5 things you should know before raising funds for non-profit organization

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Non-profit organizations are all about doing more with less. With finite people and financial support, it is imperative for every non-profit organization leader to enact strong management techniques that foster the talent of their teams, developing a healthy working environment. However, raising funds for non-profit organizations is the crux of the matter as you’re mindful of the fact- effective fundraising can boost your ROI as well as reduce your operational expenses. Non-profit organizations are distinct from other businesses and so they don’t have choices of government loans or angel investors, etc.

Thus, here are some ways that you should know before raising funds for your non-profit organization:

How much money does your P2P campaign can raise for your organization?

Peer-to-peer fundraising technique is the most preferred option by thousands of non-profit organizations. It is all about receiving donations from your supporters and establishing a new network of people. However, if you’re planning to run a campaign, then it is important to evaluate the amount of money you can raise through it. You can prepare a checklist and add your top five supporters and their ability to raise funds. Thereafter, consider a group of supporters that include people from your business, board or other groups and determine each individual’s ability to raise funds. Once you jot down the estimation, jump on to P2P campaign if you’re satisfied with the funds.

Who’s in your campaign team?

Without the help of the right people, you cannot achieve the desired success in your event. So it is important to check out your available committee and what roles you can assign them during the event as running a campaign is not a one-man show. Keep the following key roles in mind:

Leader of the campaign- This person will be responsible for event management and all the required logistics

Executive leader- This person will sponsor the campaign during the organization

Community cheerleaders- These group of people will keep the people excited and engaged about the campaign

Marketing Manager- This person will help you with appropriate data of the audience by providing them require writings, graphics and other promotional assistance

IT representative- An IT person plays a pivotal role to keep things seamless when it comes to technical tools like handling projector or other software systems with appropriate integration

Finance manager– Financial management is key in the campaign as you’re running the campaign to receive the donations. So money matter is meant for finance manager as they will keep the process of receiving less hassle free

What are the crucial things you should keep in mind before asking for donations?

When you are meeting your clients those can help you with fundraising activity, it is important to understand your pitch. I won’t suggest you learn everything by heart as while communicating with your client it is important to be natural rather than sounding like a parrot. Just keep USPs in mind or note down somewhere so that you could ask up for those questions. Always remember, communication is always two-way, so it doesn’t make sense that you’re talking non-stop without hearing your clients. Try to ask questions while interacting and be specific about your purpose. But don’t expect that your proposal will be easily accepted, so rather than feeling discouraged with rejection make up your mind that rejection will be a part of the journey.

How digital marketing can help in fundraising?

With the evolution of the internet, a donation in charity has transformed over the years as everything has moved to online, donation is not excluded from this phenomenon. That’s the reason many non-profit organizations have their online presence via a website. You can run email marketing campaigns not only to increase your network but also to raise funds. You can send an impressive newsletter to clients and give them easy accessibility to the payment option, which saves their time and you get paid easily. Next is social media, today the power of social media is growing immensely. Thus, it is important to create your social profile on Facebook, Twitter, LinkedIn, etc., to develop a better relationship with your clients and raise funds. You should interact with your clients on these platforms by publishing some informative content or news on a daily or weekly basis. You can also add donation pages and a lot of engaging content on your website that includes something real and authenticate.

Are there any restrictions on how to use donations?

Well, this could be tricky to understand. Typically, donation funds are unrestricted only when it is meeting the charity needs and objectives. However, the donor has the right to restrict the fund as per his/her convenience, which is also recognized as “designated restricted funds” that are further sub-divided into two categories- Temporary restricted and permanently restricted. In temporary restricted funds, the donor can provide the non-profit organization with a specific timeframe. Whereas, permanent restricted funds are invested in the gift and then the interest earned is used for the purpose as per designated donor.

Bottom line

The above-mentioned factors can greatly help non-profit organizations to stay one step ahead of competitors. So work hard and do good deeds for the people!