Profit-Sharing, New Strategy Helps Non-profit Early Education Program

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Angela Terry

( ENSPIRE Community Spotlight )  BSECDC Executive Director Angela Terry Breaks Down How Profit-Sharing has Become a Game-changer

ENSPIRE Contributor: Joaquin Fernandez

Angela Terry, Executive Director of the Bedford-Stuyvesant Early Childhood Development Center has recently developed an innovative strategy for profit-sharing in nonprofit organizations. Federal funding supports BSECDC in helping families access high-quality education for their children. It was initially started in 1966 to offer high-caliber developmental services to low-income families in the Bedford-Stuyvesant community. BSECDC oversees an extensive program at six locations. The center specializes in the educational development of toddlers, 3 K, and universal Pre-K throughout New York City.

Each program covers a different aspect of each age group. The Toddler program consists of read-alongs, singing, and naptime. The 3k program focuses on introducing team and independent dynamics. Universal Pre-K teaches the children to relate classroom lessons to the real world and prepare them for kindergarten. Angela Terry has helped focus BSECDC on the employees and the children, with profit-sharing being a significant factor in workplace development. She’s stepped over the hurdle of traditional profits, focusing on rewarding staff, bettering retention, and reinforcing organizational sustainability. Terry recommends that other leaders execute profit-sharing practices in their nonprofit organizations. 

Angela Terry

How did you develop an innovative approach to generate profits to share in a non-profit organization?

When I examined the topic of compensation, I considered how early childcare providers are compensated. It is essential to look at the corporate structure. Some organizations operate their businesses using a corporate model, even though they are not-for-profit. 

What motivates the adoption of a corporate structure regarding benefits, such as performance-based salaries or annual bonuses? It sounds appealing. I suggest that we adopt similar practices. We often talk about caring for people, children, and our future; this should be reflected in our programs. We must show an interest in how providers are compensated. There’s a structure where the employer pays for property-sharing, so employees do not have to contribute financially; it’s based on a percentage of market performance, without employee investment. This approach is the goal, and I was excited to introduce it to the board. They were enthusiastic and referred me to one of their financial analysts to help put it all together. Employees who stay within the organization for six or more years benefit from the percentage structure, and there is no funding or investment on their part. They gain from it, and their benefits continue to grow as the organization supports them. The main idea is to retain our staff, work with children, and genuinely enjoy our work. How can we ensure our people are well compensated for their dedication?

How does the Bedford-Stuyvesant Early Childhood Development Center find ways to help develop children and build staff?

We offer several development programs for children, including an onsite enrichment program featuring bilingual education. Currently, they are learning French, introducing a different language each year. Learning is enhanced through music using the Bilingual Birdies platform, which integrates singing with language acquisition. We also provide an enrichment program called Timbalooloo, which introduces children to melodies, rhythms, and instruments used by musicians across the globe. Recently, the focus was on song, dance, and movement courses.

Additionally, our sports activities teach various dance techniques and expose children to sports like baseball and football, guided by instructors. Enrichment is crucial for advancing children’s language and development skills through music, as repetition reinforces retention. Teachers actively engage with students during these activities. We collaborate with Success in Motion to offer monthly wellness activities for staff, ensuring they can participate by providing classroom coverage. I aim to enhance staff engagement with outings like theater tickets and sports events, recognizing the need for opportunities that allow them to unwind from daily routines. 

BSECDC sensory gym in BROOKLYN, NY on October 10, 2024 for Gowanus Treehouse. (Photo: Katherine Marks)

What makes BSECDC unique among other early childhood organizations?

As BSECDC approaches its 60th anniversary next year, its legacy speaks volumes. Few early childhood organizations can point to six decades of continuous service, innovation, and deep-rooted connection to their communities. We have remained deeply rooted in the community, evolving with intention while honoring the values that first shaped our mission.

Our holistic, child—staff, and family-centered approach blends tradition with innovation. We offer inclusive programs like our sensory gyms that support children of all abilities, and we prioritize staff well-being with initiatives like Wellness Week, recognizing that nurturing educators is essential to encouraging young learners.

BSECDC is committed to creating joyful, equitable, and responsive learning environments that reflect our historic foundation and forward-thinking vision, from fostering developmental milestones to empowering families.

How can nonprofit leaders in other organizations use these kinds of approaches to generate success?

Essentially, securing buy-in from both the board and the staff is crucial. It’s essential that everyone comprehends the vision and feels engaged while also having the opportunity to voice their opinions and provide suggestions on what works and what doesn’t. They can share their expectations and preferences. For example, they are already planning for August and mentioned, “Hey, August 2nd is our last day of the program. Can we make it a half day to go out and have an event?” I responded, “Of course, I have no problem with that.” I truly appreciate someone on my team taking the initiative to do something I would generally advocate for.

What drives you to innovate different strategies like profit-sharing at BSECDC?

At BSECDC, we’ve always believed that the people behind the work are just as important as the work itself. Our staff are the heart of everything we do—nurturing the next generation and building trust with families. We have staff who have been here for over 20 years, and generations of families with ties to BSECDC. In a field where burnout is common and long-term commitment can be rare, we wanted to create a way to show our most profound appreciation for our team’s dedication.

Profit-sharing isn’t a typical benefit in the nonprofit space, but that’s precisely why we pursued it. We wanted to think beyond tradition and find a way to reward long-term employees for their loyalty and impact. It’s a strategy rooted in equity and sustainability. Ensuring that those who have helped build BSECDC can also share in the organization’s success.

What do you hope to see from this profit-sharing approach in the coming years?

We aspire for this method to serve as a benchmark for nonprofits to support their teams in meaningful, sustainable ways. Our goal is that profit-sharing enhances retention, elevates morale, and fosters a strong sense of ownership and pride among our staff regarding BSECDC’s mission.

Over time, we are confident it will enrich our organizational culture—one that celebrates commitment, honors longevity, and allows employees to recognize their impact on the community and the real value they contribute to our organization’s growth. This is about cultivating a workplace where individuals flourish and have a vested interest in long-term engagement.

Angela Terry’s innovative strategy of introducing profit-sharing into her nonprofit organization has been a game-changer for the landscape. The Bedford-Stuyvesant Early Childhood Development Center is a nonprofit that provides quality education to families throughout New York City. The BSECDC helps children ages 2 to 4 have the opportunity to grow, learn, experience fun,  and sufficiently prepare for grade school. Angela Terry has found a way to help the families utilizing BSECDC and its staff. She wants to support her staff, boost morale, and secure sustainability for the nonprofit organization for years.

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