Rising costs, unpredictable funding and increasing demand for services mean NFPs need to be smarter and more strategic with their money than ever before
2025 marks our fifth annual not for profit leaders survey and report on financial management.
Whether it’s small community groups or large national charities, getting the basics right, like budgeting, risk management and governance, is key to staying afloat and delivering impact.
Key highlights
- Increasing payroll costs and rising operational costs are the top financial challenges facing not for profits
- 73% of respondents reported that their financial performance has been negatively impacted over the past 12 months
- The current economic environment has negatively affected 61% of planned cash reserves
- 71% had seen an increase in revenue over the last two years with 52% budgeting a surplus over the next 12 months
- 59% have raised prices over the last two years, with 69% looking to raise prices in the next two years
- The biggest concern around payroll is award interpretation and compliance
- 27% of respondents had experienced an instance of fraud within their organisation
- Inflation and rising costs stand out as the most significant financial risk, impacting 71% of organisations
Not for Profit Leader's Report - Financial Management 2025
Get your copy now and explore insights on how organisations can build financial resilience
Download the reportThe report provides guidance on:
- Financial management within the NFP sector
- Identifying capability gaps in finance teams to strengthen analysis and reporting
- Navigating payroll compliance and award interpretation
- Leveraging finance technology to improve efficiency, reporting and data analysis
- Risk management and fraud prevention strategies
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About the Not For Profit Leader's Report
HLB Mann Judd Sydney publishes the Not For Profit Leaders Report twice a year. Each edition is based on surveys with NFP leaders and focuses on either strategic planning or financial management, offering practical insights to support decision making across the sector.
About HLB Mann Judd Sydney
Since beginning our journey as ‘Mann Judd’ more than 50 years ago, we’ve grown into one of Sydney’s most trusted advisory and accouting firms. After joining the global HLB International network in 1998, we became HLB Mann Judd, combining international insights with local expertise. Supporting our community has always been at the heart of what we do, and it’s something we’re proud to continue offering today. We work with many not for profits, specialising in strategic planning, business transformation and financial management, mergers & acquisitions, risk analysis including governance and cyber.
The Sydney firm is a member of the HLB Mann Judd Australasian Association. HLB Mann Judd has offices in most of the major business centres in Australia, New Zealand and Fiji. HLB Mann Judd is a member of HLB International, the global advisory and accounting network.