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This paper addresses the issue of the development of Non-Governmental Organizations (NGOs) and the problem of how to combine sustainable outcomes from activities with sustainable organizations. It seeks to blend concept with practice via the development and application of a model of the NGO as an entrepreneurial organization. The context is that of the experience of (and work undertaken with) the Deutsche Gesellschaft fur Technische Zusammenarbeit (GTZ) funded Competency-based Economies through the Formation of Enterprise (CEFE) Network of NGOs in South Africa. The paper argues that viewing NGOs as entrepreneurial small organizations with a focus upon dynamic stakeholder network development, entrepreneurial management, strategic business development, and strategic alliance building is the key to the much sought after combination of sustainable outcomes and organization. After briefly reviewing some of the advantages and disadvantages associated with the role of NGOs in small enterprise development and the context of the operation of the CEFE Network of NGOs in South Africa, a model of entrepreneurial NGOs is proposed and then applied to South African CEFE Networks. In the conclusion a final outline of NGO sustainability criteria is offered and implications for donor approaches are briefly explored.
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