1. Beijing Mulan Blossom Social Work Service Center, a nonprofit supporting migrant women in Beijing, faces a financial crisis that threatens its survival into 2026. Co-founder Qi Lixia, 53, wrote a public statement acknowledging that based on current account balances and expenses, the organization may not survive past winter 2026. Over 16 years, Mulan has conducted more than 1,000 events and served nearly 50,000 people, earning Beijing's 5A social-organization designation, the highest rating in China's nonprofit system. [para. 1][para. 2][para. 3][para. 4]
2. The financial pressure stems from two developments: revised Charity Law rules took effect in September 2024 requiring separate registration for each public fundraising campaign and stricter supervision of fundraising partners, and a foundation that had supported Mulan for eight years ended its partnership in early 2025. That foundation support had accounted for approximately 550,000 yuan ($82,000), or 57% of Mulan's 2025 income, while public donations contributed 350,000 yuan, or 39%. The number of registered social organizations nationwide fell to 871,800 by end-2024, down 1.11% from a year earlier—the third consecutive year of decline—with the sector described as entering "an era of strong regulation." [para. 5][para. 6][para. 7][para. 12][para. 13]
3. Under the new rules, small nonprofits without public-fundraising qualifications cannot directly solicit donations; they must partner with licensed foundations, register projects, and obtain filing numbers. Mulan's original foundation partnership ended when its filing number expired, forcing the organization to start anew with a different foundation, new filing number, and different donation platform. Staff contacted monthly donors individually to explain the transition. More than 50 nonprofit organizations have announced suspension or relocation of monthly-donation programs since the new law, with some suspensions lasting over a year and a half, and others unable to resume public fundraising. The Banzhilian Sisters Care Center lost 55% of its monthly donors during the transition. [para. 8][para. 9][para. 10][para. 24][para. 25][para. 26][para. 27]
4. The turning point came when Qi decided to publish an article revealing Mulan's dire situation—a departure from the organization's usual practice of sharing only positive news. The article exceeded 10,000 views in a day, far surpassing the typical one or two hundred readers for Mulan posts. Within a week of publication, the new fundraising platform surpassed 1,000 monthly donors, exceeding the 711 accumulated on the old platform over the years. Qi said the organization can now make it through 2026. [para. 14][para. 15][para. 16][para. 17][para. 18][para. 19][para. 20][para. 21][para. 22][para. 23]
5. For multi-region projects, new rules complicate operations further. The Wave Library, serving migrant children across more than 70 sites nationwide, must separately register fundraising links for different locations. New alternatives are emerging, such as Tencent's "Donate Together" program, which allows groups to form donation teams with separately tracked totals, serving as an alternative path for small nonprofits facing filing difficulties. The China Charity Development Report 2025 noted that smaller, resource-constrained nonprofits lacking public-fundraising qualifications face particular difficulty adapting, with many lacking compliance staff and legal guidance. [para. 28][para. 29][para. 30][para. 31][para. 32]
6. Qi reflects that the narrow 80-centimeter alley leading to Mulan—once an open drainage ditch that the group paved itself—symbolizes the organization's circumstances. "Our circumstances have always been narrow," she said, "but we have to find room. If we can walk our way out, there may be more room ahead. We have to try to stay alive." [para. 33][para. 34][para. 35][para. 36][para. 37]
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