Developing a non-profit organization is a challenging task. The process takes time and work whether it is starting a new organization from the bottom up, or developing a new non-profit department. Budget is a vital part of this process. Overestimations or minor mistakes in budget may cause long-term damage if the agency is not careful dealing with the financial management. Magnolia Case Study is a prime example of this. Even though the organizations reviews were strong and the organization received awards, a mistake in the budget caused the agency to go downhill unintentionally. Ultimately, I felt that the board should have reconsidered what Mary asked for. For the year Magnolia was awarded a grant that was not to extend past the year. The board should have examined the possible changes that may happen within a year. I felt like Mary asked for money that would not be needed for the following year and got a head of herself when she made her funding request. I understand that New York City needed an excess amount of help after the 9/11 terrorist attacks but requesting the money for the next year should have been considered a bit more carefully. Due to the organizational infrastructure possibly changing within the next year, a temporary grant should not be considered or budgeted as permanent funding. I felt that Magnolia was running smoothly and I would not have done anything different except the budgeting request. I would also have taken into consideration the hiring of extra counselors and would have been just as successful treating Post Traumatic Stress clients using the least amount of employees. Mary should have considered the possibility of having to lay off staff when thinking about adding more employees if the funding was not renewed for the next year. I also feel that the steeper demands on the development department to raise more money was another cause of