In comparison to the US and UK charitable sectors, both of which struggled through the 2008 market collapse and have only recently begun to rebound, the sector in Canada has remained relatively stable—thanks to charities maintaining a level of professionalism throughout the tumultuous recession.    

According to the Blackbaud Index-Canada report, the Canadian charitable sector, in recent years, has enjoyed a certain level of maturity that has led to the ability to raise more money.   

“Canada’s charitable sector is the second most mature in its professionalism, use of investment in technology, and best practices after the US nonprofit sector,” reveals Michael Johnston, founder and president of Hewitt and Johnston Consultants, a fundraising consulting firm in Toronto.

From small shelters to big national charities, he says, nonprofits are “becoming more professional and leveraging technology and best practices. The sector is trying to do a more professional job, and I think it means charities are raising a bit more money.”

And the sector has been able to raise more money, contributing to several positive trends for 2013 according to the report:

• Overall giving in Canada grew 2.7 per cent while online giving grew 7.2 per cent for the three months ending February 2014.
• Overall fundraising revenue among 276 Canadian nonprofits grew 5.6 per cent, 2.8 per cent and 5.6 per cent in each of the three-month periods ending in October, November and December 2013 as compared to the same three-month periods in 2012.
• Online fundraising revenue for 219 Canadian nonprofits grew 8.9 per cent, 13.6 per cent, and 10.1 per cent in each of the three month periods ending in October, November and December 2013 as compared to the same three-month periods in 2012.

According to Chuck Longfield, Blackbaud’s chief scientist, “growth at year end is especially good news and represents a strong finish for a year in which Canadian nonprofits generally posted lower overall results for much of the year."

Canada’s charitable and nonprofit sector is the second largest in the world after the US and consists of roughly 170,000 organizations, split almost evenly between registered charities and nonprofits, according to Imagine Canada. The charitable sector employs two million Canadians and contributes an average of 7.8 percent to total gross domestic product.

Michelle Jondreau is a communications professional with an avid interest in all things HR. On top of that, she hails from the nonprofit world and as such has a keen understanding of sector trends and issues. Follow her @majondreau.