Many nonprofit organizations have problems finding a stable source of funding. Finding the money to start out is difficult enough, but long term funding requires a tremendous amount of research and persistence. Here’s a short list of tips on how to fund your nonprofit organization. Keep in mind all nonprofits are different depending on their mission, so take each tip with a grain of salt. You may have to adapt some of them to your funding strategy and you may have to completely ignore others because they don’t apply to your organization.
Fund your nonprofit by selling products and services. By charging a small fee you can create a sustainable source of income that will keep your organization afloat. For instance, if you are providing food for the elderly who can’t leave their home, you can consider charging a modest fee for your service. However, you need first assess your particular situation and see if those who benefit would be willing to pay. You can ask them if they are willing to pay for a weekly or monthly membership. Keep the people you help in mind and try to find a middle ground so both of you can work together.
2. Work with a Business
Try to partner with a for-profit company. For example, you can reach out to a supermarket and ask them to put up donation boxes at the register. Then the cashier can ask each customer if he or she wants to make a small donation for your cause. In the beginning, it might seem like you are barely getting any funds, however, eventually you will be able to reach out to a large retail company and little by little you will earn enough to fund your nonprofit.
Considering making a sponsorship deal with a company. Instead of financial donations, for instance, a furniture manufacturing business can supply you with all the furniture you need. In exchange, you can advertise them on your nonprofit’s website by displaying their logo or by letting everyone know how much good they’re doing by sponsoring you. They receive market exposure and you gain items or products you need to run your organization. It might not be cash, but free stuff can certainly help you improve your nonprofit’s financial status.
This funding method is still the one that brings the highest amount of revenue to a nonprofit organization. Nowadays with the entire world connected via the Internet, it’s even easier than ever to find donors. You can offer a useful newsletter or other free information on your website for free. People appreciate information that solves one of their problems and they are willing to donate to a cause in exchange. Use all the modern tools at your disposal to offer something to people in order to attract their attention.
Organize a special event like a contest, tournament or auction in order to attract potential donors to your cause. This takes planning, but you can find local businesses interested in helping you out in exchange for the exposure they would receive for participating. Start your planning early, make everyone aware of your event and you will find the funding you need.