Informing Donors About Nonprofit Performance

Now, Charity Navigator has the opportunity to catalyze demand for much more meaningful information about outcomes. Asking for and publicizing a nonprofit's progress in meeting its goals has the potential to turn donors' attention from inadequate financial ratios to actual accomplishments, increasing demand for social impact. It should give nonprofits a greater incentive to strive for greater impact and track accomplishments. Charity Navigator is likely to be most successful if it collaborates with Guidestar, GiveWell, GreatNonProfits, the BBB Wise Giving Alliance, foundations and others in this effort. A shared effort will reach more people--and, we hope, reduce the burden on nonprofit executives by streamlining the system.