Maintaining the Legacy: How do Donors Respond to Financial Vulnerability in Not-for-Profit Organizations?

• In Event: Non-Profit and Gender Issues

Abstract

This research investigates the effects of financial vulnerability on donor restrictions in not-for-profit organizations. We find that increased organizational efficiency is associated with reductions in restrictions, as is the provision of supplementary information. We also find that donors increase restrictions when not-for-profits accumulate equity. Finally we find that in periods of financial vulnerability, donors choose to maintain the legacy of organizations by increasing restrictions on donations.

Authors

• Elizabeth Hendrix Turner, University of Texas Rio Grande Valley-Brownsville

• Clark M Wheatley, Florida International University

• Krishnamurthy Surysekar, Florida International University