The War in Iran and the 3rd Sector

Photo by Mohamad Babayan on Unsplash

There have been tensions between the US and Iran for decades. From the coup d’état organized by the CIA and M16, Iran Flight 655, to modern assassination of Qasem Soleimani things have been provoked by the US on one half. From the detained Americans, Hezbollah bombings, and American embassy occupations things have also been provoked by Iran. With tensions only growing this will have substantial effects on the 3rd sector if we are to declare war again with Iran. These effects will be felt across all types of non-profits, but here is some guidance on those that may be more severely impacted.

If we are to declare war on Iran, it most definitely would mean a major shift in United States international policy. There would be a shift in fiscal focus and country unity, however we may see a larger need for certain non-profits.

A war in Iran that results in changes of fiscal focus, will result in more focus on Department of Defense budgets and see less grants approved for non-profits. Some of the fiscal changes will be brought indirectly. A war with Iran will surely affect oil prices, which would mean that flights to foreign countries would also increase inhibiting any non-profit that is working abroad. This will cause an increase in need for aid to non-profits who focus efforts in foreign nations, especially in middle eastern areas or those areas abroad where our troops may be stationed.

This increase in the need for aid from non-profits, with a sudden decrease in government aid will mean that non-profits will have to focus on garnering their support from the public. This may be difficult for non-profits who are not war-time focused non-profits. When our country is at war we tend to donate less money, and when we donate it is towards efforts that pertain to the war, or to people harshly affected by it. We will see a surge of donations to veterans, wounded soldiers, peace efforts, policy, and family organizations. Non-profits for animals, outdoors, and entertainment focused organizations may see a decrease.

A war in Iran could create two different changes in country unity. The current political divide in the US could result in a complete shattering of unity, where many people in the country who don’t support the war will contribute to efforts that stop it. While others who support the war will contribute to efforts that support it. If there isn’t a shattering of US unity we could see a rallying effect, where many people come together under an effort for the war. If that becomes the case we will see an increase in support for non-profits that support troops, families, veterans, and international organizations such as the Red Cross.

In conclusion, the war will be positive for certain non-profits, especially those who help efforts for the war, and negative for those who do not. The entire industry will see tension in funding from both individuals and government. If you are a non-profit it would be best to create strategies that could either align your efforts for or against the war in the coming months.

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