Charities say they've never felt poorer, despite enjoying income and asset value growth the envy of other industries in the economy.
That's the conundrum facing dozens of not-for profits group around the nation, who are worried about their future as governments provide less funding and there's more competition for philanthropic donations.
A new report from the not-for-profit body Community Council of Australia says despite charities enjoying major growth with burgeoning income and asset value, the sector has never felt poorer.
That's because charities have less money for discretionary spending and are providing services under locked-in contracts for which they haven't been given enough money by the government.
The council, which represents groups like beyondblue, World Vision and RSPCA Australia, says charities have more income but it's meant donors, communities and governments now expect more from them.
It says not-for-profits should rethink their business models and look for different revenue sources besides government, such as unlocking the value of assets rather than solely relying on fundraising activities.
HOW BIG THE NOT-FOR-PROFIT INDUSTRY IS:
* 58,000 active in Australia
* Employ over one million people
* Turnover more than $107 billion
* Have $175 billion in assets
* Contribute around four per cent to GDP.
* Have grown 40 per cent in six years, outperforming most industry sectors.
Source: Australian Bureau of Statistics/Community Council of Australia "Owning Our Future" report
Share
