Season 5 Episode 5 - Should YOU start a Non-Profit?

In this episode of Money Sex Gen X, Eric and Big Stew shine a spotlight on the nonprofit sector—breaking down how mission-driven organizations can raise serious money without losing their soul. From community churches to grassroots orgs, they explore the real deal behind nonprofit funding, donor engagement, and moving from scarcity to sustainability.

You’ll learn:

• Why many nonprofits stay broke—and how to shift that mindset
• The difference between fundraising and development
• How to use storytelling, events, and relationships to grow your donor base
• The biggest mistake small nonprofits make with grant writing
• Why you must treat your nonprofit like a business (because it is!)

💥 Whether you're running a neighborhood youth program or dreaming of building a school, this episode offers real talk and practical gems to help you lead with impact and financial confidence.

📍 Tap in and share with your favorite nonprofit leader—because doing good shouldn’t mean going broke.

#NonprofitLeadership #MissionDrivenMoney #MoneySexGenX #BlackLedNonprofits #SocialImpact #FundraisingTips #GenXVoices

DO NOT-FOR-PROFIT ORGANIZATIONS STILL MAKE SENSE FOR BLACK PEOPLE?

We wanted to discuss this today because not for profits—organizations weren’t geared toward profit but trying to improve life for a certain group of people and they provided the framework for Eric McLoyd (E-Money) to start helping people launch for-profit organizations.  

Some of the questions we will ask during this conversation are:

1. What really goes into starting a non-profit?
2. Should black people be doing not for profits? In regards to wealth (foundation for a tax write-off?)
3. Are non-profits important for our culture?
4. What are some of not so pleasant experiences you’ve had in non-profits?
5. What are some wins you have had in the not-for-profit space?

For exclusive MSG merch, go to https://www.shopmoneysexgenx.com/the-money-sex-genx-shop

Transcript

🎶 [Intro Music]
0:00–0:48
🎶 Music and hype
E-Money: Good morning, Chicago—and the rest of the world! Welcome to the Money Sex Gen X podcast. This is season five, episode five: “Should You Start a Nonprofit?”

Big Stew: We’re back! It’s been a minute, but we’re glad to be in the building. This one’s gonna be a great convo.

E-Money: Always a pleasure to be joined by my co-host—Titan of Team Tech, the Kanye of the stock trade—my brother, Big Stew!

Big Stew: What’s up, fam? Drop an “MSG100” in the chat if you’re with us. Like, comment, subscribe—we need your support. The YouTube channel’s growing, thanks to y’all!

2:44–5:11 – Merch Plug
Big Stew: Real quick—we’ve got some merch! From our Mental Health and Therapy edition to our Soul Ties tee and the “Ease Into Eating Better” shirt… you’re missing out if you’re not repping MSG in the streets.

E-Money: Hoodies, tanks, mugs, leggings, even boy shorts—no excuses. Support the movement.

5:19–6:00 – Topic Set Up
E-Money: Now, this topic came from a convo with Big Stew a few episodes ago. He had some strong opinions about nonprofits versus for-profits—and we’re bringing in some special guests to dive deeper.

🎙 Guest Introductions

6:00–9:16
E-Money: First up, Bridgett Scarborough—CEO of 501c3.org—helping people start and structure their nonprofits. She’s done everything from toy stores to consulting to early childhood education. Bridget, welcome!

Bridgett: Thanks, Eric. I just love helping people align their passion with business. And yes, a nonprofit is a business.

9:29–10:47
E-Money: And next, Felicia Slayton Young, financial advisor and founder of Bel Lucer. She’s also the founding exec director of the Greater Englewood Chamber and its foundation. She’s on the board of St. Bernard Hospital and has done major work transforming Englewood. Felicia, welcome!

Felicia: Glad to be here. Starting a nonprofit is passion work—but it comes with real challenges. Especially if you're transitioning from corporate.

💡 Setting the Stage with Facts

12:05–13:25
E-Money: Quick actual factuals:

• Nearly 2 million tax-exempt orgs in the U.S.
• Nonprofit sector = 10% of the workforce (11.4 million jobs)
• $390B given to charity annually
• 63M Americans volunteer
• Top nonprofit types: religious orgs, education, and grant-makers

But—many nonprofits, especially Black-led ones, are struggling.

💬 Stew’s Take

13:45–15:28
Big Stew: I just don’t get why so many of us jump straight to nonprofits. I get it—nonprofits are mission-driven—but OWNERSHIP is key. Start with for-profit, build your wealth, then give back. That’s my take.

👥 Panel Perspectives

17:00–20:04
Bridgett: I hear that—but sometimes young people are driven by mission, not money. If they don’t have kids or financial pressure yet, that’s the perfect time to launch a nonprofit. It’s not “no profit”—you just have to structure it wisely.

Felicia: I agree. A 501(c)(3) is a tax status—not a business model. If you’re selling skateboards and want to give back, then create a nonprofit arm. But lead with a business mindset.

🎯 Getting Real About the Work

21:26–24:01
Big Stew: My real challenge? Nonprofits are harder to promote. Constant fundraising, selling the mission—it’s tough. I’ve started one. I backed off because I didn’t have the time or money to do it right.

Felicia: And that’s real. You need capital to start either way. With our chamber, we bootstrapped. Passion fueled us—but the money didn’t flow right away.

🧱 What It Takes to Build

33:39–43:04
E-Money: Let’s talk boards. How do you build a strong board of directors?

Bridgett: Be strategic. List the skills you need—legal, financial, program-specific. Use sites like VolunteerMatch, Indeed. Your board shouldn’t micromanage—but they should be resources.

Felicia: And expect turnover. Your first board might not last. Build for growth, not comfort. Eventually, you’ll need pros—CPA, attorney, marketer. Be humble. Let go of the ego.

🧠 Lessons Learned

47:04–54:04
E-Money: I’ve started nonprofits with friends, partners, family. Mistakes were made. Relationships were tested. Lesson: don’t blur the lines. Stay in your lane. Respect roles. Create structure.

Felicia: And don’t underestimate politics. Even in nonprofits, people can feel threatened. Stay focused on the mission—and who you’re actually serving.

🏁 Final Thoughts

1:10:00–1:13:23
Bridget: You don’t have to choose one. Many businesses have nonprofit arms. Know yourself—what fits your values and goals? Maybe it’s both.

Felicia: Stay mission-focused. Avoid “mission creep.” Keep your head down, do the work—and the support will follow.

🔚 Wrap-Up

E-Money: Massive thanks to our guests. Check them out:

• 501c3.org (Bridget)
• bellucer.com + gechamber.com (Felicia)

This is Money Sex Gen X. Until next time—stay focused, stay humble, and stay building. 🎤💥

🎶 [Outro Music]