Fundraising Essentials For Your Non-Profit:
How To Raise All The Money You Want

    

    

   
Let's Get Started...

 

Today there are more non-profit groups than ever before. On the one hand, this is a great development - it means that as a society we are becoming more aware of a need to give to others and are even taking the necessary steps to ensure that we help others. On the other hand, though, the presence of so many non-profits creates a unique problem - “giver burnout.”

Giver burnout happens when individuals get so many appeals for help - from large cancer societies, small women’s shelters, literacy organizations, and every possible non-profit group in-between that they feel overwhelmed and are less apt to contribute anything to anyone. Even those individuals who do want to contribute have had to cut back on who they contribute to - there are simply too many groups requesting money and only so much disposable income any one person has.

What all this means if you are a non-profit group is that you must work harder to get funding. Where in the past groups often did well just by asking for money or organizing one big event to fundraise each year, now fundraising is big business.

Most non-profit groups will find that they need to take a more organized and diversified approach to fundraising in order to raise the money they need. Most groups will need to rely on a number of efforts and money sources just to survive.

The increased competitiveness of fundraising has created a whole fundraising business. There are consulting firms and public relations firms that will help you fundraise more effectively - for a price, of course. There are also many companies that claim that their fundraising efforts or products will make money for your non-profit in exchange for a share in the profits.

Advertisers, computer programs, and even paid workshops have all been set up to help you learn how to fundraise. If you are a small non-profit group, however, all these services and products can quickly add up, and if you are looking for effective fundraising ideas, chances are you are looking to make money rather than looking to spend it.

Luckily, with this fundraising essentials guide you will learn the effective strategies and techniques you need to start making real money for your group - all within your budget.

The good news is that if your non-profit group has:

  • determination
  • the willingness to work hard
  • a real desire to success at fundraising
  • perseverance

You already have the basic groundwork for success in fundraising. All you need now is some basic tools and ideas that can help you become more effective at raising money. That is exactly what this guide is all about. By the time you finish this guide you will know:

  • Where to turn for money
  • How to tell great fundraising ideas from duds that will not make you money
  • How to stay organized
  • How to ensure that your group works together and follows through for fundraising success
  • How to organize a fundraising team that will get real results
  • How to use technology to make more money for your non-profit
  • How to use the secrets of fundraising to raise more money with less hassle - each time
  • How to communicate in a way that will ensure more fundraising money for your organization

Before you dive in and start learning the secrets of fundraising success, you need to make sure that you understand a few basic concepts...

 

What is a Non-Profit?

Many people who first begin fundraising do not always know what a non-profit is, and many groups assume that it does not matter whether their organization is a non-profit or not.

However, how much money you make and how you are able to use that money is determined largely by the way you are classified. A non-profit group is simply a group that is designed for a charitable purpose; no money that the group makes is used for the gain of individuals.

Rather, a non-profit uses its earnings to further its goals. Groups such as the United Way, as well as groups such as the Scouts, hospitals, and most universities are non-profit groups. There are also many smaller non-profits such as animal shelters, human rights organizations, and women’s shelters. In most cases, these groups try to make the world a better place in some way.

If this general definition fits your group you must contact your local government and ask about the process of registering as a non-profit. In most areas, you cannot advertise or claim to be a non-profit unless you are officially registered as and declared as a non-profit or charitable organization.

The procedures and qualifications for becoming this sort of group legally vary from area to area, but generally you will need to fill out forms and prove to someone that your group exists not to make money but to better society. Often, you will have to file a mandate that explains clearly what your group intends to do.

It is hard to overstate how important this step is. If you have not yet officially registered as a non-profit group, you need to phone your local city hall or mayor’s office and start the procedure of doing so.

Even if your group is new or small or has modest plans for improving society, you need to be officially registered, as this will affect how you raise money. Groups which are officially non-profit groups are eligible for all kinds of money that other groups simply do not have access to. That is why you need to register your group before you begin fund-raising in earnest.

 

What is Fundraising?

Fundraising is just what it appears to be - the raising of funds or money. For a non-profit, fund raising is often the only way to get the money to pay for the facilities and programs that the group wishes to organize. Fundraising can take many forms, from sales to direct asking for money to organizing events or lotteries for which people will pay.

 

Why is Fundraising Important?

Since non-profit groups are by their definition groups that do not wish to profit many people wonder why they must raise money at all. In fact, fundraising is often the only way that non-profits have of gaining the money needed to rent the space and organize the programs needed to fulfill the group’s mandate.

Fundraising can help raise awareness through newspapers or newsletters, it can help a group establish an Internet site, and it can help people that the group is hoping to help. For example, a women’s shelter will need money for a shelter space, money for food and board for abused women, and money for programs such as education and job training for the women who visit the center.

The costs of even a small women’s center can be enormous, and fundraising is the way to raise this money. All simple non-profit groups need some money in order to really do good, and this is where fundraising comes in.

Why do I need to learn about Fundraising?

Plenty of people assume that fundraising is as simple as holding bake sales or some other organizational activity until enough money is raised. If you only want to raise a small amount of money, this may be fine, but for many groups this approach is too uncertain and too limited to be very effective.

If your group will be around for a while, then you will want to raise money consistently in order to keep your group going. You will need to learn many things in order to keep enough money coming consistently:

  • How to find enough money to keep your programs going and your group expanding
  • How to find ever new sources of money in order to ensure that you have enough consistently
  • How to continue to run the group’s programs and fulfill the group’s mandate even while taking the time to fundraise
  • How to stay organized and keep group morale and interest high - even after many years of fundraising

You will learn these basics and much more as you keep reading...

Who Gives Money?

 

Figuring Out Who You are Fundraising From

If you want to make money for your organization or charity, you need to know where you will be getting your money from. Of course, you will want to be able to appeal to a wide range of donors, but in fact you will get the most money by targeting donors.

You have seen this in action already in fundraising efforts you have likely observed: Cancer societies often appeal for donations from people who have lost someone to cancer; Girl Scouts target customers leaving grocery stores as these are likely candidates to buy a box of cookies. Targeting your audience and carefully planning where you will look for money will help ensure that all your resources all well-spent and that you get the best return on your time and effort investment.

So who gives money?

Plenty of people and groups are willing to give money to non-profit organizations that support a good cause. Some of the people and groups that offer money are:

  • Individual People or Donors: Many non-profits, especially the smaller ones, get much of their money from concerned individuals. People are extremely generous about supporting causes that they believe in. Some will donate just small amounts of money - sometimes just a few dollars at a time - that can quickly add up.

    More affluent philanthropists may offer you large sums of money. No matter what your fundraising goals in the long run, you should spend at least some of your fundraising efforts trying to reach individual donors. Not only are these donors likely to support your group if your group seems to offer a legitimate help to society, but educating individual donors about the importance of your cause will help spread the word about your group’s mandate and programs.

    The more individuals know about your group, the more your group is likely to thrive. Another benefit of individual donors, especially for the smaller non-profit, is that individuals are often quite community-minded. If you are a small group mostly interested in helping the local community, local donors are the ones most likely to be interested in - and supportive of - your group.
  • Companies: Industry is actually a big supporter of non-profits. The profits made by companies in your area are pumped back into the community in many ways - including through employment, taxation, and through direct donations. Browse through your local papers and look for articles about corporate or company donations and sponsorship.

    You will notice that some companies and industries in your area are especially adept at contributing to charities and non-profit groups. In some cases, companies contribute in order to be a part of a community or in order to bolster their image in a community. In many cases, companies and industry give to charities because an owner or shareholders believe strongly in a cause.

    Many companies and larger industries have a large amount of money, and in some cases they may be willing to share a small amount with a worthwhile cause. Even if you cannot gain on-going support from a company or industry, these sources are often great for individual donations or support. For example, if you are organizing a fair or sale, a company may be willing to grant supplies, volunteers, or money in exchange for some free advertising, which can be as simple as a large banner at your event proclaiming “refreshments generously provided by Acme Bakery.”
  • Governments: Local, state, and federal governments are a huge source of money for non-profit groups. Through grants and programs, governments give away enormous sums each year to charities and non-profit groups, from the largest groups to the very smallest. Grants and government support are not sources of money you will want to ignore, especially as some grant money each year goes unclaimed - money that could help your non-profit group prosper.
  • Other Charitable Groups: Non-profits often help each other. Larger organizations such as the Red Cross or United Way will often give support and even money support to local charities and groups doing similar work. Churches, schools, and local groups will often fundraise or gather donations for a group they believe in. There are also larger foundations and philanthropical groups, such as the famous Rockefeller Foundation, which exist solely to help other groups and individuals do charitable work. These groups can be a great resource, and, large and small, they should not be ignored.

Where to Find Donors

Now that you know what the sources of money are likely to be for your non-profit, you will want to figure out how to contact the largest amount of them most effectively. You will of course want to know where to find the donors that can help your group succeed. There are several ways to get in touch with the groups and people who can help you:

  • The library: Well before you start your fundraising efforts, you will want to frequent your local library. Your local library, as part of your community and a great information resource, is indispensable for your non-profit. Your librarian can help you find directories of government grants and programs that can help you, and can show you business directories that can help you find companies who may be willing to sponsor your non-profit.

    At the library, you can also read books about successful fundraising and browse through newspapers and magazines to learn how other groups have managed to fundraise. Most libraries even have free community bulletin boards where you can appeal to volunteers or advertise your latest fundraising efforts for free. Without a doubt, the local library is one resource that no non-profit should ignore.
  • Advertising: Many non-profits will seek donors by advertising in newspapers, on radio, and on television. Larger non-profits such as the United Way will often advertise year-round in order to encourage donors to come forward. However, even smaller non-profits will advertise locally.

    You may well have seen your local food bank or shelter advertising for food and cash donations around holiday time, for example. Advertising tends to reach lots of people for the cost of one ad, even though individual ads in newspapers and radio can be quite expensive on their own. However, some non-profits find that they can sometimes appeal to a radio or local television station or publication to advertise for free. Even though the media makes their money through advertising revenues, they are occasionally persuaded to offer free advertising as a charitable contribution to a non-profit.
  • Plugging into the Community: Most small non-profits are very community oriented - most of their money and most of their charitable activities are centered on one local area. If this describes you, then you need to become a part of your community so that donors in your area will become aware of your group.

    When people see that your group is offering something to the community, they may be more inclined to donate. Plugging into the community may mean showing up for local events with group advertisements, taking out ads in local media, or passing on the word through word of mouth. Whichever methods you choose, it is often very important for a small or starting non-profit to be seen as part of the community in order to secure donations.
  • Direct Appeals: Direct appeals mean that you approach people individually. This can be done door-to-door, by standing in front of a store or establishment, or by phoning or mailing people individually. The idea is that direct appeals are harder to resist than general appeals, and so more people are likely to at least give some money rather than say “no” entirely. The problem is that so many companies use this route that some individuals feel that this method is too intrusive and refuse every direct appeal made.
  • Awareness Raising: You will find some enthusiastic donors and some volunteers and resources by letting people know about the problem your group is trying to correct and by telling people about your non-profit group itself. Raising people’s awareness about your group and your groups’ work is a big job. You can raise awareness in many ways:

    - Reports in the media (interviews, articles)

    - Advertising

    - Visiting groups such as schools to let people know about your group

    - Setting up booths at fairs, volunteer workshops, and other community events

    - Going door to door to tell people about your group

    - Sending mail campaigns to raise awareness

    - Setting up events that will raise awareness (and money, too)
  • Market Research: Every successful non-profit needs to do exact market research in order to find out who the most likely donors are for their group. There are market research firms that can do this for a sum, but if you are a small or new non-profit, you can do your own market research by using newspapers and your own community knowledge to find out who will be most likely to support your group.

Targeting Donors

Of course, you want to reach all the donors you can. The more people you appeal to for money, the more “yes” responses you are likely to get. For most non-profits, and especially for small non-profits, though, the very logistics of trying to reach all possible donors are simply impossible. Advertising in every newspaper and on every television show and trying to visit everyone in a city in a direct appeal is simply a lot of work - and a huge expense. Most non-profits can only contact a limited number of people, so you will want to do one of the following:

1) Contact as many people as humanly possible using the budget you have.

2) Contact only those smaller amounts of people who are likely to support your non-profit.

In almost every case, option #2 will result in more “yes” answers on a smaller budget. To understand why this is, consider the way each fundraising campaign would work.

Let’s say that two groups in the same community had a similar mandate and similar budgets. For the sake of argument, let’s say that both are women’s centers with a small $1000 budget each.

The first center decides to use all the money trying to reach all the donors it can. Volunteers go door to door at no charge, ads are taken out in newspaper and radio, and appeals made outside stores. The group talks to many thousands of people over the course of several months and spends their entire budget on the process. They raise plenty of awareness and plenty of money, but there are several drawbacks to this method:

  • Lots of “no” responses. These are not essentially a problem except that each “no” response costs money or time (the time it took to appeal to the person and the expense taken to mail a letter or to contact someone). Plus, lots of “no” responses tend to reduce morale, as volunteers wonder whether their efforts are really doing any good. Every fundraising effort will bring in plenty of “no” efforts, but by casting the net wide, the first group has all but ensured that they will have many such replies.
  • Lots of unseen appeals. Advertising is great, but general untargeted awareness raising and direct and indirect appeals tend to have a high miss rate. If door to door volunteers are used, then there may be many people who do not open their doors or who are not at home. If newspaper ads are used, there may be many newspaper readers who do not look at advertisements and so miss the well-worded appeal. If booths are set up at community events, there may be many who walk by without a glance.

Of course, with any fundraising strategy, there will be some people who do not see an appeal, but indirect and unpersonalized approaches tend to increase the rates of this type of non-response.

  • Fatigue syndrome. The volunteers of this first group are working very, very hard. While that may bring in plenty of good responses, it may also leave many volunteers too fatigued by the effort to keep making appeals. Remember: one of the secrets of fundraising is that it must be continual in order to ensure long-term success of the non-profit group. How many volunteers could keep up the dizzying pace that this group has set?
  • Hit and miss, disorganized method. With no plan and no real idea of who this group is trying to appeal to, volunteers are relying on blind luck to find donors. Some people may be appealed to a few times by volunteers while others may not get the message about the group.
  • Consumption of time. While these volunteers are certainly doing a commendable job getting the word out about the group, they have left little time and energy for the mandates of the group. Presumably, they are raising money in order to do some good, but have they the energy and volunteers left to actually implement the money in a positive way?

In contrast, let’s think of the second group. They decided to appeal to a smaller amount of people - let’s say 300, but they chose each person they decided to contact carefully.

They contacted corporations they knew were supportive of women’s groups, contacted companies run by women, and campaigned aggressively at a local women’s college. They also wrote for several government grants designed especially for groups that help women.

Certainly there are disadvantages to this method - they did not raise awareness about the group over such a wide segment of population as the first group, they still got plenty of “no” responses, and they had to spend lots of time before fundraising in order to determine who to appeal to.

Despite this, the second group is likely to have a higher ratio of “yes” answers in a much shorter period of time, because they are appealing to the very people - women - who are most likely to have the inclination and money to support a women’s center. The advantages of this second strategy are:

  • The people who were asked were more likely to say “yes.” The donors that were appealed to already had some built-in reason for saying yes to supporting the women’s center.

    Less convincing was needed and less of a chance of a “no” helps keep volunteer morale high. Plus, donors who have a built-in reason to support a women’s center are more likely to donate again (presumably, their reasons for donating will still be there) so this second group is already setting down the basis for on-going financial support.
  • By using targeted appeals, the group was able to target people individually. Rather than having many people walk by a stand or pass over an ad, this group was able to meet face to face with the groups and people who were more likely to help them, reducing the chances of a “no” response.
  • By targeting their donors, the second group already had a built in organizations structure. They knew who they had to contact and how to appeal to them. There is less risk of overlooking an important donor source or of asking the same people twice.
  • Time and money were saved. Rather than spending lots of time and money on a huge campaign, the group was able to do some research for free at the library and then appeal directly to groups and people that were interested. Interviews with some groups could easily be set up for free, and government applications and a campus presence would also be inexpensive or free. Less time was wasted talking to those who have no interest in the project.

Donor & Market Research is Important

 

This is a fictitious example, but it sets out quite clearly why donor and market research is important before you start fundraising.

In this example, the market information was clear - women are likely to support a women’s center as they understand the issues and problems women face.

In some cases, though, the donor target may be less clear. Who in your community would support an animal shelter or a literacy project?

There are a few basic ways to do some research. The first step is to visit your local library and look up groups similar to yours in your area and in other areas. Who supports them? The same groups of people may support your group. If your non-profit consists of a few volunteers, you can find out what sort of people your non-profit appeals to by asking your volunteers a few questions:

  • What shows do your watch? What publications do you read? What radio station do you listen to? 
  • Where did you hear about our group? 
  • Where do you go for entertainment? What other groups do you belong to?
  • What appealed to you about this non-profit?

Even in a small group, you will hear similar responses. These answers are important clues about what your donors are watching, where they are going, and what appeals to them. You can further establish your target donors by considering where people who believe in a cause or idea would go or what they would see. Consider the following ideas:

  • Pet shelters are likely to be supported by people who like animals. If they like animals, they may read about them, own them, or visit them. Advertising in pet journals, at pet kennels or grooming centers, appealing to owners outside of pet stores or zoos are likely places to find target donors or at least people who love animals enough to contribute some money to a cause that concerns them.
  • Arts groups are likely to be supported by people who like the arts. Where are such people found? At universities, art galleries, theaters, art groups, book clubs, libraries, cafes that hold poetry readings, arts publications, bookstores, art stores, art classes, and other like places.
    •Non-profits that have to do with children are likely to appeal to families. Where would such people be found? Parks, schools, PTA meetings, churches, playgrounds, fairs, toy stores, fairs, children’s days at the zoo or art gallery, parenting publications, and other like places.
  • Non-profits that have to do with community development may seem to be a varied bunch, both those who are worried about issues such as poverty or issues such as housing regulations would tend to congregate around town hall meetings, soup kitchens, or other like places, depending on their individual concerns.
  • Non-profits that have to do with the environment attract people who are worried about the state of our planet and resources. Where are such people to be found? At natural health food stores, environmental protests, town hall meetings that have to do with preserving parks, environmental stores, “green” publications.
  • Non-profits that have to do with International issues attract people who are worried about international policies and the state of the larger world today. These people may be considered about worldwide human rights, about international policies and other similar issues. These people may be found reading the ‘world’ section of the newspaper, attending protests to raise information about human rights, and other like events. People who either have family overseas or who are from overseas often have a built-in interest in International issues.
  • Non-profits that have to do with education attract people who are worried about education and literacy. These people are to be found at literacy centers, the library, schools, PTA, meetings, and other like areas. If your education mandate has to do with children, then your target donors can be found in similar places as the target donors for non-profits that have to do with children.

You can probably see a pattern here. People who are concerned about an issue are likely to express their concern by spending time at specific places and time attending specific events or reading specific publications. People who are interested in a specific issue often like specific related things. If you want to target your audience of donors, you should be asking yourself where potential donors can be found and then target your fundraising to some of these areas.

 

Marketing Questions When Targeting Donors

 

As you target donors, keep asking yourself a few marketing questions:

  • Where can I find people who are interested in the issue our non-profit is furthering?
  • What do people interested in our issue read? Where do they go? What groups do they belong to?
  • What sort of person is so likely to be interested in our groups’ issue that they will be willing to help our non-profit financially?
  • What companies in my area have contributed to similar non-profit groups in the past?
  • What sort of fundraising effort would be most likely to draw the people who are most likely to be interested in out group’s mandate?
  • Are there government agencies or philanthropic agencies that tend to give money for causes that are similar to our group’s mandate?

Targeting your donors at first may seem to be only a way of narrowing down your choices, as you are basically trying to attract only a smaller percentage of people to your cause. However, if your group only has limited resources (and this is true for many starting or small non-profits) then targeting your donors by choosing to ask those donors can help you get the best results possible in the shortest period of time.

Think of it as making educated guesses about who can help. The idea is not to ask only those who are most likely to help, but rather to focus on specific groups of people before expanding out to other donors.

Once you have targeted specific groups on donors, you may wish to expand and seek help and support from donors that seem less likely to be interested in your group’s cause. In some cases, you may be pleasantly surprised to find unlikely donors who are willing to help you raise money.

For example, across North America, there are motorcycle enthusiasts who regularly take part in a “teddy bear” drive around Christmas in order to raise money for children who might not otherwise have a holiday. Many people are surprised to see gruff-looking biker enthusiasts carrying teddy bears on their Harley Davidson’s for charity, but this is exactly what happens each year.

Your group needs to be careful not to overlook sources of donations and fundraising money simply because you have a preset notion of what people would or would not support your group. Sometimes, fundraising money comes from unlikely sources and it is often a good idea to contact some unlikely groups to see whether in fact they may be ardent supporters of your cause.

How much time and effort you spend trying to contact donors outside your targeted donor group will depend on many factors, including how much time and effort you have for such campaigns and it will depend on how much money you have been able to raise through more targeted fundraising. If you have been able to raise all the fundraising money you need through targeted donor hunting, you may simply not need to expand your list of donors too much and instead of trying to find new sources for money you may want to direct your efforts to fulfilling your group’s mission.

If, on the other hand, you find that you require more money and have had smaller success with targeted donors (because, for example, a group with a similar mandate has also been fundraising your area) then expanding your list of potential donors may be one way to get more money for your non-profit.

What Do Donors Want?

The psychology of fundraising will be more thoroughly covered in an upcoming chapter, but while we are thinking about donors and how to appeal to them, it makes sense to say a few words about what is going through the minds of those who are willing to give money for your non-profit.

Many non-profits assume that people give money for specific causes for “nothing,” but this is rarely the case. Studies have shown that people who are likely to give money to non-profits generally do so because they feel they get some “value” from giving. People give to non-profits for a number of reasons:

  • To assuage a fear: Many people give to non-profits because they fear the eventually of a specific event or situation. Some people, for example, are afraid that women are not treated well enough and that violence against women may affect their home. Others fear becoming homeless or losing their jobs and give to food banks to ensure that a social support system exists for those who have less money.

    While you never want to prey upon people’s fears or exaggerate their fears, knowing that people react in this way can help you target your fundraising efforts and can help you understand why some donors give generously.
  • To make a contribution: Many people feel that by giving to a non-profit they are making a valuable addition to society. This is absolutely correct - non-profits do the work that many working people simply do not have the time or the resources to do themselves. Donors can contribute to this work through volunteering or through money donations. This is certainly a “giving value: you will want to stress in order to increase donations.

    You may want to emphasize how donor money will be used to a make a real difference in people’s lives, for example, and you will want to explain to your donors and contributors how their help of your non-profit is a contribution that the donors are making to society.
  • Tax deductions: The fact that many gifts to non-profit companies are tax-deductible is often an extra bonus for many donors. No one likes to pay more taxes than they absolutely have to. For this reason, you will want to tell your donors when their gifts can be tax deductible and ensure that they get the receipts they need to make their tax deduction claims.
  • A chance to win: Charitable lotteries and charity casinos are becoming more and more popular. These events draw not only donors who support a specific non-profit, but these fundraising efforts also draw people who simply wish to win a nice prize and also like the benefit of helping a charity while they get a chance to win. If you are running a lottery or raffle, you will want o emphasize to your donors their good chances of winning as well as the contributions they are making to society.
  • Emotional benefit: If you look at most successful fundraising campaigns, they generally appeal to the emotions rather than just the rational mind. Non-profits that raise money for international relief, for example, often show emotionally charged pictures of people who do not have the basics of life. Animal shelters often show saddening pictures of pets that have been abandoned. The idea is not to manipulate your donors, but rather to make sure that their emotions as well as their intellect understand the importance of your group’s cause. You likely developed or take part in your non-profit because you think that your group’s cause is an important one. You need to communicate to your donors why the cause is important on an emotional level so that they feel the importance of your non-profit, not just understand it.
  • Immortality: For a few people, donations are made in order to have a plaque or a statue dedicated to them. Some individuals like to be known as philanthropists. In many cases, these individuals are willing to offer larger sums of money in exchange for recognition of their gifts.
  • Products: Some people take part in fundraising because they want whatever products or services a non-profit is offering through their fundraising efforts. If you hold a book sale to raise money, for example, you can expect book lovers to show up, whether they want to support your non-profit specifically or not. If you have useful goods or services you are offering as part of your fundraising, you will want to emphasize this to potential donors.

Now that you have a sense of who will be offering you money, and where to find these individuals, you can start tailoring ideas to suit your potential donors...

 

Fundraising Ideas:
Finding the Best Ones for Your Non-Profit


On the surface, finding fundraising ideas is easy. Get together a group of co-workers or co-volunteers into a brainstorming session, and you will likely get a list of ideas ranging from jumble sales to door-to-door selling to a direct mail campaign. Type in “fundraising ideas” into any Internet search engine and you are likely to get thousands of hits, ranging from bake sale ideas to companies offering fundraising opportunities.

It is not simply a matter of picking an idea, any idea.

To be successful at fundraising, you carefully need to consider which ideas work well for your group. Choosing the wrong ideas is disastrous: you will waste time, money, and effort to get little or no financial return and the failure to raise funds may well ruin the morale and motivation of your group. Getting out of the financial hole left by a bad fundraising campaign can also be quite difficult, especially for small non-profits.

There are a few things that separate a good fundraising idea from a bad one:

  • Cost of getting going should be what you can afford to spend
  • Good use of resources and talents
  • You have enough people power - or can get enough for it
  • It is a theme-appropriate idea for your grou
  • •It is appropriate for the size of your group
  • It does not require expensive resources you do not have
  • It is likely to appeal to donors
  • It gives added value to your donors - your donors will feel that they are getting something from the experience
  • It will bring in the required money.

You will need to consider these requirements against every idea you consider making sure that you are choosing a fundraising idea with some legs.

However, to save time, you may want to find fundraising ideas by starting with this list rather than starting with brainstorming. On a piece of paper, note the following:

  • The purpose of your organization
  • How much money you are willing to invest into fundraising
  • What resources you have that can help - even small resources such as someone’s car can be a big help when fundraising for your group
  • How much money you need - and when you need it by. Be sure to note whether you need money only for a specific project or whether you need to raise money on a consistent basis.
  • How much time you are willing to expend on fundraising
  • Who do you expect money from?
  • What sort of time frame do you have for the fundraising? Is there a specific thing you need money for? Do you need a specific amount by a specific time?
  • What is the money for?

Based on this simple inventory, you can start weeding out potentially bad ideas and can start focusing on the possibilities right away. This will get you actually fundraising sooner, and with less hassle. With your fundraising goals in mind (and these goals are what you are determining by answering the above questions), you can easily tell which ideas can contribute to your goals and which are unlikely to be a help.

It may be useful to consider the many ways that non-profits raise money for their programs and groups:

  • Lotteries and raffles: Ticket sales for games of chance are quite high and many non-profits are finding that people are willing to pay large amounts of money for the chance to win a fabulous prize. Many larger non-profits routinely raise money in the millions of dollars by having companies donate prizes such as cars and homes and then having donors pay one hundred dollars or more per ticket.

    Donors like the fact that these raffles and prizes often have good odds and great prizes. However, many areas have laws about lotteries and gambling, so before pursuing this idea be sure to check the laws in your area.

Fundraising Ideas:
Finding the Best Ones for Your Non-Profit

  • Sales: Selling products is easy and inexpensive to set up. You can easily organize sales by asking people to donate things and then selling these at a profit. You will need a space to store donated items, volunteers to sort and sell items, and a place to sell the items.

    Sales are a good way to generate fundraising money for a short-term project, although some groups have success in hosting regular sales that contribute plenty of money continuously. If you are able to find a location that will allow you to make sales regularly, you can often host sales each week. One advantage of sales is that there are many types that your group can organize:


    - Gardening Sales: If your group has a green thumb or a green theme, you can sell seedlings, seeds, bulbs, or other items for people’s gardens at an outside sale. In many cases, volunteers can raise plants on their own or get plants donated from gardening centers or other people’s gardens. This is a popular sale theme in spring and early summer, when many people are starting to work on their gardens and are looking for plants.

    - Craft sales: If members of your group like creating crafts - knitting, sewing, wood crafting, then creating a craft sale to sell small created items is often a good way to raise money. Craft sales tend to do especially well in tourist areas during the summer and in all locations before the holidays (when people are looking for items to buy others). Many small craft items can be made quite quickly, and it is often best to try to make lots of smaller items for such a sale along with a few larger items (such as quilts).

    - Children’s Sales: Selling items specifically for children - such as toys. Children’s clothes, and children’s books - can be a good way to draw people and donors for a children or family-related non-profit. These sales are often quite popular because many people like to buy things for their children without spending a lot of money. In many cases, items can be donated by stores or donated by volunteers. Volunteers will need to check carefully to make sure that all items are in good condition, however.

    - Bake Sales: Bake sales are quick to organize and inexpensive to set up. All a group needs to run this type of sale is some people willing to bake some items and a small area to sell the items. It is important to choose a good place for a bake sale. This is the sort of sale your group will want to organize at some event (such as a picnic) since few people are willing to travel out of their way to buy baked goods.

    A bake sale can bring in extra fundraising cash, though, if you set up your sale someplace where people already are. If you are organizing a bake sale, you will want to set up sign-up sheets so that your sale has several varieties of baked goods. In general, volunteers should be encouraged to make baked items that are finger food. Baked items that are very gooey or require a fork to eat are often too fussy for many bake sales.

    - Book Sales: If you live in a town that has a college or several used bookstores, you generally have the buyer base to hold a book sale. Book sales can bring in plenty of fundraising money, because many book fans are enthusiastic about reading and will gladly buy books in larger quantities.

    Plus, many people are attracted to book sales because the book prices are so much lower than the prices at book stores. You will need to find book donations by appealing to the public and will want to set prices fairly low in order to attract lots of buyers.

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    Jumble Sales: Jumble sales are very popular, as there are plenty people who frequent yard sales in the summer - and jumble sales are just larger versions of the usual garage or yard sale. Jumble sales often take place during the summer, and are easy and inexpensive to organize.

    You will need to collect donations of used goods, organize them, price them, store them, and then sell them at a large sale. To do this well, you will need a storage and selling space and plenty of volunteers.
  • Flea Markets: There are many people who like hunting for lost “treasures” at flea markets, and these people can make a flea market fundraising idea very attractive. Flea markets usually charge an admission fee but have a similar range of items as jumble sales. At flea markets, however, it is possible to find ”higher-end” items such as antiques as well as the usually assortment of used goods.

    Flea markets often have several sellers and sometimes offer larger items and collectibles as well. Organizing a flea market is similar to organizing a jumble sale. However, many flea markets are successful year round. In fact, many non-profits benefit by hosting regular flea markets on a weekly or monthly basis.
  • Home or art sales: Sales that offer art works or items for the home (such as decor or furniture) often do well because people are always looking for these items. If your non-profit can create art or find used furniture and used art pieces to sell, this sort of sale can be quite profitable.
  • Auctions: Auctions can take place alone or as part of a larger sale or fundraising campaign. If you can get someone to donate more valuable pieces (artworks or antiques) to your non-profit you can organize an auction yourself or have a local auction house sell the piece in exchange for part of the profit. Silent auctions (in which bidders write their bids on a paper instead of aloud) can be a great way to make more money on larger items at a fundraising sale or marathon.

Fundraising Ideas:
Finding the Best Ones for Your Non-Profit

  • Marathons: Marathons involve getting people to volunteer to participate in an event. These volunteers then recruit other volunteers to sponsor them for money. For example, the most popular types of marathons usually involve walking or running.

    Participants have friends and family sponsor them for a flat fee or for a specific sum for every mile jogged or walked. Once the marathon is done, the volunteers go to their sponsors and collect the money, which is then handed over to the non-profit. In order to organize a marathon, you will have to find a place for the marathon, ensure that advertising gets enough participants, and arrange ways to feed or refresh the participating volunteers.

    The nice thing about marathons is that volunteers will often work themselves to find sources of money, which increases the amount of fundraising money that the non-profit can get through this method. Since marathons are also quite visible, many companies are often willing to help with expenses and supplies in exchange for some advertising at the event. Many non-profits successfully hold a once- a-year marathon in order to help with fundraising.

    In many cases, you can get more volunteers to take part by offering prizes to participants who raise the most money. Besides that usual marathons that call for participants to jog or walk, there are other types of marathons:
  • Dance-a-thons: In these events, participants have to dance to provided dance music for a specific amount of time. This type of event is good if you have a younger target donor list.
  • Sew-a-thons: In these events, participants sew (or quilt or craft) for a pres-set period of time or until a specific amount of things have been created. As an added bonus, the things created this way can then be sold at a fair or sale. However, if you decide on this sort of marathon, you will need to make sure that you can find enough volunteers willing to sew or craft for an extended period of time!
  • Exercise-a-thons: These were popular a number of years ago, but it is still possible to find this sort of marathon hosted by non-profits. Participants are encouraged to exercise for a specific period of time or are encouraged to take part in once type of activity (skiing, swimming, horseback riding, biking, boating, aerobics, skateboarding, in-line skating, or some other activity). It is important to ensure that the marathon is not so long that people will be injured and it is important to provide some medical help at the marathon site to ensure that anyone who is injured or becomes ill can get the help they need.
  • Clean-a-thons: This type of marathon is very popular among groups with a “green” theme. In exchange for the possibility of cash and prizes, participants agree to clean part of a city or highway, often agreeing to pick up specific amounts or garbage in order to get sponsor support.

    This type of marathon is nice because it has several side advantages. The city or town area will usually be much nicer-looking after the event, which means that media or town politicians will often support such an event, ensuring more participants. Schools, neighborhood groups, churches, and other groups interested in the community are usually willing participants, ensuring that you have enough people taking part.

    This type of marathon certainly makes everyone happy. It is also a snap to organize. You will need to provide refreshment, prizes, and garbage bags as well as thick gloves to protect participants. You will also need someone to take collected recyclables to be recycled. Additional volunteers will have to follow up with participants in order to get sponsor’s contributions.
  • Kiss-a-thons: As the name suggests, in this type of marathon calls for participants to kiss for a specific period of time. In many of these marathons, participants have also tried to get participants into the world book of records for the longest kiss.
  • Fasts: Marathon fasts are becoming quite popular. Events such as the “24 hour famine” raise awareness about world hunger as well as the money that can change poverty. Participants need to be told about the dangers of long-term fasting before beginning.
  • Cook-a-thons: In these events, which are often better for small towns where security issues are not as much of a concern, participants cook for a specific period of time. The food cooked can be sold to raise even more money or can be donated to a shelter or food bank. These marathons can be expensive to sponsor unless you can get a company to help you, as the cost of cooking supplies can be quite high.
  • Eating contests: Part race and part marathon, these contests are often part of a fair or bazaar. Participants try to eat as much of an item (usually a pie) within a set period of time.
  • Sit-ins: In the 1960s, sit-ins were used to protest certain conditions or institutions. Today, some non-profit groups are using the sit-in to raise money and awareness for specific issues. Participants spend a few days in a specific area, “camping out” creating a stir about an issue while also raising money through sponsors. This type of marathon requires lots of organizing and careful controls to keep everyone safe. Also, you will need to find someone willing to lend space for your event.
  • Read-a-thon: In this type of marathon, participants read as many books as they can over a period of a few weeks. In exchange, sponsors give participants a specific sum of money for every book read. Since this activity takes place on participant’s own time, there is no need to provide a space or refreshments.

    Participants also provide their own books, making a read-a-thon one of the more inexpensive forms of marathon to organize. Schools and libraries are often willing to help advertise or support this type of event, as well, so you can be sure of getting help with this type of project.

    In fact, any event or activity that can be organized to take place in a group for a few hours can generally be made into a successful marathon. For inspiration, try looking at the Guinness World Book of records and other similar reference works for activities that could be converted into a marathon.

Fundraising Ideas:
Finding the Best Ones for Your Non-Profit

  • Fairs or bazaars: These events take a long time and much effort to organize but they inevitably draw large crowds of all ages. Fairs and bazaars are basically mixed events that may contain rides, auctions, fair booths (such as palm-reading stations, pie eating contests, dunking booths and others), rides, refreshments, and other attractions.

    Often, you will need to rent some of the apparatus (such as the booths or rides) which means that this sort of fundraising event can become quite expensive in some cases. You will also need to organize plenty of volunteers in order to keep things running smoothly. There are many types of fair themes and styles, ranging from country fairs to haunted house or Halloween bazaars to family fairs.
  • Dances and other entertainment events: These events usually charge for admission and the money raised through admission is used to support the non-profit group. Usually turn out at these events is quite good as the public gets entertained for an affordable rate. This type of fundraising event can also, in some cases, be inexpensive and fast to organize:

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    Dances: Dances (especially themed dances such as retro sock hops, country square dances, or 80s pop dances) are always a big draw and are very easy to put together. You need a space for the dance, some decorations, and a good DJ. Admission fees and the sale of refreshments usually ensures a profit.

    - Movie nights: Whether you decide to organize a drive-in or get your local movie theater to offer your group a night showing, movie nights are very popular, especially if you can offer inexpensive admission. In many cases, offering older movies for viewing will draw a bigger crowd and also prove less expensive to organize.

    - Plays, variety shows, and comedy shows: Live shows and entertainments can be a great way to entertain and draw in money (again, through ticket sales and refreshment sales). They can take some time to organize and require lots of practice and work from volunteers, but start-up costs can be quite low if you can get someone to arrange an inexpensive venue for the show to take place in.

    - Bingo or casino nights: These offer exciting fun and the possibility of winning prizes and money. Proceeds (which can be quite high) go to your group. Just be aware that some communities have laws about who can hold such events, which are sometimes considered “gambling.” Check local laws before trying this idea.

    - Dinners: Turkey dinners, Sunday dinners, and singles dinners draw plenty of people who want to meet others and who do not want to dine alone. For a dinner event, you will want food and refreshment, a place for the dinner, some decoration and possibly some quieter entertainment that will still allow for talking among diners. Dinners are fast to organize and can be help frequently, if enough people seem interested in the event. Money is raised by having people pay at the door for the event.

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    Holiday events: Whether it’s a family Easter egg hunt, a Halloween haunted house, or a Christmas caroler concert, hosting events with a holiday theme always draws those who want to celebrate a special day. Charging admission is a good way to raise money at these sort of events, and other fundraising ideas - such as sales or raffles, can be added to the event to ensure greater fundraising success.
  • Tours: Offering walking or driving tours of a city can be a great and inexpensive way to raise money for your non-profit, especially if you live in a city or town with a large tourist population. Tours can take place a few times a week during the summer or can be conducted year round.

    They require little more than a few hours of volunteer time, a staff that knows about a city or area (or can learn about it by reading books) and some advertising. In addition to raising money by charging money for the tours, a non-profit can also hand out pamphlets about the organization during the tours, raising awareness as well as money.
  • Hay rides and barn dances: These activities are quite popular during the fall and summer, as they offer family entertainment for city dwellers who want to “get away” for a few hours. You will need to find a farm that can accommodate donors.

    Additional fundraising ideas - such as pony rides and a hay bale maze - can easily be added to raise even more money. Setting up the event may take money and time, but once it is set up, it can easily operate for an entire season, bringing in money regularly. A farmer offering a pick-your-own business may be willing to allow a non-profit to use a small parcel of land in exchange for drawing tourists and customers to the area, so it does not hurt to ask around.

Fundraising Ideas:
Finding the Best Ones for Your Non-Profit

  • Drives: Drives are basically requests for things. Of course, all fundraising is basically a money drive, but sometimes asking for objects (especially for items that people may be getting rid of anyway) can help bring in a better response. Many people who will not donate money will be able to afford to donate something that they may want to be rid of anyway. If you are planning on having a sale, you may need to organize a drive first in order to ensure that you have the items you need to sell. Drives can also be used to gather items that can be used in a non-profit’s programs. A homeless shelter, for example, may wish to hold a bedding drive in order to get the beds and linens needed to house the homeless. Such a drive may get a better response than simply asking for money in order to buy the bedding. Some of the more common drives include:

    - Blood drives: usually organized only by larger non-profits such as hospitals, clinics, larger shelters, and the Red Cross, blood drives ask people to donate blood so that those who need a transfusion can get the medical help they need. Blood drives are expensive and require trained medical personnel as well as plenty of equipment for taking, testing, and transporting blood to be stored.

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    Food drives: These drives usually aim to raise non-perishable food for food banks, shelters, overseas programs and other non-profits.

    - Toy and gift drives: Often held around the holidays, these drives aim to offer toys and gifts to children who might not otherwise get a holiday. In some cases, excess toys and gifts can be sold to second hand shops in order to raise money as well.

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    Book drives: Non-profit groups having to do with literacy or education sometimes seek book donations in order to give books to students and others or in order to organize programs such as bookmobiles. Books can also be sold to raise money for non-profit programs.

    - Housewares drives: Some non-profit groups ask for household items which can help those in need or which can be sold for fundraising purposes.

    - Clothing drives: Some non-profits ask for donations of used clothing (sometimes specific items such as coats) in order to clothe those in need or in order to sell the clothes in order to make money for non-profit programs.

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    Volunteer drives: Some drives ask for specific work or volunteers for projects. For example, Habitat for Humanity, a group working to create affordable housing, often asks for labor work (construction workers, plumbers) that can help in building houses.

    Many people (and even companies) are willing to offer their help and labor even if they are more cautious about offering their money. This sort of drive can be invaluable as it can save enormous amounts of money on services. If you need to build or renovate an office space, for example, you can get contractors to offer some of their services. Then, you will only need to raise a smaller amount of money through other means in order to pay for utilities and other necessities.