The Centre on Philanthropy is urging charities to pool their resources as recession looks set to bite donations in 2009.

Non-profit organisations are facing a double-whammy this year of not only a decrease in contributions but also an expected rise in demand for services.

Ralph Richardson, director of The ACE Foundation, said: "As Bermuda, along with the rest of the world, faces a potentially difficult period, it will be critical for charities to continue and even increase the services they offer.

"There is a greater possibility that people will be displaced from their homes, many will have difficulty providing food for their families, and other essentials will become almost an impossibility for some."

Pam Barit-Nolan, executive director of The Centre on Philanthropy, is urging more collaboration and partnerships. She said: "I would like to see more successful collaborations between charities, especially for administrative initiatives. For example, a group of charities could get together and hire a bookkeeper, HR manager, office manager or other shared admin resource to share the expense.

"People need to be on alert and if there's a programme having difficulty maybe it could join with another organisation to make sure it survives. We have an opportunity to come together here as a community and make sure we take care of each other."

Mrs. Barit-Nolan said: "It is very early days and we haven't seen any organisation yet saying 'We are out of money and are about to close down', but I think we will start to see more of the impact as we move into 2009."

She said that as the international business community is forced to make cutbacks with the economic downturn, this will affect charitable funding, as non-profit organisations on the Island are primarily sponsored by companies, rather than individuals – such as is the case in the US.

"If a company doesn't have as many dollars to give, maybe it could ask its staff to volunteer more hours or allow charities to use its photocopier."

Cris Wineinger, fundraiser and founder of Wineinger & Associates, added: "There has never been a stronger reason for our charities to come together.

"With some 400 registered charities in Bermuda, there are plenty of overlapping programmes. Now is the time to examine your services and open a dialogue with similar-minded charities with a view to pooling your resources. Not only will your dollar go further but you will earn the respect of your donors."

Ann Spencer-Arscott, director of the Bermuda Red Cross, suggested organisations renting out a room in their premises to smaller charities in need.

She said another example of pooling resources would be if the Red Cross, St. John Ambulance and American Heart Association – which all teach CPR – held a one-day "mass CPR session for the community".

Mrs. Spencer-Arscott also believes charities must become more creative to increase their efficiency while at the same time meet demand. She said the global economic downturn presented opportunities for charities to re-examine their programmes and services, and as such should be viewed positively. "As depressing and 'doom and gloom' as the coming 18-24 months may seem to some, it is also a wonderful opportunity to engage our boards, executive, staff and volunteers in some creative thinking and in renewing our commitment to our organisations, our missions and visions," said Mrs. Spencer-Arscott.

"We will need to start 'thinking outside the box' for our fundraising efforts. What we have typically done over the years will need to be reviewed to decide if it is the most effective form of fundraising and if we are reaching the market we really want."

She said the Red Cross has decided not to hold its annual ball this July. "Because of the economic downturn we feel we may be struggling to fill the tables," she said.

Instead, the organisation is to hold different fundraising events. One example of this is a 'rummage sale' planned for January 31 where people will be invited to clear out their houses and sell unwanted goods.

Mrs. Spencer-Arscott said this was an example of 'social networking' – uniting with the community in fundraisers so that all parties benefit. "Social networking is a new expression in the fundraising arena and what this means is supporting fundraising amongst the community, such as the Blackie Talbot golf championship and the End to End. So you get other people to raise money for you," she said.

"So many non-profit organisations hold similar events, such as dinner dances, so we have to start thinking of different things. We really need to look ahead and talk more openly with our boards and volunteers, rather than complaining. If we have more brainstorming sessions within our organisations we will all weather the storm."

Mrs. Spencer-Arscott added that as money tightens, donors and sponsors will also expect to see results. "There will be more accountability expected from the donor community as their charitable budgets will most likely be reduced and therefore will not be able to give as much to as many," she said.