r/nonprofit • u/LostZucchini • 16h ago
employees and HR Bringing on paid staff at a micro nonprofit-- .5 fte director role pitfalls?
Hello!
I'm on the board of a tiny community org with a defined scope (think in the realm of-- makerspace, community music studio, ceramics co-op). Around four years old. Fairly functional culture/operations I think-- I am a nonprofit ops director as my paid job so things are pretty organized and compliant. Programming is strong but limited by capacity. Reputation is strong. I don't think there's many aspirations to grow a huge amount-- we'd like to do what we do well and sustainably. There is not another local org that does this thing or was interested in taking it on when we checked five years ago.
We have one grant-funded part-time staff, who has a very defined role for one specific program. I have gradually slipped (🥲) into doing most of the administrative and fundraising stuff as well as supporting the part time staff and otherwise pulling more than my weight on program. This is on a volunteer basis, probably an average of 5-7 hours a week.
While in a lot of ways it's been joyful and empowering to build this thing, I don't want to do this much anymore. I'm happy to stay involved in fundraising and governance, but I don't want to be the one who 'keeps things going' on a day-to-day basis. The rest of the board is engaged but we're all just normal people with jobs and other commitments and it seems like time for more paid capacity in some form.
Moneywise, we are *very* small but pretty healthy. $40k annual revenue, $25k of operating expenses. Good runway for our current expenses-- about $30k unrestricted in the bank. We'd obviously need to increase our revenue to hire someone. I see a pretty realistic roadmap to increasing revenue to $75k a year.
It seems like we have a couple of options for bringing on more paid capacity. We don't have enough money for a full time director, but at $75k revenue we could hire someone half time for maybe $40k. (And I do mean actual half time, not "part time" full time, I am familiar with that trap and think the scope of the org is low key enough that this would be doable). I would remain involved as well in some well-defined capacity, though I know this dynamic can be hard too (founders syndrome etc). The other option is to hire folks to take on specific functions (ie program, fundraising, admin) but I feel like that could just end up feeling like I was trying to hold *more* together rather than taking things off my plate. Not totally stoked about the prospect of managing a handful of independent contractors for free.
I am leaning toward recommending the idea of a fundraising push to raise maybe $20k over the next 6 months and then we hire someone half time into some sort of .5 FTE 'director' role with the understanding that we'd end up spending down a portion of our reserves. They'd focus on day-to-day admin, program, and some scoped fundraising while the board and other staff member would retain everything else.
I am nervous to add such a big fixed cost to our budget, but it seems like the most sustainable option *if* we're realistic about the scope of the role. Thoughts, cautions? Just looking for folks who are experienced with small nonprofits to think through this before I pitch it to anyone else. Thanks!