Many times a lot of nonprofit organizations believe that a good and solid donor database would make any fundraising process smoother. However, that is not the case. This applies to a lot of other beliefs regarding nonprofit fundraising. This article delves into few fundraising delusions and how the truth can help you plan your operations and fundraising better.
Fundraising creates revenue
Fundraising campaigns are often seen as a process that will continue to generate funds even after the campaign ends. But it is important to remember that the cash flow ends when the campaign is closed. What remains is what you have gathered during the fundraising.
Tip: A fundraising technique such as crowdfunding is a one time deal and a revenue is the money you need to keep your doors open and your operations running smoothly. Therefore, have a financial plan in place looping in sponsors and major supporters. Go through your donor database and map out the donors that can become your constants.
Mass recruitment of major donors
It is very well known that securing major donors takes time – it is a long process that is systematic and truly one on one. Major donor fundraising programs like the Benevon model of fundraising simply leave money on the table – this means there is little space for a personal relationship with your donors.
Tip: There is no one simple way to bring major donors. Major donors are important, which is why you must put together a strategic major donor campaign and make sure that you have your systems and infrastructure in place.
Economizing on fundraising staff and systems is beneficial
Hiring an amateur fundraiser for your nonprofit fundraising may help save a few thousand dollars but at the same time, you’re opening doors for missed revenue. The same goes for fundraising platforms that may come across as fairly cheap.
Tip: Go for a good quality tool and software, if not the best. Never go for an unresponsive website or a poor marketing system. Sit back and figure out what your organization needs and raise the capital to fund the same.
All events are fundraisers
Although you are a nonprofit, you cannot always expect all your events to be fundraisers. There are times when you will have an event that includes your partners or your staff that will not necessarily bring in any fund. Keeping this in mind, you have to plan your events carefully.
Tip: Not every event is a fundraiser. Therefore, you should plan accordingly. If you organize an event that results in you spending, see to it that you plan your next event in such a way that it brings in some funds. Be a wise one.
As a nonprofit organization trying to improve your working, the best route you can take is to identify your goals, create the right strategy, pick the right tools and diligently execute your plans. Do not settle for anything less, such as a poor donor database or improper management software. Keep in mind the truth(s) of the industry and do well in the coming year!