Giving Compass' Take:

• Here are nine challenges that might impact the nonprofit sector in 2020 and some useful tips on how donors can offer support. 

• COVID-19 was an unexpected challenge that will compound the issues listed here. Nonprofits need support from donors now more than ever. 

• Find COVID-19 funds to donate to. 


  1. Mental Health Issues Nonprofit organizations are being called upon to respond to this need with little or no financial support because this service is limited in many communities. A lack of funding in the for-profit sector for mental health counseling will lead those in need to seek help from their local nonprofits.
  2. Political And Social Unrest  The nonprofit sector will need to step up, tune out the noise, rethink funding priorities and consider broader partnerships to advance the common good.
  3. 'Nano' Needs As unique community, organizational and trending needs become apparent, I believe we will see larger opportunities for nano-giving.
  4. Long-Term Sustainability As business and society evolves, it’s important to continually evaluate one’s mission and align with changing customer needs and preferences to ensure it is broad and relevant enough for long-term sustainability.
  5. Media-Driven Issues In an election year, experience has shown that many of our biggest supporters, committed to improving the state of our country and the world, will amp up their giving to nonprofits addressing issues that are widely reported in the media.
  6. Talent Retention And Growth Opportunities As many nonprofits struggle to attract and retain talented employees, it is vital to self-reflect and look at your growth opportunities.
  7. Ongoing Shifts And Economic Uncertainty Declining donor trust and stagnant middle-class growth create a perfect storm for nonprofits who lack clear direction, fail to collaborate and struggle to demonstrate impact.
  8. Collaboration Between Niche Groups This sometimes creates strain on donors and resources, and fails to educate people on the partnerships needed to solve problems. My hope is that more of these organizations will begin to collaborate, work together and pool resources in the new year.
  9. Housing There is growing recognition that a stable, safe place to live has a huge impact on academic achievement, job performance, income mobility and health.

Read the full article about challenges facing the nonprofit sector from Forbes.