Professional approaches to stand out, raise more, and drive your mission forward.
Over the next several months, we’ll discuss how small to medium-sized nonprofits with limited funding can stand out in a competitive landscape. This week, we’re focusing on establishing Professional Fundraising methods. There are countless ways to raise funds for your nonprofit, and this stack won’t cover them all. Instead, we’ll focus on key areas of investment that can elevate your status in the fundraising game and help your organization succeed.
Now, I know what you’re thinking: Your advice for raising money is to spend money? Yes. Money is fuel, and investment is required if you want to level up.
Last week, we talked about building brand recognition in the crowded marketplace of nonprofit fundraising. As we discussed:
“… branding is one of those buzzwords that can be off-putting for many in the nonprofit sector. However, it’s so much more than your logo and font choice.”
Once you’ve begun to master your brand, it’s time to start using your unique voice to raise funds. Asking people for money can feel difficult, but money is like fuel—without it, your organization’s reach will be severely limited. So, let’s discuss how to establish a professional fundraising strategy, whether by employing experts, leveraging technology, or building relationships.
Hire a Grant Writer: Invest in Expertise
Grants are the golden geese for many organizations, offering highly impactful funding. However, the process of finding and applying for them can be intricate and time-consuming. This is where hiring an expert can make a real difference.
Grant writers don’t just craft compelling proposals—they know how to align your nonprofit’s mission with the goals of grant-making organizations. That’s right, grant givers have missions too. Think of them as partners working toward a collective cause.
Take The Trevor Project, for example. They utilized skilled grant writers to secure funding from foundations and government programs, which allowed them to expand their services nationwide. Now, I know what you’re thinking: Your first advice for raising money is to spend money? Yes. Money is fuel. If you can afford to invest in a freelance or consulting grant writer, you may find this investment pays off quickly.
Invest in Training: Build Internal Capacity
Investing in your team can be just as impactful as hiring external specialists, especially if your organization doesn’t have the budget for outside expertise. Staff training is a cost-effective alternative that builds internal capacity and fosters long-term growth.
Grant writing courses are widely available and can help level up your team’s skills. Candid Learning, for example, offers a variety of accessible workshops tailored to the needs of different nonprofit organizations. By empowering your staff through education, you create a knowledgeable team that can contribute to your organization’s fundraising efforts for years to come.
Outsource When Necessary: Leverage Specialized Services
Sometimes, outsourcing key elements of your fundraising strategy can provide the expertise and efficiency your organization needs. Services like Donorly and WealthEngine specialize in donor prospecting—helping you identify who to ask—and fundraising research. These tools make it easier to target high-net-worth individuals and organizations, aligning their capacity to give with your organization’s needs. This not only connects causes with capital but also helps ensure the right donors are contributing to fill critical gaps.
Outsourcing can also extend to other areas, such as telemarketing, social media fundraising, or event planning. Partnering with professionals who understand the nuances of nonprofit fundraising allows your team to focus on what matters most: cultivating relationships and delivering impact, while the logistics are handled by external experts.
Use Fundraising Software: Streamline Your Efforts
Donor management is a cornerstone of how your organization is perceived in the philanthropic world. For many nonprofits, juggling donor relationships, tracking donations, and organizing campaigns can quickly become overwhelming. If your fundraising efforts are successful, investing in fundraising software will become a necessity.
There are plenty of tools on the market, but take your time to find the right one. Don’t just go with the first option you come across—even if it’s free! The right software will help you track donor engagement, set funding goals, automate donor communications (like acknowledgments and thank-yous), and generate reports for your staff and board members.
If you’re just starting out, choose a system that can grow with your organization. Ensure that it allows you to maintain access to your data, with options to export and back it up regularly. This data is the lifeblood of your organization, and its upkeep should be one of your highest priorities. Proper donor management ensures you can deliver on your promises and maintain open, transparent communication with your stakeholders.
Crowdfunding: Harness the Power of Community
Crowdfunding has become a popular and accessible way for nonprofits to raise funds, particularly for specific, short-term projects. Platforms like GoFundMe and GlobalGiving make it easier to connect with a large number of small donors online. However, the key to success in crowdfunding lies in storytelling and marketing.
Crowdfunding isn’t for everyone. I typically don’t recommend it for nonprofits unless you have a savvy message and a compelling story that can energize a large audience. For example, charity:water frequently uses crowdfunding campaigns to fund projects like building wells in developing countries. Their success comes from telling vivid, emotional stories paired with striking visuals that resonate deeply with supporters.
For smaller nonprofits, it’s critical to carefully plan your marketing strategy—not just what you’re saying, but also who you’re targeting. Crowdfunding works best when your message is clear, your story is powerful, and you know how to reach the right people.
Need extra support? The Barrow Gang is here to help nonprofits like yours reach new heights. From strategic planning to board support and fundraising, we’re ready to partner with you. Book a free 15-minute consultation to tell us about your goals and see how we can help make them a reality.
Hosting Events: Fundraising and Engagement in One
Hosting events can be a fun and effective way to raise funds while engaging with your current supporters and meeting new prospects. Whether in-person or virtual, fundraising events should focus on creating meaningful engagement and addressing specific, critical needs. And yes, that need could be as simple as covering annual administrative costs—a common challenge for nonprofits that’s often difficult to convey in a grant application, but essential for every organization.
Relay for Life by the American Cancer Society is a prime example of raising significant funds while building strong community ties. However, it’s crucial to ensure your event’s expenses—such as venue, catering, and marketing—are outweighed by the income it generates.
Too often, I’ve seen small nonprofits go into the red from attempting to host an overly ambitious event. While your stakeholders enjoy a good time, they also want to see that you’re being fiscally responsible. Budgeting and financial discipline should be top priorities to ensure that your event is not just memorable but also successful in supporting your mission. This is a topic that we will revisit in later stacks, and one I have particular interest in because I love a good fundraising event!
Community Partnerships: Mutually Beneficial Collaborations
One of the most effective and lasting methods for raising funds is through partnerships. Collaborating with local businesses or other nonprofits can significantly amplify your fundraising efforts and broaden your reach. However, to ensure the partnership endures, it must be mutually beneficial. A balanced relationship lays the foundation for long-term collaboration, turning it into a valuable resource for both parties.
Businesses might host fundraising events on your behalf, match employee donations, or sponsor your initiatives. These partnerships can also result in in-kind donations, such as products or services that reduce your operational costs. In return, your nonprofit can provide services to the business’s clients, offer access to your facilities, or help connect the business to new customer bases.
By creating partnerships where both sides see tangible benefits, you can establish strong, enduring relationships that not only support your mission but also build a sense of shared community impact.
Data Analysis: Make Informed Decisions
Lastly, regular data analysis of your fundraising efforts is critical to understanding what’s working and where you need to improve. This ties back to your donor management data and how you can ensure that your passion project remains sustainably funded into the future. By analyzing past campaigns, you can identify which strategies generated the most revenue, which donors are most engaged, and where your efforts might be falling short. This information allows you to allocate resources more effectively and focus on strategies with the highest return on investment.
Building a sustainable fundraising strategy is essential for nonprofits to thrive. By incorporating professional tactics such as grant writing, donor cultivation, and leveraging technology, your nonprofit can grow its impact and secure the resources needed to fulfill its mission. Whether you’re hiring experts or investing in long-term relationships with donors, each step strengthens the financial foundation for your nonprofit’s future success.
Of course, there are countless ways to raise funds beyond the strategies outlined here. These are just a few methods your organization can consider to professionalize its efforts and bring in the much-needed fuel that drives the passion you and your staff fight for every day.
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