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    Document / Guidance

    How Much Do Organizations Need to Keep in Operating Reserves?

    Posted 2020
    Source
    Land Trust Alliance
    About This Guidance

    One size does not fit all when it comes to operating reserves. Despite the importance of the issue, there is no simple formula or benchmark. To answer the question of “how much,” an organization must examine revenue streams and spending levels.

    Adapted from Operating Reserve Policy Toolkit for Nonprofit Organizations, 1st ed., Urban Institute, 2010.

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