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.
- 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:
- 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.
- 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.
- 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.
- 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.
- 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.