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Nonprofit fundraising is exciting. It’s the lifeblood of charitable organizations and can serve as a way to raise awareness about a cause and drum up interest among donors.
Fundraising is also a massive undertaking because it is likely your primary means of income as a charitable organization. This is why raising money can be a burdensome, never-ending effort. It can even seem scary. But it shouldn’t.
Great fundraising can (and should) be learned and mastered. Building a nonprofit fundraising plan is the best way to equip your volunteers, avoid fundraising pitfalls, and create a sustainable organization.
Let’s find out what Nonprofit Fundraising is all about, Nonprofit fundraising refers to the process of gathering money to support a nonprofit or charitable organization. Nonprofits can fund-raise through various digital and traditional means and engage both individuals and corporations to provide a variety of ways to donate.
It is also very important that nonprofits do not totally rely on external funds to execute projects rather there should be an effective plan that would ensure that the organization is self-sustainable. Nonprofits today are dependent on donors and grants which should not be the case, there should be an avenue for nonprofits to have an in-house technique of raising funds.
Did you know that Nonprofit fundraising in most countries is heavily regulated by law? This is often put in place to hold organizations accountable for how they approach and treat donors, and also ensure donors are giving money to the proper parties.
Before soliciting any donations, organizations must register with the appropriate government office in whichever location they are or have decided to operate. If the organization goes to another location to fund-raise, they’ve got to register there, too. Also, if an organization hires a fundraising consultant or grant writer, he or she must also register with the office in that location. (Fundraising requires lots of registration procedure)
Understanding the legalities of nonprofit fundraising can help you navigate the wide variety of fundraising methods — which ones you can and cannot do, and which ones are best for your target or current charitable organization and donors.
Here are a few ideas on fundraising that your organization can consider. There are two major ways of raising funds: individual and corporate fundraising
1. Individual Fundraising
Did you know that Individuals account for about two-thirds of all donations made to nonprofits? This type of fundraising focuses on engaging colleagues, family and friends or just the people within your network to donate to your cause. You could share your story, often a compelling one, and ask for donations.
Here are a few ideas for engaging people within your circle:
- Through Direct Mail Donations — it is cheap, quick and can be repeated time and time again. It is one of the most effective ways of letting your inner circle know about the cause you are passionate about and how their donations would be utilized;
- Through social Media/Online — Online donations refer to any donations made online — through your website, social media, or on crowdfunding sites. There are lots of platforms that bring together a large number of individuals that want to support a project that they are passionate about. Crowdfunding is the practice of funding a project or venture by raising small amounts of money from a large number of people, typically via the internet. e.g GlobalGiving etc.
- Individual Event Donations — Events are great ways of raising funds, you can have a fundraiser event e.g. car wash fundraising, music concerts, fashion shows, etc. A certain percentage of the proceeds from these events can be used to fund other projects.
2. Corporate Fundraising
A partnership with businesses can bring many benefits as they can provide much-needed funds from marketing or community budgets. They can also contribute useful resources and skills such as Public Relations support, brand awareness, expertise and gifts in kind. Some opportunities include:
- Volunteer and Corporate Grants
Companies give volunteer grants when their employees have a certain number of hours. This encourages employees to donate their time and holds businesses accountable for charitable giving. Volunteering can serve as a great team (or company) outing, too.
- In-Kind Donations
In-kind donations describe non-monetary items given to nonprofits from companies and businesses. They usually include food, drinks, or supplies for an event, free professional services like accounting or legal services, or equipment for a construction project. In-kind donations are typically accepted from businesses with which a nonprofit already has a relationship.
- Employee Events
Give employees a reason to bond, have fun, and raise money for a good cause. Accept donations throughout the night and charge an entry fee — you can also organize a raffle. You might even encourage employees to bring their family and/or friends depending on the type of event you choose.
A’Lime Impact Partnerships supports individuals and organisations alike who are considering crowdfunding opportunities for development initiatives. Our robust partnership network through our initiative, Brand Partnerships provides a platform to design partnerships between two entities that share the same vision or seek to create change in the same area(s). Want to know more? Send an email to: impact@alime.media or call +234 901 0000 120.
Lastly, fundraising cannot be as effective as it should be without proper planning and a clearly articulate strategy. Here are a few ideas that can set you on the right track:
- Design your fundraising goals, mission, and story
- Identify your fundraising team or support specialist
- Build your prospect list
- Create a fundraising campaign plan
- Say thank you — each time, all the time
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