Charity Navigator, a New-Jersey- based charity evaluation group, recently released a study that indicated the best and worst cities nationwide for charity. Among the factors that contribute to such activity include the cost of living, market maturity, a city’s tendency to support certain causes, and the ability to influence causes and raise money accordingly, as reported by the study. As such, the practices and success of these organizations can be protected with Non Profit Liability Insurance.
The charities were ranked by performance based on Financial Health and Accountability & Transparency. The report found that Nashville charities are the most financially proficient, while Miami charities received the largest donations and Cleveland’s thrived in fundraising.
The report, according to The NonProfit Times, compared the percentage of compliance for various accountability and transparency metrics, as well as the median values of various financial performance and size metrics in the largest organizations throughout 30 metropolitan areas. The highest ranked charity communities were Houston, San Diego, Boston, Los Angeles and Miami. Contrarily, the lowest ranked were Colorado Springs, Orlando, Tampa, Philadelphia, and Portland.
Sandra Miniutti, Charity Navigator vice president stated “Not one of these marketplaces ranks below a 3-star, ‘good’ rating for which donors and nonprofit leaders should be commended. But each city presents unique challenges and opportunities to the charities that call it home. Our report isolates those differences to help Americans throughout the country better understand how charities in their city operate. We hope the study will also serve as a tool to help charity leaders start a dialogue across charitable communities to facilitate the implementation of best practices.”
The 8,200 charities that were evaluated contribute to an estimated 63 percent of the national charitable organizations and account for 65 percent of total revenue earned.
Among the other findings of the report were market size, annual growth, program expenses, assets and working capital, financial health, and charity type.
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