By Guest Blogger Tom Okarma
How can nonprofit organizations best share their facilities with others on a long-term basis? Many nonprofits allow other organizations to use their space in order to promote like-minded organizations, to help cover the financial expenses associated with building upkeep, and to achieve community outreach goals. Such arrangements, however, can lead to conflict and expense without the proper foundation of a written facility-use agreement. Consider the following scenario.
Media reports abound with cautionary tales of nonprofits providing massive financial benefits to insiders, arguably leaving less for charity. Recently, news sources reported that the attorneys general for all 50 states and the Federal Trade Commission have brought legal action against four cancer charities run by a single family. The charities are said to have spent 97% of funds raised on administration or professional fundraisers and only 3% to help cancer patients. Some reports