Nonprofit industry

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What is the nonprofit industry?

The nonprofit industry encompasses organizations dedicated to advancing social and community goals. What sets this industry apart is its mission-driven approach. Success is measured not by shareholder returns, but by impact—how effectively programs improve lives, expand access and strengthen communities. Despite its philanthropic nature, the nonprofit industry operates with the same strategic, financial and operational rigor as for-profit businesses. Leaders must manage budgets, comply with regulations, adopt technology and demonstrate measurable outcomes to key stakeholders.

As societal needs evolve, the industry continues to innovate—embracing digital tools, data analytics and partnerships that support outreach and efficiency. The nonprofit industry sits at the intersection of purpose and performance, empowering people and institutions focused on long-term, positive change.

The RSM difference

For more than 80 years, RSM has served nonprofit organizations across a range of missions and operating models. We provide tax, consulting, audit and assurance services and solutions to clients seeking more effective ways to fulfill their missions. RSM brings a wealth of knowledge to every engagement, along with the following areas of focus:

Nonprofit sector trends to watch

Sector trends are transformative forces that significantly affect how nonprofit organizations operate and plan the future. RSM has identified four key sector trends influencing nonprofit organizations:

Changing workforce: Nonprofit organizations are employing various strategies to address workforce challenges.

Mission-supporting technology: Leveraging technology and automation to the fullest is vital for nonprofit organizations to optimize resources and make informed decisions.

Data-driven decision making: Nonprofits recognize the importance of strong relationships with their supporters to meet their organization's mission.

Risk, compliance and governance: By prioritizing cybersecurity, nonprofits can safeguard their stakeholders' interests and focus on their core mission.

In addition to tracking these trends, RSM regularly publishes its The Real Economy Nonprofit Industry Outlook , where dedicated senior analysts share insights on key economic and industry issues impacting nonprofits. Here are some recent headlines: