15 effective fundraising tips for nonprofits

WHILE nonprofits play a vital role in making the world a better, more inclusive place, they have to deal with many challenges – among them the need to secure sufficient funding to work towards their missions. However, with so many players out there raising money for nonprofit organisations and vying for donations, it can be challenging to stand out from the crowd. Here are 15 effective fundraising tips for nonprofits to use towards achieving their goals and securing the funds they need to make a difference.

Effective fundraising for nonprofits is a crucial aspect of any NGO’s operations and requires careful planning, execution, and evaluation. However, with the right approach and good fundraising ideas, nonprofits can raise funds successfully and make a real impact in the communities they serve. 

From knowing your audience to setting a budget, joining a fundraising platform, creating a sense of urgency, using compelling visuals, and building donor relationships, the tips listed below will give you the best ways to fundraise and make your efforts to raise money for charity a success. Whether you are a seasoned professional accustomed to fundraising for charity or just starting out, these fundraising tips will help you raise the funds you need to achieve your mission goals and bring about the change you want to see in the world.

1. Know Your Audience

Understanding who your target donors are and what they care about when supporting your cause – such as regular updates and impact reports – are crucial to effective fundraising for nonprofits. Use data, surveys, and personal interactions to learn as much as you can about your supporters and prospective donors and then tailor your fundraising activities to meet their needs and interests. 

For example, if your organisation is focused on environmental conservation, you would obviously target donors for nonprofits who are passionate about the preservation of the natural world, sustainability, and wildlife. And, through various social media channels, emails, newsletters, digital marketing, etc, you can communicate the specific ways in which your organisation is making a difference in the environmental space.

2. Set a Budget

Effective fundraising for nonprofits calls for having a clear budget in place so that you don’t overspend on your fundraising activities and efforts. The ratio between expenditure – the money you would spend for say, charity fundraising events or using online fundraising platforms for nonprofits – and the inward flow of donations into your organisation should be balanced and must be tracked. It will also help you prioritise your resources and measure your progress. 

First, based on your various programmes, determine how much money you need to raise for each. Then, for the larger amounts, break down your goals into smaller, manageable pieces or types of fundraisers with different appeals. For instance,  if you need to raise a yearly amount of ₹10,00,000 for a specific ongoing project, you could set a goal of raising  ₹2,50,000 per quarter. This approach will help you track your progress and adjust your fundraising activities as and when needed.

3. Join a Fundraising Platform 

There are many online fundraising platforms for nonprofits that can make it easier for you to raise funds. On these fundraising platforms for nonprofits you will be able to accept donations from both domestic and international donors (providing your NGO has FCRA registration ), manage your fundraising campaigns, and track your progress. 

Consider registering on one of these platforms that offer online fundraising for nonprofits and simplify your fundraising efforts. Fundraising platforms for nonprofits like give.do, for example, allow you to create your own campaign page, accept donations via different payment gateways and tools, and share updates with your supporters.

4. Fundraise on Special Days 

Certain days or times of the year, such as Diwali, Christmas, DaanUtsav or end of the tax year are recognised as special times for giving and can be an excellent opportunity to launch a fundraising campaign. Take advantage of these special days and times and come up with novel fundraising ideas to boost your efforts and reach a wider audience. 

For example, during DaanUtsav, India’s national festival of giving (October 2-8), thousands of NGOs come up with fundraising activities to drum up support for their organisation and cause. Fundraising platform for nonprofits Give.do also kicks off 100 Heroes – the nation’s largest fundraising carnival for NGOs – on October 2 every year, encouraging NGOs with many fundraising tips for nonprofits and matching rewards. In the 2022 100 Heroes event,  571 nonprofits raised  ₹21.5 crore (2.5 million USD).

5. Create a Sense of Urgency 

This is one of the most important fundraising tips. People are more likely to act when they feel a sense of urgency, proven by the huge surge in donations during natural disasters requiring immediate action.

Fortunately, calamities are not everyday occurrences, but effective fundraising for nonprofits using language and imagery that communicates the need for immediate action and emphasises the consequences of not taking that action is one of the best ways to fundraise. If your organisation wants to raise funds for missing children found on railway platforms for instance, you could convey the urgency of the situation by using language like “Time is running out for Atul to find his family” or “Every donation will bring Ramu closer to his family” – words that will encourage people to take action.

6. Use Compelling Images or Videos 

Best fundraisers for nonprofits always involve types of fundraisers that are rich in imagery. Visual content is more engaging and memorable than text alone when it comes to fundraising for nonprofits. Create videos or source images that illustrate the impact of your work and show the difference your organisation is making in changing people’s lives for the better. For example, you can create a short video like the one that Give.do made for its NGO partner Manavlok, which showcases the cause and the positive outcomes that have been achieved by the NGO’s intervention.

7. Post an Easy Donate Option on Your Website 

This seems like a no-brainer, but it is surprising how many charities miss this easy fundraising tool. One of the best fundraising tips for nonprofits is to make it really simple for people to donate. You can do this by having a prominent donate button on the homepage of your website, preferably on the top menu bar rather than below which requires donors for nonprofit organisations to scroll down. 

Also, once they click the donate button, make sure the donation process is as straightforward as it can be and doesn’t require too many steps. So if you add a “Donate Now” button on the homepage of your website make sure it takes people directly to a secure donation page where donors for nonprofits can start keying in their donation details.

8. Make It Easy 

To make online fundraising for nonprofits a viable option, one of the best ways to fundraise is to make the donation process as easy as possible for your supporters. Offer multiple payment options, including credit/debit cards, bank transfers using net banking, digital wallets or UPI payments, and provide clear step-by-step instructions for how to donate. This will ensure that everyone can donate in the way that is most convenient for them. Effective fundraising for nonprofits requires you to keep things simple to raise money for charity.

9. Be Specific and Direct

When raising money for nonprofit purposes and asking for donations, be specific about what your organisation needs and how much needs to be raised. Donors for nonprofit organisations are more likely to give when they know exactly what their money will be used for and the amount of money required for it.

For example, if your NGO wants to raise funds for a new project like building an additional classroom for a rural education centre, you could state a target amount of say ₹5 lakh is required, give a break up of the costs involved to make it a reality and clearly explain how the funds will be utilised.

10. Whenever Possible, Make Everything an Event 

Turn your efforts into charity fundraising events that people can get excited about. Fundraising event ideas could include online auctions, charity runs, concerts, or any other type of fundraising activities that showcase the impact of your organisation. If your organisation works for the homeless, for instance, you could organise a night walk around the city where participants walk a specific route together to raise awareness and raise funds for your organisation.

11. Make Donations Shareable

Among easy-to-implement fundraising tips for nonprofits is to encourage donors to share that they have donated to your NGO on social media and with their friends and family. This not only helps you reach a wider audience to raise funds but also gives your supporters a way to express their support and encourage others to join in. You could also create social media posts that show the impact of a donation and encourage people to share their support.

12. Track Donations

While raising money for nonprofit organisations is a challenge, donors for nonprofits are growing daily. Effective fundraising tips for nonprofits include keeping track of all donation details – who gave, how much they gave, and when they gave. This information can help you understand who your most engaged supporters are and how you can continue to engage with them in the future. 

You can use a spreadsheet or a donor management software to track your donations to analyse your data. Or you could register your NGO on fundraising platforms for nonprofits like Give.do and let the platform help you keep track of your donations on the site.

13. Show Your Appreciation

Effective fundraising tips for nonprofits include showing gratitude to your supporters. Asking for donors for nonprofits to give is the easy part, but once they have fulfilled your fundraising needs, acknowledge their donations and express your appreciation for their support. This can be as simple as sending a thank you note, recognising them on your website or social media, or inviting them to events. 

For example, you can create a “Wall of Fame” on your website that showcases the names of your donors and the impact they have made – but be mindful to take permission from them before you do so.

14. Build Donor Relationships

NGOs often compete for donors for nonprofits. To earn donor loyalty, it would be wise to build strong relationships with your donors – it is one of the crucial fundraising tips and the key to long-term fundraising success. Stay in touch with your supporters and engage with them regularly through email, social media, or in-person events. 

If you haven’t done so already, you can create a monthly newsletter to update your supporters on your organisation’s activities and the impact their donations have made.

15. Offer Recurring Gifts & Perpetual Membership Programs 

While time and energy is spent raising money for nonprofit organisations, it is worthwhile to build in systems to retain donors.  As one of your fundraising ideas why not plan a recurring giving model or a perpetual membership programme and encourage your supporters to sign up? 

This will provide a steady stream of income for your organisation and give your supporters an easy way to make a long-term impact. But don’t forget to communicate the benefits of these programmes and emphasise their importance for your organisation’s sustainability.