If you work in a nonprofit, you already know that fundraising is about much more than dollars and cents. It’s the heartbeat of your mission. It’s the way you keep programs alive and invite others to share in your purpose.
The definition of fundraising isn’t just “asking for money.” It’s about inspiring people to believe in your cause and giving them meaningful ways to help it grow.
Today, we’ll explore what fundraising really means, how it’s evolved over time, and the strategies that continue to help nonprofits thrive. Whether your goal is to expand your reach or simply make the most of limited resources, these insights will help you fundraise with purpose and confidence.
Fundraising is the process of gathering financial support for a cause, organization, or project. This involves a variety of methods, including:
Although the main aim is increasing revenue, nonprofit fundraising can be about more than just collecting money.
Different fundraising methods can offer ways to cultivate communities, build relationships, interact with donors, and foster a culture of giving.
For example, events give your NPO an opportunity to engage donors, get to know your community, and share more about your work and programs.
The idea of fundraising dates back centuries. For years, religious institutions like churches and temples have relied on donations from their followers to run and provide aid to the needy.
Over time, charitable giving became woven into many cultures, from community-driven almsgiving in Europe to early public subscription campaigns in America.
One of the most significant fundraising efforts in history was in the 19th century, when philanthropist Andrew Carnegie donated millions of dollars to fund libraries, education, and scientific research. Similarly, the Red Cross led, organized, and continues to drive global fundraising efforts, collecting funds worldwide for disaster relief and humanitarian aid.
In the modern era, technology has transformed how organizations raise money.
Campaigns like the ALS Ice Bucket Challenge and Team Rubicon’s digital disaster relief efforts show how social media and online communities can turn simple ideas into global movements.
These days, nonprofits connect with donors in more ways than ever through online storytelling that brings NPO missions to life. With digital fundraising, anyone can make a difference, no matter where they are.
When it comes to raising funds, there’s no single path to success. Different strategies work best for different missions.
Here are some of the most reliable and creative ways nonprofits inspire generosity and sustain growth.
Crowdfunding has made it possible for even small organizations to reach large audiences. Platforms like GoFundMe and Facebook Fundraisers help nonprofits tell their stories and raise funds quickly, often from people who’ve never heard of them before.
The 2014 “Ice Bucket Challenge” for ALS research remains one of the best-known examples. It raised over $220 million and showed how powerful online participation can be.
More recent efforts, such as Giving Tuesday campaigns, underscore the ongoing evolution of digital giving.
For your own campaigns, focus on sharing real stories and clear goals. People give when they understand who they’re helping and why it matters. A heartfelt update or short video from your team can go further than any ad ever could.
Fundraising events are a tried-and-tested approach to raising money and nonprofit community building. Think galas, silent auctions, walkathons, market days, and marathons. We’re sure you know of a nonprofit near you that’s done it.
Events are a fantastic way to bring your fundraising efforts to life and engage donors.
If your organization has the resources and capacity to do so, events can be a large-scale, fabulous affair that draws attention to your cause.
The Metropolitan Museum of Art’s annual Met Gala, for example, is both a high-profile fashion event and a major fundraiser, generating millions of dollars to support the museum.
But you don’t need deep pockets to get the best out of fundraising events. You can organize simple gatherings with tons of excitement, whether online, in-person, or both.
Businesses, big or small, can be great partners for boosting your company’s revenue. Large corporations often work with nonprofits to fund social initiatives to meet their corporate social responsibility.
For example, in 2020, Apple launched a partnership with (RED) to support the fight against HIV/AIDS, contributing a portion of its product sales to the cause. These corporate collaborations enhance nonprofit financial stability while promoting social responsibility.
Small businesses in your community can also give you a helping hand by sponsoring events, offering items for your auctions, and more.
An effective method to consider if you want to work with large corporations or businesses for your fundraising is a donation matching program. Through donation matching platforms like Double the Donation, you can find a corporate partner that doubles any funds your nonprofit raises.
The best partnerships are built on shared values and trust. Keep sponsors updated on the results of their contributions, and show them how their support is making a difference. Those follow-ups turn one-time sponsorships into long-term collaborations.
Businesses aren’t the only institutions that can help you boost your income. Apply for grants from government agencies, private foundations, and international organizations for NPO programs and operations. Grant funding can empower your nonprofit to take on larger projects with long-term impact.
When applying, focus on alignment – funders want to support causes that match their mission. Be clear about your goals and how the grant will create measurable change. Even smaller local or regional grants can build credibility over time, making it easier to secure larger opportunities down the road.
It can take time and persistence, but every grant you secure (no matter the size) brings your mission one step closer to lasting impact. Treat each application as a chance to refine your story and strengthen your case for support.
Peer-to-peer fundraising is one of the most engaging ways to bring your community into your mission. It gives supporters the chance to raise money on your behalf, turning loyal donors into passionate advocates.
If you’ve seen charity walks, virtual challenges, or birthday fundraisers, you’ve seen how powerful they can be.
These campaigns work because they’re rooted in personal connection. When someone fundraises for a cause they care about, their story inspires others to get involved too.
Peer-to-peer fundraising also helps you grow a network of voices who believe in what you do. It’s affordable and an incredible way to strengthen relationships that last long after the campaign ends.
To get started, give supporters the tools they need, including custom fundraising pages and shareable graphics. Celebrate their efforts publicly and thank them often.
Fundraising has tons of holistic advantages for nonprofits and charities, including:
Without consistent funding, many nonprofits would struggle to maintain their programs. For instance, Feeding America, a leading hunger relief nonprofit, relies on fundraising to distribute millions of meals each year to food-insecure families. Continuous fundraising efforts allow such organizations to expand their reach and improve their services.
Fundraising campaigns often double as awareness initiatives, educating the public about pressing social issues. The Movember Foundation, dedicated to men’s health, raises funds while encouraging conversations about prostate cancer, mental health, and suicide prevention. This dual approach strengthens the organization’s impact.
Fundraising fosters a sense of community by bringing people together for a shared cause. Charity runs, volunteer drives, and peer-to-peer fundraising encourage active participation and deepen donor relationships.
With enough funding, nonprofits can invest in innovative solutions to societal challenges. They can use advanced technologies to simplify daily operations and better manage their projects.
Building donor loyalty and trust
Beyond the financial impact, fundraising helps nonprofits create lasting relationships with supporters. Strong donor relationships are what sustain many organizations through challenging times.
Strengthening Flexibility and Resilience
Nonprofits that diversify their fundraising are better prepared to adapt when circumstances change. The shift to online and hybrid fundraising during the COVID-19 pandemic is a perfect example of how flexibility helps organizations continue their mission, even in uncertain seasons.
Fundraising is essential for nonprofit organizations, ensuring they have the resources needed to fulfill their missions. Today, you can draw from a history of religious and community-driven donations to modern digital campaigns and corporate partnerships to raise money and resources.
Your fundraising strategy is a vital step in enhancing public awareness, engaging communities, and driving social impact. Remember, your community’s support is what makes it possible to drive the change you want to see. And fundraising is a wonderful way to cultivate this support!
Every fundraiser takes heart, creativity, and teamwork. If you’re looking for ways to simplify the logistics so you can focus on your mission, BiddingOwl offers practical tools to support nonprofits.