I know it's not likely that every nonprofit can implement this strategy, especially an arts organization and especially in these times. But if you want to know what sustainability looks like, Eli Broad has the right answer.
Mr. Broad currently supports a museum that has a mega collection of art that needs a home where visitors can come and essentially, love the art. To solve this challenge, Mr. Broad is looking for a new home and has three California cities vying to play host.
Mr. Broad plans to build a new museum to house his 2,000 piece contemporary art collection. And, hold it, here comes the sustainability part, he will also create a $200-million endowment that would generate $12 million a year to operate the privately run, nonprofit institution.
OK. So there are'nt a whole lot of people or institutions that can create a $200 million dollar endowment just to cover a chunk of the operating costs. But for sure, new nonprofits, who also likely don't need $12 million in annual revenue, would do really well to think about a strategy that will accomplish the goal of subsidizing life once operations get going. Uh, and those of you interested in newspapers, this message begins with you.
For the story, see the LA Times.