Grand Street Settlement, a nonprofit dedicated to providing opportunities for low-income families, shares its story of financial transformation with BTQ Financial.
Facing critical challenges, the organization embraced strategic partnership that enabled it to overcome financial instability and achieve unprecedented growth, expanding its reach and community impact.
Overcoming Financial Obstacles for Sustainable Growth
Ten years ago, Grand Street Settlement was at a crossroads, struggling with financial management and the ability to track receivables. This instability threatened the organization’s long-term sustainability and its capacity to grow and serve the community.
The leadership recognized the urgent need to resolve these issues to ensure their future.
“The biggest financial obstacles for Grand Street Settlement 10 years ago were our ability to bring in receivables and we were breaking the two cardinal rules of nonprofit financial management, timely and accurate reporting,” said Robert Cordero, Grand Street Settlement’s Chief Executive Officer.
“We really needed to resolve the financial situation. There was no way that we were going to be able to be sustainable, much less grow.”
The BTQ Partnership
The turning point came when Grand Street Settlement partnered with BTQ for specialized nonprofit financial support. BTQ’s approach was not just about numbers; it was about understanding the organization’s mission and becoming a true partner.
By taking on the finance function, BTQ enabled Grand Street’s leaders to focus on their core mission and strategy.
“BTQ’s mission is to help a nonprofit thrive in their mission,” says Sisil John, BTQ’s Senior Vice President of Finance.
“We meet with our program leaders and we make sure that we understand their overall mission, the big picture so that they don’t have to think about the financials, they just think about strategy and growth.”
Measurable Results, Greater Impact
The partnership with BTQ led to a dramatic turnaround. Within the first year, BTQ’s team identified three-quarters of a million dollars in receivables that had been overlooked.
Over the next decade, Grand Street Settlement’s operating budget skyrocketed from $20 million to nearly $65 million, allowing them to expand into new locations and increase the number of programs and participants.
Trust, Confidence, and Embracing Change
A key element of Grand Street Settlement’s success was the board’s willingness to embrace a new model of outsourcing finance. This decision, though initially met with unfamiliarity, built a new currency for the organization: trust and confidence.
By treating BTQ as an integral part of the executive team, Grand Street Settlement’s leadership demonstrated a commitment to sound financial stewardship, which in turn attracted more resources and unlocked growth.
“If the board, if our funders, if our donors do not believe that we’re good financial stewards, we’re not going to bring in more resources,” said Cordero.
Drive Mission and Impact Through Financial Partnership
Grand Street Settlement’s remarkable journey is a testament to the power of strategic financial management and the courage to embrace innovative partnerships.
In addressing its financial pain points head-on, the organization stabilized its operations and unlocked unprecedented growth, proving that sound financial practices are the foundation for a nonprofit’s ability to fulfill its mission and create lasting impact.
Is your nonprofit ready to unlock its full potential? Get in touch today to learn how a dedicated financial partnership can help you achieve sustainable growth and expand your mission.
