One of the issues always on the minds of nonprofit organizations is how to get more funding. There are a variety of ways to raise money for your cause, ranging from individual donors to obtaining corporate donations and sponsorships, the latter of which will be focused on in this article. For the organizations supported by our Beyond incubation project and anybody else interested in starting or continuing their nonprofit, here are a few tips.
Recognition is an easily achievable perk of donating: this can be as easy as a running feed of donors and sponsors on your website or as extravagant as a speech expressing your gratitude for the support. Promoting their brand or services is always welcome, as a 2013 study shows that 91% of consumers would switch brands to a similarly priced one that contributes to a good cause.
Donation/sponsorship tiers with varying perks can make fundraising more specific. Different monetary contributions offer different levels of recognition, such as naming rights to an event or their logo and name displayed at the event.
Areilly Partida, an Interpret employee who formerly worked at a nonprofit event planning organization says, “When it comes to people opening up their wallets, they’re hesitant to just give money away… they want to understand what specifically they’re funding.”
Companies value knowing that their contribution will be put to good use. Nonprofits with financial transparency have a greater chance of receiving donations, because companies can be confident that they’re making a positive impact. Having links to your most recent IRS Form 990 and annual expense reports on your website helps build trust between the donor and organization.
Donors also want to see real impacts of their contributions. Blog and social media posts of past events and stories within your community build credibility and can attract more people to your organization. A clean, professional website and available contact information are crucial, especially for student-run organizations which might struggle with credibility.
Most importantly, a clear mission statement is essential to catching the eye of donors. A mission statement should clearly and concisely communicate why your nonprofit exists, the people it impacts, and how these people are helped. Avoid using long, complicated words; the statement should be easy to understand.
Asking for sponsors and donations can seem like one of the most daunting, intimidating parts of running a nonprofit, but at the end of the day, remember that companies need you just as much as you need them. Donating to nonprofits is tax-deductible, gives them a desirable public image, and builds good relationships within their community. Many corporations have branches dedicated to researching nonprofits to donate to and make a difference. Happy fundraising!
By: Olivia Cai