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Income Generation

 

How does C4L support itself as a nonprofit?

Nonprofits like C4L are distinct in that they don't have "customers" who pay for the services that they receive. In most cases, a "target group" receives benefits, but these are paid for by some one else (sponsor, donor, sympathizer, etc). That is why nonprofits receive special recognition and incentives like tax exemption - because they work for a "cause" not for a profit.

Nevertheless, nonprofits are constantly being challenged to look for "social enterprise" models of service delivery.  C4L is no exception.  In South Africa, NGOs can charge for services rendered as long as these fall within its declared remit. Along these lines, C4L does try to generate a baseline of income itself. This comes from:

  • Renting out the campus facility to other organizations
  • Charging for training (this is called demand-driven but most youth training is paid by others)
  • Interest generated by C4L's endowment fund
The proportions vary from year to year.  When grants awarded are large, the proportion of self-generated incomes tends to be smaller.  Whereas between grants or when the economy is sluggish, the proportion of self-generated incomes tends to be larger, although overall revenues will be down.
This website starts at this level and then goes deeper and deeper into C4L's layers of resourcing.

A Coopted Board

C4L has a coopted or "independent" Board.  It provides the oversight like a Bishop would in a church.

In a nonprofit organization, Board members donate their time, they are not paid.  Thus it is sometimes called a Voluntary Board, governign a charity or "voluntary association".  This Board, not any one individual, is the true Owner of C4L.

Simply as evidence of its own good governance, the DSD Code for NGOs that C4L Board members have signed is inserted here:

Document Title Size Revision  
Code of practice 29.00 kB Oct 25, 2010 Code of practice

Members or Directors

Currently the membership of the voluntary association is less than the maximum number of 9 that is permistted.

These members come and go from time to time, although two founding members still remain on the Board.

Profiles like gender of the Board composition are frequently reviewed.

There is one one Executive Director, the others are all Non-Executive Directors.

Office Bearers

C4L's Chairman is Mr. Sidney Bliss.

The Board Secretary is Mr. Alfredo Mazive.

The Treasurer is Mr. Samson Nkosi.

Office bearers are elected at annual meetings.  They can only serve for two consecutive terms.  Meetings are conducted according to our Constitution.  Membership issues are always on the agenda of meetings as well as programming issues.

Meetings

There are two ordinary meetings every year in an annual cycle - in March and September.  The second meeting is the AGM.  It is also regarded as "Founder's Day" a celebration of thanks.

Minutes are kept scrupulously, as are annual audits.  Compliance is a vital issue to C4L.

Staff

The executive of C4L expands and contracts based on funding flows.  This can be very trying at times and has caused C4L to look for missionaries and volunteers whose presence helps to even out the boom and bust cycle.

In a context of wide inequalities, this can cause resentment because the local organization has linkages overseas.  So it really operates in two or more spheres.  So not only inter-racial, but cross-cultural challenges are with us every day.  Not to mention gender and other disparities embedded in African society.