Insights · Nonprofits

The nonprofit software discounts you're probably not using

Most nonprofits leave four figures on the table every year in donated and discounted licensing. Where to look and what to ask for.

By Andrew · NextGen Strategy PartnersJune 23, 20264 min read

Here's an uncomfortable question we ask in almost every nonprofit assessment: "Are you paying full commercial price for your software?" The answer is yes far more often than it should be — usually not from carelessness, but because nobody ever told the organization what it qualifies for.

Major software companies run substantial nonprofit programs — donated licenses, deep discounts, or free tiers of products you may currently be paying for. For a 25-person organization, claiming what you're entitled to routinely recovers a few thousand dollars a year. That's real program money.

Where the money is

Vendors don't audit your invoices looking for overpayment. Claiming nonprofit pricing is always on you — or on an IT partner who treats it as part of the job.

The second half: licenses you shouldn't be paying for at all

Discounts are half the savings. The other half is the license audit almost nobody performs: seats assigned to staff who left two years ago, duplicate tools doing the same job, and auto-renewing subscriptions no one remembers buying. Walking the license list once a year is unglamorous and reliably profitable.

The practical takeaway

Put "software audit" on the calendar before your next budget cycle: verify nonprofit eligibility with your major vendors, then walk your license list line by line. Or grab our Nonprofit IT Funding Guide — it includes the checklist we use with clients.

Good stewardship isn't only about spending less — it's about being able to show your board and your funders that every technology dollar was examined. This is the easiest place to start.

Andrew, founder of NextGen Strategy Partners

Andrew — Founder, NextGen Strategy Partners

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