Charities play a crucial role in addressing various social issues and supporting those in need. They often shine a light on lesser-known causes, conditions and societal injustices that might not get sufficient funding from elsewhere.
However, for these organisations to make a meaningful impact, they often require financial resources. These financial resources will fund paid staff positions, research, facilities and other vital work. A large part of running a charity is balancing the books and making sure that resources are put to the best possible use.
Fundraising is a vital aspect of sustaining and expanding the reach of charitable endeavours. In this article, we will explore some of the most effective ways to raise funds for charities, combining traditional methods with innovative approaches to maximise success.
If you’re thinking about starting a fundraising programme, there are some tried and tested methods you can try to make your efforts as effective as possible.
Transparency is key
In order to be eligible to accept donations, you need to be registered as a charity in the correct format. Failure to do this step will jeopardise your future plans. Once you are registered as a charity, you need to make it easy for individuals to access this information to confirm you are legitimate.
When asking people to hand over money, you want to do everything in your power to make them feel comfortable. This means including your registered charity number on all communications and promotional materials.
In addition to being transparent about what you are raising funds for, you should also be transparent about how the funding is actually used. Make sure your communications focus equally on fundraising efforts and how these efforts pay off. Share the success stories alongside the fundraising requests to keep your coverage balanced.
Online fundraising broadens horizons
In the digital age, online fundraising platforms have become powerful tools for charities to connect with a global audience. Websites like GoFundMe, Kickstarter, and Indiegogo provide a user-friendly platform for individuals and organisations to create campaigns and share their causes.
Utilising social media to amplify these campaigns can significantly broaden their reach, tapping into the generosity of a vast online community. Whereas fundraising was one limited to your immediate surroundings, taking your efforts online will enable you to reach people all over the world.
Before signing up to any online platforms, make sure you are aware of any terms and conditions. Platforms might take a cut of your fundraising, or they might withhold funds if you fail to meet your target within a specific timeframe. These are necessarily deal breakers for using the platform, but you should be aware of how this could impact your fundraising efforts.
Peer-to-peer fundraising shares the load
Harnessing the power of social networks, peer-to-peer fundraising involves supporters creating their fundraising campaigns on behalf of a charity. This method relies on personal connections and encourages individuals to mobilise their friends, family, and colleagues to contribute.
It not only raises funds but also builds a sense of community around the cause, fostering long-term engagement. Platforms like Facebook and Instagram make it easy for users to set up their own fundraising targets for a special occasion like their birthday. Make it easier for individuals to choose your charity by making sure you are registered as a charity on the platform.
As a charity, you could also encourage individuals to take part in events like marathons or treks for a charitable cause. Get behind them and share their stories on your social media platforms to help them to feel like part of the cause.
Leverage the power of corporate partnerships
Building strategic partnerships with corporations can be a mutually beneficial way to raise funds for charities. Companies often seek to align themselves with socially responsible causes, providing financial support through sponsorships, donations, or employee engagement programs.
This not only enhances the charity’s visibility but also taps into the resources and networks of corporate partners. Companies will often get a tax break for their charitable donations, so it’s in their best interests to maximise the opportunities available to them.
Companies will also enjoy the public image boost that comes with closely aligning themselves with a charity. This can help provide free PR coverage and will also make the company a more attractive prospect for employees looking for work.
Explore events and fundraising campaigns
Organising events and targeted fundraising campaigns can create excitement and urgency around a cause. Walkathons, charity runs, and gala dinners are popular choices that not only raise funds but also bring communities together.
Timely and well-executed campaigns, such as those tied to holidays or awareness months, can capitalise on heightened public interest and generosity. Children In Need is perhaps one of the most famous campaigns in UK history. This televised fundraising event has raised over £1 billion since it first aired in 1980.
You don’t have to aim this high to make a difference. Look for awareness months related to your area of fundraising and think about how you can build a programme of events around this.
Cultivate relationships with donors
Cultivating relationships with major donors can have a transformative impact on a charity’s financial stability. Identifying individuals or organisations with the capacity for significant contributions and engaging them personally in the mission and impact of the charity can lead to substantial gifts.
Regular communication and appreciation for donors’ support are essential for building lasting partnerships. These donors might not want recognition, or they might want to be rewarded with a position within the charity board or committee.
You can also seek support other than financial gifts. For example, you might look for an individual with extensive experience in fundraising and request that they support you in a volunteer capacity.
Coordinate with SMEs
It isn’t only large companies that can contribute to your fundraising efforts. Small to medium sized companies can also contribute by offering donations of prizes for fundraising events.
Reach out to local companies ahead of events to gather raffle prizes to help entice people to purchase tickets. The more prizes that are available, and the higher the value of the prizes, the more likely that individuals are to spend big on tickets.
These companies will enjoy a publicity boost within their local area and also have the positive association of being linked to charitable efforts. Any charitable donations will often be offset by an uptick in business as a result of the added exposure.
Tap into the power of grant writing
Charities can tap into philanthropic foundations and government grants by investing time and effort into effective grant writing. Understanding the criteria and priorities of potential funders, and crafting compelling proposals, can secure substantial financial support.
Building relationships with foundations and government agencies is key to sustaining funding over time. Researching and writing grant applications can be time consuming, but the rewards will be considerable if you are able to secure a consistent source of funding.
This will often be the lifeblood for charities that will enable them to keep the lights on when public generosity is waning. Grants might be one-off influxes of funds, or they might be continued support. Charities need a mixture of both to be able to continue their efforts.
Make the most of legacy giving
Encouraging supporters to include the charity in their wills or estate plans is a way to secure long-term financial stability. Establishing a legacy giving program and communicating its impact can motivate individuals to leave a lasting contribution to a cause they believe in, ensuring the sustainability of the charity for generations.
You should also find a way to honour those who have passed away and left a sum of money in their will to your charity. This will be a great source of support to their loved ones and will also encourage others to follow their example. Include a section on your website about how to include your charity in a will to make things easier for individuals.
Closing thoughts
In the dynamic landscape of fundraising for charities, a multi-faceted approach is often the most effective. By combining online platforms, grassroots efforts, corporate partnerships, events, major gifts, grants, and legacy giving, charities can diversify their revenue streams and build a resilient financial foundation.
Successful fundraising is not only about securing immediate resources but also about cultivating lasting relationships with supporters who share the vision and mission of the charity. Through innovation, collaboration, and a commitment to transparency, charities can navigate the challenges of fundraising and continue making a positive impact on the communities they serve.
Transparency is often the key to successful fundraising, as individuals will want to know that their hard-earned money is contributing to a good cause. If your charity is vague in how the funding is used, you run the risk of deterring potential donors. You could also put off those thinking about fundraising for you, as they might be concerned that their efforts might not turn into the results they are hoping for.
