Business Spotlight with Luis Ayala from La Causa, Inc

In this insightful conversation, Luis Ayala, the president and CEO of La Causa, shared valuable perspectives on his journey and the organization’s evolution. La Causa, a nonprofit established 52 years ago, started as a daycare center and has expanded into various divisions, including a K-8 charter school, early education, a Crisis Nursery & Respite Center, and social services. Ayala, with a background in finance and previous experience on La Causa’s board, stepped into the CEO role after his predecessor, George Torres, retired. Ayala discussed how his transition from finance to executive leadership has been a learning experience, highlighting the importance of embracing vulnerability and continuous personal growth.

Ayala also addressed the challenges of his role, particularly in fundraising and representing the organization. As a former accountant, adapting to the social and networking demands of the CEO position has been significant. He emphasized the necessity of diversifying funding sources and enhancing La Causa’s visibility amidst a competitive nonprofit landscape. Looking ahead, he aims to drive growth across all four divisions of La Causa, focusing on expanding services and increasing capacity to better support the community and sustain the organization’s mission.

Podcast Transcript

Mike McKay: I’m joined by Luis Ayala, the president and CEO of La Causa. Luis takes pride in being a minimalist with office decor, which I respect. As you can see, my walls are bare.

Luis Ayala: We’re part of the same tribe.

Mike: Luis was an amateur boxer in high school and loves baseball. So, Luis, welcome to the show.

Luis: Thanks for having me. I appreciate the opportunity.

Mike: Welcome, and thanks for coming on. Can you give us a bit of background on La Causa and your journey to become its president and CEO?

Luis: Sure. La Causa is a 52-year-old organization focused on early education and social services. It’s a nonprofit located in Walker’s Point. It was started by three young Hispanic women who saw the need for bilingual early education. What began as a daycare center has grown into four divisions, including a K-8 charter school, early education, a Crisis Nursery & Respite Center, and a Social Services Division. The latter is in Glendale, near the Bayshore shopping area. We’re now a $20 million organization, funded mainly through city, state, and county grants.

Mike: That’s impressive. What was your journey to becoming president and CEO?

Luis: My predecessor, George Torres, led for 16 years and got the organization through financial difficulties. We were close friends, and I was a board member while working at Harley Davidson. I knew La Causa’s mission and services well. I first joined the finance department and then left for a few years, but George and I stayed in touch. One lunch felt like an interview, and he asked me about taking over as he retired. My background is in finance, and I hadn’t considered this role, but I accepted and have been in this role for about a year and a half now.

Mike: What made you realize you could do this, given your background?

Luis: I’m an accountant by trade, and I believe accounting is the language of business. Understanding financial statements and how money is generated and spent gives you a strong foundation. However, I lacked cross-functional experience beyond finance. I realized I needed to analyze problems through various lenses, including HR, sales, and marketing. I saw this role as a chance to feel uncomfortable and stretch my skill set. Every day has been uncomfortable, but it’s also been an opportunity to learn and grow.

Mike: How do you feel about being uncomfortable every day now?

Luis: Every day is a learning opportunity. Feeling uncomfortable drives me to learn more about the business.

Mike: Personal growth, right? There’s a thing called the law of the lid that says your organization can’t outgrow your willingness to grow. Some people want to reach a certain point and stay there, but life’s always teaching lessons. We might as well take the positive ones.

Luis: Very well said. I have a good friend who is an entrepreneur and business owner in the sports marketing world. We both sit on the board of the Vince Lombardi Cancer Foundation. When I started, he shared something very valuable with me because we often talked about how things were going. I told him, “Man, I have an extreme case of imposter syndrome.” In some meetings, I was asked to make decisions I felt uncomfortable or unsure about while still trying to find my place in the organization and redefine my role to fit my skill set. I said, “It’s imposter syndrome.”

He told me, “It’s okay to be vulnerable. It shows growth and a willingness to learn. You don’t have to know everything.” One of my biggest learnings in this position has been realizing that you don’t need to know everything. When you come into a leadership role, your inclination is to think you must have answers for everything and be hesitant to show vulnerability. Admitting you don’t know something and saying, “Let me get back to you,” is essential. This realization has been a big developmental piece for me. My job isn’t to know everything; it’s to coordinate, provide strategic vision, leadership, and direction. Subject matter experts handle the details, and my role is to lead and guide them.

It took me a while to figure this out because I did feel like an impostor, wondering what I was doing in this position if I didn’t know the ins and outs of every program. Eventually, I realized that’s not the gig. The gig is to be a leader, which can take many forms and shapes.

Mike: Right. I was talking to someone who used to work for me and now has his own business. He said he used to think I had everything figured out, but realized I trusted and believed in him. Business leaders often think they must be the smartest, but we all have our daily routines like everyone else.

Luis: Exactly. Meetings, scheduling, and presentations are valuable because they provide coordination and culture. It takes time to realize this because initially, you want to prove you know everything. Now, I’m more comfortable in my role and understand the importance of being a supportive leader.

Mike: Yeah, I was talking to some people about coaching and what we do. I asked them, “Are you Packer fans? Would you want to fire the entire coaching staff and tell Jordan Love to figure it out on his own?” They started laughing. I said, “Well, your business takes care of you, and you’re leaving it on its own.” It’s hard to ask for help until you realize that’s where your wins will come from. So, you’ve learned a lot about being vulnerable. What about your biggest challenge over the last couple of years, and who helped you get through it?

Luis: The biggest challenge, and to give you some context, is defining the position and its important aspects. For me, the most value I can add to this organization and the board is as a fundraiser. We are a not-for-profit with limited resources, so we need to get grants or funding from the city or state to provide our services. I’m the chief fundraiser, the face of the organization, building relationships and partnerships throughout the city. The biggest challenge has been getting comfortable in that role. I’m an accountant by trade, so being introverted was my comfort zone. Now, I have to be out there, doing interviews, making relationships, and joining boards to network. The biggest challenge is charging up that social battery, representing the organization and brand, and tailoring all of that to my style and personality. It’s still a learning process, but it’s been a big challenge.

The second piece is understanding the funding, where the money comes from and goes. More importantly, it’s about discovering new channels and avenues for funding to increase our resources. We believe in our mission, but none of it happens if programs are underfunded. My job is to diversify our funding streams to ensure we’re fully funded so we can continue our work.

Mike: In the nonprofit space, money can be seen as a bad word. But as a finance person, you know you need money to have more impact. There’s a phrase that says, “In the arena where money works, nothing can substitute for money.” To have more impact, you need more resources.

Luis: Absolutely. One challenge is distinguishing ourselves from other nonprofits. We live in the La Causa bubble and believe our services are fantastic, but many nonprofits have strong stories and are competing for the same funds. How do we become creative, set ourselves apart, increase brand recognition, and enhance marketing initiatives? These are things that go beyond just a spreadsheet with numbers. It’s about redefining our approach to benefit the agency.

Mike: You’ve answered all my questions without me having to ask most of them. So, I have two more for you. What’s the next big thing for La Causa?

Luis: Growth. We need to nail down a growth strategy. Over the past few years, we’ve maintained our programs, but funding has been limited. We need to find new avenues, diversify our funding sources, and ensure we’re safe. For the next three years, it’s all about growth in each division: enrollment for the charter school and early education, program growth for social services, and expanding our Crisis Nursery from a 12-bed to a 24-bed shelter. We want to provide more expansive services to help more kids and families in the community.

Mike: You have a huge mission. The ability to think through that takes on a whole lot more importance. Thanks for the time today, Luis. It was great to chat with you. I look forward to hearing and seeing more things about La Causa.

Luis: Absolutely. Thank you for the opportunity. Take care.