Interested in learning more about this topic? Join us as we partner with Story Point Consulting to host a free webinar on April 11, Fundraising for Small Nonprofits: Cultivating Donor Support and Timing the Ask. Register today. 

For many nonprofit organizations, an important part of their fundraising strategy is to seek donations from the community. But before we dive directly into asking folks for donations, there are some important things to think about. 

While there are some big considerations such as developing a fundraising goal, creating compelling messaging about your organization’s cause, and identifying which individuals and corporations to ask for donations, there are also some simple and practical considerations before seeking donations. So even if your organization is a small shop, or new to fundraising, here are five questions to consider before asking a donor to make a gift. 

  1. Is it easy to give? Donors will always consider how easy it is to make a donation to a cause they would like to support. And in fact, an important part of finding new donors is making giving easy. In a day and age where most people carry a cell phone, let’s face it, most people expect to have a smooth and easy experience with all their online transactions. Also, research has shown that most people make donations via their mobile device or tablet. So, does your organization accept online donations? Is the “donate” button on your website prominently displayed? Is the transaction seamless for the donor? If not, it may be worth it for your organization to invest in building a better experience for donors. If it’s easy to give, people will be more likely to do so. If your organization only accepts donations in person, or the process is cumbersome, donors will be less likely to follow through with their gift. 
  2. Will the donor’s information be safeguarded? It is not uncommon to hear a story about a major organization experiencing a data breach. A data breach can cause huge problems for the organization that is the target, as it will often result in a loss of trust from the public and can have a seriously negative impact on the individuals whose data was stolen. Admittedly, I am a person who tends to be hesitant to give out my personal information for fear that it will be shared, or my personal data may be used inappropriately. As a nonprofit that accepts donations and inevitably some fairly personal data from donors, like perhaps their credit card information and address, it is important to have a secure system to safeguard your donor data. In addition, one of a nonprofit’s most powerful tools is its reputation. It is always best to be transparent with donors and the general public by sharing your privacy policy, and letting donors know how their personal information will be used. 
  3. Can the donor decide where the money goes? Most organizations require financial support for their general operations, programs, and services. But what if a wealthy donor approaches your organization with the prospect of a hefty donation for a program you don’t offer, but they would like you to start? Do you have the ability to fulfill the donor’s wishes if they would like to decide where the money goes? This can be one of the drawbacks of working with big money donors. Unfortunately, not all gifts are created equal. Therefore, it’s important for your organization to have policies and processes in place that guide which donations you will accept, and (sadly) which gifts you may have to decline.  And believe it or not, there are genuine reasons to decline a donation. 
  4. Do we have the capacity to administer the gift? In our experience, many people recognize the hard work it takes to identify a donor and successfully receive a gift. But, not everyone understands that there is actually a significant amount of work required after a donor makes the gift. That is, if you want to create a good relationship with the donor which leads them to consider supporting your organization in the future. Therefore, it is important that your organization has procedures in place for how to handle the gift efficiently so you can keep good records and provide a good experience for the donor. Whether your organization uses spreadsheets or donor software to keep you organized, or some other system, it is important to consider. In addition, it is helpful to decide who will be responsible for receiving donations and what processes are required afterwards such as a thank you letter to the donor. 
  5. What will you do after the gift is made? So, the donor has made their gift and you’ve sent a thank you note. Congratulations! Does that mean your work is done? I would argue that your relationship with that donor has just begun. It takes less time and effort to maintain the support of current donors than to seek out new donors. And to be honest, in my many years working with nonprofits, I have never met a team that had time and effort to spare. It is a good practice to decide how you will effectively steward relationships with donors before they ever make a gift, so your organization will be well on its way with a donor retention strategy. Will you send them additional information about your organization? Will you invite them to sign up to your e-newsletter? Invite them to special events? Consider sitting down with your team and brainstorming your stewardship plan, and you will be ready to implement these strategies once your organization secures the donor’s gift. 

Soliciting donations can take work. But it doesn’t have to be hard. If you take the time to consider these questions before seeking support from the community, you will be well positioned to manage both the money and the donor relationships once the gifts start coming in.

Interested in learning more about this topic? Join us for the Fundraising for Small Nonprofits: Cultivating Donor Support and Timing the Ask Webinar. Register today. 

With over 15 years of experience in the nonprofit sector including as a former Executive Director, Roxanne Tackie is a creative, avid tap dancer and instructor who enjoys crafting and baking. As the co-founder of Story Point Consulting, Roxanne uses her skills to help nonprofit teams develop genuine and long-term relationships with their donors. She excels at writing impact stories, donor stewardship strategies, and donor prospecting. If you are a small organization, or even a one-person shop looking for additional fundraising information, sign up for our newsletter and you’ll receive weekly fundraising tips and templates tailored to help your small nonprofit organization. 

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