Vulnerable Children Society has a very prudent, practical approach to financial management. We operate with a few basic principles:
- We do not commit to any project unless we are completely capable of financing the project for its duration.
- We match the same type of revenues with expenses. In other words, we support on-going monthly programs only with on-going monthly support, and one-time projects with one-time donations.
- We only accept organizational and commercial funding for one-time projects.
- Each monthly donation contributes a small amount for administration, as well as a small amount to our project fund, to enable us to operate effectively.
- We have a contingency fund, should our monthly sponsors be unable to meet their commitments.
We have four revenue streams. Approximately half of our annual income comes from monthly, personal sponsorships and donations, and the other half is primarily from personal one-time donations. We also have had some support from other NGOs for specific projects. The last component of our revenue is a small social enterprise, where we bring back souvenirs from Ethiopia to sell. Those funds are directed specifically to administration expenses.
As one of our values in transparency, we proudly share our financial statements publicly. Each annual general meeting, we present our financial statements to the membership for review and acceptance.