Build It, and They Will Come: Why Nonprofits Should Think Like Startups

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“Please Donate Now!”

It’s the rally cry of nonprofits everywhere. Your inbox is flooded with urgent pleas, each more fervent than the last. You’ve given before, hoping to make a difference, but all you received was a thank you email and another ask. The constant barrage of requests strips away the meaning of your intended donation, which might make your relationship to the organization feel transactional rather than relational. 

This is the harsh reality of today’s nonprofit world. Organizations are trapped in a cycle of relentless fundraising, competing in an oversaturated market where the loudest call to action wins. Many lose sight of their true purpose, to inspire and facilitate change, and become consumed by the constant need to raise money.

Before my wife Beverly and I committed to reducing recidivism in American prisons, we were entrepreneurs and venture investors. We spent decades in Silicon Valley’s startup world, building and funding companies that transformed industries. We co-founded The Last Mile, with that startup mentality and approached prison reform like a tech startup: create an aspirational brand that people can rally behind.

At The Last Mile, we challenge the traditional nonprofit model by incorporating start-up business strategies that focus on lasting transformation rather than short-term transactions. You may notice that we don’t actively solicit small donations; instead, we rely on the undeniable impact of our programs to build a strong case for funding from donors large and small. Here’s our approach, and why Startup principles are a blueprint that other nonprofits should consider adopting to create more effective, sustainable change without consistently or perpetually asking for money.

Start with a Minimum Viable Product (MVP) for Measurable Impact

In the startup world, you must prove your idea works before asking for money, often through a “minimum viable product” (MVP). When we started TLM, we realized that we were attempting something unusual and we had no justification asking for a single dollar. Instead of funding, we focused on one goal: proving that our model could reduce prison recidivism.

We prioritized demonstrating impact. Once we were ready, we leveraged our networks, bringing influential leaders into the prison to meet our students. We curated these experiences to shatter stereotypes and showcase the untapped potential in our classrooms. We didn’t build our marketing strategy around the idea of “Give us capital, and here’s what we’ll do.” Instead, we said, “Look at what we’ve accomplished— let’s do more. We’re just getting started.”

The MVP isn’t about achieving perfection. It’s about proving your core concept works in the real world. You don’t build the whole product; you build just enough to test whether the value resonates. That same mindset applies to nonprofit work. At The Last Mile, our first MVP at San Quentin was an entrepreneurship class with a few students and a big idea. We focused on depth over scale, proving that when justice-impacted individuals are given access to real skills and opportunities, the results speak for themselves. Other nonprofits can follow this approach: start small, track outcomes meticulously, and refine before scaling. The goal is to validate the impact early and use those wins to build momentum and trust.

Creating Unforgettable Moments to Strengthen Nonprofit Partnerships

I remember our first “Demo Day” in 2012 at San Quentin State Prison. Our guests included venture capitalists, tech leaders, national and international press, and the Secretary of CDCR (California Department of Corrections). The energy was electric as The Last Mile students pitched their business ideas. One student, James, presented his concept for a youth mentoring program and his passion permeated the room. Anne Gust Brown, the wife of then-Governor Jerry Brown, was so moved that she broke protocol to hug him. At that moment, I knew we had started something powerful. Soon after, I met with the Governor’s office to help support our fledgling organization.

Since that first Demo Day, we’ve doubled down on the power of in-person connection. Today, our classrooms regularly host partners, donors, Government officials, and corporate leaders who witness transformation happening in real-time. These visits are immersive experiences that break down bias and build a direct connection to our mission. Graduation events have become powerful milestones, often attended by students’ families, friends, and members of the media. For many justice-impacted individuals, it’s the first time they’re being publicly celebrated for an achievement of this kind. We’ve even had employers meet their future hires inside prison walls. 

These unforgettable moments are moving but are also highly strategic for our mission. They turn passive supporters into active champions who carry our message beyond the prison gates.

Aim for Transformation, Not Just Transactions in Nonprofit Models

If you have read our 2024 Annual Report, you’d know that The Last Mile constantly innovates in order to remain at the forefront of criminal justice reform. We use Silicon Valley’s “not afraid to fail” mentality, allowing us to be proactive rather than reactive. Once the results of an experiment are in, we can be transparent with our funders because we’ve built trust through demonstrated results. Our funders are willing to invest in the journey toward our vision, not just a promised list of results.  

This creates a virtuous cycle: successful innovation deepens our impact, attracting more support, which fuels further innovation. A nonprofit should never focus on maintaining the status quo—it should constantly reimagine and challenge.

Our partnership with Slack is an excellent example of a virtuous cycle. It began with Slack hiring a few of our graduates. As they saw the quality of our alum’s work they wanted to do more. Now, seven TLM grads work at Slack, and the success of our program is widely recognized in Silicon Valley.  

Measure Impact, Not Just Dollars

The biggest mistake nonprofits make is measuring success by donation totals. This creates a negative incentive to focus solely on optimizing for donations rather than holistically creating systemic change. At The Last Mile, we measure the depth of our impact from an individual to systemic levels. For example, when one of our coding graduates lands a six-figure tech job, or an incarcerated student becomes a leader inside their facility, or when Prison Wardens report dramatic drops in violence; these transformations create ripple effects, changing families and communities for generations.

Take Steve L., one of our graduates. After decades behind bars, he received three job offers in web development within weeks of his release. Today, he’s a senior software engineer at a thriving startup. Even more importantly, he mentors at-risk youth focusing on breaking cycles of incarceration before they begin. Instead of adding another checkmark to our tally of graduates, we will be tracking the impact that a single alum can make over an extended period.

Unfortunately, the true impact is hard to measure, especially with the lack of data in the Criminal Justice System. At The Last Mile, we are building our own data sets. We are partnering with researchers at the Crime and Justice Policy Lab at the University of Pennsylvania to conduct one of the first randomized controlled trials (RCT) inside US prisons, where we will rigorously evaluate the overall effects of TLM on program participants’ post-release involvement with the justice system.

Inspiring Investment, Not Coercing Donations

The nonprofit world is at a crossroads. The old model of endless fundraising campaigns is no longer sustainable or effective. By adopting principles from the for-profit sector, particularly the startup mentality of building a minimum viable product and creating value before asking for support, nonprofits can break free from the cycle of funding pitches and move towards a more sustainable and impactful future.

At The Last Mile, we’ve seen firsthand how this approach works. By focusing on long-term transformation, building strong partnerships, and measuring real impact, we’ve not only attracted support but created a movement. Nonprofits can learn from the startup world: prove your concept first, and the support will follow. It’s time to move beyond transactions and towards a future where nonprofits and their supporters are united in a shared vision of meaningful change.

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By Chris Redlitz, Co-Founder of The Last Mile.

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