars of good boards are supposed to provide guidance and oversight to
governance that is transparency and Accountability. NGOs the operations of the NGO. However many boards are not
sometimes fail to meet the requirements imposed a country’s aware of their role in resource mobilization.
or donors legal system and this makes them lose the public's The presence and extent of involvement of management
trust. Many organizations lack sound systems for financial and governance structures in NGOs influenced their ability
management, program monitoring and evaluation and to mobilize resources. Many times NGOs did not have
managing overall program performance that ensure they governance instruments such as constitutions, policies and
consistently earn stakeholders trust. For example guidelines and this tended to scare off potential donors.
organizations have been accused of excessive or improper
compensation for chief executives and board members, 4.2.8. Minimal Communication and Branding
conflict of interest in organizations transactions, non Many NGOs are not able to communicate effectively who
remittance of taxes and unethical behavior. These they are, what they do, and their achievements. This inability
accusations bring suspicions on the transparency of NGOs to communicate means the visibility of the organization is
and stringent measures are imposed that make it even more poor and they are not able to effectively market their
difficult to get resources. programs. This eventually affects their capacity to mobilize
resources
4.2.3. Founder Syndrome Many at times organizations lose the opportunity to get
Many local organizations’ leadership face this syndrome. resources as donors or stakeholders are not aware of the
This is whereby the founder or founders tend to control and presence of the organization within the area, sector or
manage the affairs of the organization with minimal country.
participation from other members. For example a CEO or
board members will not allow other staff to engage in
5. Conclusion and Recommendations
5
Beverly Otieno, Strapola Mala, Hazel Mumbo, Fredrick Aila and Odhiambo
6
Odera (2012) Factors affecting mobilization of Kenyan resources for health and Ibid(2012:129 )
7
development. International Journal Social Science and Education(2012) Volume Mavoko Kapyepye (2013), Resource mobilization for NGOs in the developing
3:Issue 1 world. London. Adonis and Abbet Publishers Limited
 Humanities and Social Sciences 2014; 2(3): 57-64 61

Currently in the African continent, many local NGO Organizations need to consider resource partners interests
depend on external donor funding and resources to run their in terms of thematic focus and geographic coverage. The
organizations but unfortunately there is also a lot of identification of resource partners should be seen as an
competition for the money and resources. In many cases the ongoing process and organizations need to continuously
survival of an organization is dependent on how well it can update details and focus of the potential resource partners.
compete with other organizations and on how good it is at Resource mobilization from various kinds of sources and
finding other ways to source for resources. diverse types of resources will decrease an organization’s
financial risk. One of the gap that many organizations have
5.1. Recommendations to Address Challenges is too rely heavily on one mechanism for mobilizing
The following are some recommendations to address the resources. Organizations need to determine and set resource
challenges NGOs face: mobilization targets and thereafter select mobilization tools.
The resource mobilization strategy should be monitored,
5.1.1. Understand the Resource Mobilization Cycle discussed and documented and improvements made to the
The resource mobilization cycle is a tool used by strategic strategy and action plan developed.
organization to help plan, monitor and develop their
resource mobilization activities. It involves 3 phases 5.1.5. Formation of a Resource Mobilization
• Planning-assessment and design element Team/Committee
• Act-implementation(identify, engage, negotiate, Organizations that have an active resource mobilization
manage and report and communicate results) committee seem to be effective and successful in their
ongoing process resource mobilization efforts. This is important especially
• Reflect on the lessons learned and revise strategy for where NGOs do not have a systematic practice of resource
purposes of redesign. The action plan and strategy mobilization because of limited staff who are busy doing lot
are monitored and the organization reflects on of work at the implementation level.
successes and challenges then through the lessons The organization should consider selecting staff and other
learned they tailor and refocus strategy for greater interested stakeholders with experience and expertise in the
success. field to form a resource mobilization committee. At another
level, the board should form a resource mobilization team
5.1.2. Understand the External Environment that over-sees resource mobilization efforts and commits
Organizations need to critically understand and evaluate itself to ensure board member involvement.
the external environment to understand the factors that affect
their resource mobilization efforts. 5.1.6. Enhancement of Organization’s Internal Capacity
Resource mobilization is a continuous process and it is
5.1.3. Appreciate and Analyze Competition important for an organization to build its internal capacity to
Increased competition for scarce grant resources requires mobilize resources. Organizations sometimes underestimate
organizations to start thinking of new options for diverse and the time, resources and skills involved in resource
multiple funding streams that will support organizations to mobilization and also maintaining good communication and
undertake their projects. According to Li Yuwen (2011:15)8 relations with donors. It takes resources to raise resources
raising funds has become an important aspect for NGOs. For and organizations need experienced and skilled personnel
many organizations competition has a negative connotation and board members in resource mobilization if they are to be
and is reserved for use by private or for the profit sector. It is successful to get resources.
often seen to mean dominating the market by destroying or
engulfing your competition. For those that see themselves as 5.1.7. Leadership Role in Resource Mobilization
collaborative and sector building being competitive sounds Resource mobilization is a strategic process within an
unethical and they wonder why they have to compete. organization carried out at the executive level and should not be
However ,understanding organizations within one’s sector looked at as a different or minor task within the organization’s
or other sectors needs to be an integral part of an management team. According to Susan DiMattia (2008:26)9 it
organization’s environmental scan. In doing so an is important to have someone at the top with the belief, energy
organization may discover what the other organization does and time to spearhead fundraising efforts.
threatens the sustainability or presents new opportunities for NGO leaders are sometimes forced to follow the money
mobilizing resources through doing a joint program. and this allows donors to dictate the scope and direction of
their activities, or else receive no funds at all. Hence it is
5.1.4. Develop and Manage a Resource Mobilization Plan crucial for an organizations leadership to articulate the
Organizations need to envision where they want to be in vision for what they want the organization to achieve and
three- five years and design and implement programs based what will be the impact of the success and how the interest of
on the genuine needs of the target stakeholders or community. the potential funders will be realized without compromising

8 9
Yuwen Li (2011) NGOs in China and Europe: Comparison and Contrast. DiMattia Susan (2008) Getting the money you need .Relationship fundraising.
Farnham, Surrey, England. Ashgate Online January 2008;32(1) 22-26.
62 Rehema C. Batti: Challenges Facing Local NGOs in Resource Mobilization

the organization mission. teams once the goals are achieved or exceeded(Berkshire
2013:20)14 .For example Save the Children found a creative
5.1.8. Transparency and Accountability for NGOs way of saying thank you to its donors by using the fastest
A good reputation is linked with integrity and the talking woman to say thank you. (Flandez 2013:17)15
reputation of an organization’s and its individual players are
its most valuable asset and its highest risk.(Pettey J 5.1.11. Sustainability and Relevance of the Project to be
2008:5) 10 An organization having an accountable style of Supported
working can expand its relations and contacts quickly. Strong relationship with donors is important, however as
It is common knowledge that the NGO sector in many organizations seek resources they should be aware of the
countries is being watched by government, donors, press, possibility of getting one time resources or a donor and
and the general public and creating and maintaining a good, hence there is need to ensure that the project will be self
credible public image in such an atmosphere of suspicion sustaining once the donor support is over.
and cynicism is a tremendous challenge for many There are evidences that indicate that NGOs programs
organizations. According to Pettey Janice (2008: xv) 11 have the problems of phase-out and sustainability which are
without public trust fundraising cannot happen and if people terms frequently mentioned in development programs. NGO
don’t believe an organization will use their money projects undertaken are ideally expected to bring change
appropriately, they will simply not give. among the needy people. However change will only be possible if
NGOs are able to sustain their programs and this is possible
5.1.9. The Quality of Financial Management and when NGOs start their programs with good phase-out
Accounting strategy.
Organizations that have financial management systems Organizations need to realistically plan to see whether the
that meet the standards required by external donors is cost of the project can be absorbed into the regular budget in
another factor that contributes to an organizations ability to the future fiscal years and this provides a basis of negotiating
mobilize resources. Donors are comfortable with an with the donor on how long an organization needs
organization that has clear financial reporting and auditing support.(DiMattia 2008:26)16
arrangements and where adequate monitoring and
attribution of costs to activities and results exists. 5.2. Emerging Resource Mobilization Trends
Clear accounting systems to distribute and track that
resources get to where they are intended are things that 5.2.1. Internet Fundraising
donors appreciate. Acknowledging a donors resource Organizations in Africa could consider using internet as a
contribution through managing, monitoring and reporting on fundraising mechanism. This allows the funder the
the use of resources vis a vis agreed mechanisms which are possibility of giving continuously and costs less. For
often spelled out in the agreements is crucial to maintain example Network for Good raised $300 million from more
good relations with the donor and forms a foundation for that 50,000 different nonprofit and a total of $7 billion was
potential ongoing resources and must not be overlooked. contributed in 2008(Hoefer 2012:362)17
According to Hoefer (2012:364)18 affiliate marketing can
5.1.10. Continuous Learning and Improvement in also contribute to bringing in new streams of contribution
Resource Mobilization Strategies and unrestricted funds.
Frostein Sarah (2013:21)12 states that organizations need
to base their fundraising on the behaviour of donors by 5.2.2. Developing Social Enterprise Using the Social
monitoring feedback and appeals sent to them. This means Business Model
planning an event where donors have an interest. According to Yunus (2010:1)19 social business involves
One organization reviewed their process of conducting solving a social problem by using business methods which
first time meetings with potential donors that was initially include creation and sale of products and services. In starting
done by staff and instead used a consulting company and set a social business, one does not start with a focus on the
up first time meetings with potential donors this freed the business, but identifies a social problem and then tries to
staff from organizing such events to concentrate more on the
follow-ups and deepening relationships with donors.(Hall 14
Berkshire Jennifer (2013) A university offers Flexibility and financial rewards
2013:8)13 to keep fundraisers happy. Chronicles of Philanthropy (serial online) Jan 17,
Other methods would include tracking fundraising 2013: 25(5)20.
15
success and providing rewards or bonus to individuals and Flandez, Raymund (2013) Fundraisers find success with simple appeals, wild
ideas and off beat campaigns. Chronicles of Philanthropy (serial online) Jan 17,
2013: 25(5)17.
10 16
Pettey Janice (2008) Ethical fundraising: A guide for nonprofit boards and DiMattia Susan (2008) Getting the money you need .Relationship fundraising.
fundraisers. Hoboken N.J Wiley, Online January 2008;32(1) 22-26.
11 17
Ibid (2008:xv) Hoefer R.( 2012) From website visitor to online contributor. Three internet
12
Frostenson Sarah (2013) Don’t think weekend appeals don’t work. Chronicles fundraising techniques for non profits. 57(4)361-365
18
of Philanthropy (serial online) June 27,2013:25 (15)21. Ibid(2012:364)
13 19
Hall Holly, Big changes help hospital attract more big gifts faster. Chronicles Muhammad Yunus (2010), Building social business. New York. Public
of Philanthropy (serial online),2013: 25(10)8. Affairs
 Humanities and Social Sciences 2014; 2(3): 57-64 63

address it by incorporating a business solution for it. (Yunus international standards. Local organizations will benefit
2010:35)20 from this trend of corporations donating to local
I believe this is an interesting area that NGOs can explore organizations.
that will help them address a social need but have income In conclusion, an important part of planning for an NGO
that will ensure the projects is sustainable. Yunus is increasing financial security and becoming independent of
(2010:58)21 advises in his book that to start a social business donors. This may be a realistic goal for some NGOs who
one needs to identify a need and match it with the have the ability to self-generate funds to cover overhead
capabilities and talents. An organization needs to clarify the costs yet others may still legitimately continue to rely on
objective of the business and make sure they get the desired grants and donations, at least for now, as this may be the
result from the project then come up with a product or available approach.
service to serve as a vehicle for achieving this objective. There is no right or wrong answer and therefore it is up to
each organization to review the options available and to
5.2.3. Local Resource Mobilization choose the most appropriate mechanism for resource
The generation of local resources through saving and mobilization and move from only focusing on mobilizing
investing wisely is the essential foundation of sustained financial resources.
development for any organization. The high dependence on Organizations as they pursue resources from donors and
external resources puts limits on organization’s policy space others sources they need to recognize that sustainability is
and creates some vulnerability. not only about getting resources/funds but also requires a
Local resource mobilization is gaining popularity and is solid organization, strong programs that determine which
becoming necessary as donor resources continue to decline. project activities and implementation strategies are most
NGOs typically benefit from local contribution of time from appropriate to achieve an organizations mission and
communities, manual labour and cash towards a objectives and ensure it remains relevant year after year.
development project however this is normally not given An organization cannot market itself and what it does
much weight when it comes to resource mobilization unless it has good programs. On the other hand, if no one
mechanisms. In future local resource mobilization will wants to invest in an organization’s programs, they have
provide a crucial viable long-term financing basis for little chance of benefiting society and being sustained.
development projects undertaken by local NGOs.

5.2.4. Resource Mobilization from Private Sector Acknowledgements

Organizations and Individuals
Many resource mobilization efforts of organizations are I would like to appreciate the invaluable support I receive
focused on fund raising from international institutional from my University advisor Dr Valcin and the university team.
donors. If organizations desire to diversify their sources of
resources, they may have to revise their current approaches,
which are only focused on attracting external grants and References
accommodate options of sourcing resources from businesses [1] Beasely Thomas W (2009) Poverty in Africa. New York:
and individuals. Nova Science Publishers.
Organizations in their bid to diversify funding resources
will need a paradigm shift to tap into corporate philanthropy [2] Berkshire Jennifer (2013) A university offers Flexibility and
financial rewards to keep fundraisers happy. Chronicles of
and individual donors. According to IRIN (2009),22 Fifty Philanthropy (serial online) Jan 17, 2013: 25(5)20.
one percent (51%) of humanitarian funding for 114 NGOs
came from private sources and it also cites that Medicines [3] Beverly Otieno, Strapola Mala, Hazel Mumbo, Fredrick Aila
San Frontier (MSF) received 86% of its funds from private and Odhiambo Odera (2012) Factors affecting mobilization
of Kenyan resources for health and development.
sources. Private sources allow organizations to respond International Journal Social Science and Education (2012)
quickly and they have fewer restrictions. Volume 3: Issue 1
According to Bray (2008:86-87)23 organizations should
also consider recruiting individual supporters as it is [4] Bray Illona (2009) Effective fundraising for nonprofit: Real
world strategies that work..Berkeley:
worthwhile as they come with few strings attached. While
grants from a foundation maybe much more than from [5] DiMattia Susan (2008) Getting the money you
individuals, but they may come with many restrictions. need .Relationship fundraising. Online January 2008;32(1)
Corporate social responsibility is an emerging field in 22-26.
many African countries and gradually catching up with [6] Flandez, Raymund (2013) Fundraisers find success with
simple appeals, wild ideas and off beat campaigns.
20
Ibid(2010:35) Chronicles of Philanthropy (serial online) Jan 17,2013:
21
Ibid(2010:58) 25(5)17.
22
IRIN (2009),Global: Individuals give NGOs more funds than
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