After 50 years of starting organizations or being an active member of groups, I realize the following:
VULNERABILITIES of NONPROFIT ORGANIZATIONS AND CO-OPS
* Dependence on large donors.
Grant revenue should not overshadow reliance on membership fees.
* Board yields to government threats.
Best board members, under pressure, are those with nothing to lose.
* Excessive executive director salaries.
Our intent is to prove that average people can manage systems.
* Staff shifts from mission to salaries.
Many nonprofits evolve to serve staff more than members.
* Conversion to for-profit.
Many medical-insurance companies began as mutual-aid organizations.
* Lack of communication with members.
Less information sharing means less democracy, more insider deals.
* Closed or secret board meetings.
Shortcuts for board convenience lead to corruption.