The Importance of a Mission Statement
A mission statement describes an organization’s purpose, detailing who it serves and how it accomplishes its goals. Nonprofits focus on improving quality of life and advancing public interest without seeking private or financial gain.
To create a mission statement, it’s important to involve various stakeholders and refine the nonprofit’s reason for existence into a clear and concise declaration. This helps guide teams, attracts supporters, and provides a foundation for all organization initiatives.
Steps to Write a Mission Statement
- Brainstorm with staff, sponsors, volunteers, and beneficiaries through stories.
- State the nonprofit’s existence, target audience, and method of operation.
- Refine into a clear, concise, and welcoming statement.
Understanding Nonprofit Purpose Statements
Examples of Purpose Statements
- Khan Academy: "To provide free world-class education for anyone, anywhere."
- A shelter: "To provide shelter and support for homeless families."
- Empowering youth: "Inspiring and empowering young people."
Functions of a Mission Statement
- Guides everyday decisions
- Keeps stakeholders united
- Communicates values to the public
- Supports recruitment and evaluation
Legal Considerations for Nonprofits
In California, for example, nonprofits must state a charitable or public purpose per law. Also, if excess funds remain, they should be used for tax-exempt purposes in the following year.
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