The Ultimate Nonprofit Fundraising Guide: Grow Your Nonprofit and Create Lasting Change

Starting and running a nonprofit can be a daunting task, especially when it comes to fundraising. That’s why the team at Mightycause built a comprehensive guide that offers practical steps on how to grow your nonprofit. Our nonprofit fundraising guide will walk you through expanding your donor base, crafting compelling stories, engaging donors, and utilizing digital tools to supercharge your fundraising efforts.

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Donor Acquisition Basics

Donors aren’t just supporters, they are the backbone of nonprofits. Without their generosity and commitment, many nonprofits would struggle to make a lasting impact. That’s why prioritizing donor acquisition is essential for the continued success and growth of any organization. By developing a strategic plan to attract and retain donors, you are laying the foundation for a sustainable future where your cause can thrive and make a difference in the world. Your donors are more than just financial contributors; they are partners in your mission, and acquiring them is key to building a strong and resilient nonprofit that can truly make a difference.

What is donor acquisition?

Donor acquisition is the process of securing and gaining new or potential donors to your nonprofit.

Donor acquisition strategies

Make Donor Acquisition a Priority: Develop a clear plan and make donor acquisition an ongoing effort.
Build an Online Presence: Ensure you have a website, social media accounts, and a donation platform like Mightycause.
Network Within Your Community: Engage with board members, volunteers, and community groups.
Host Events: Organize “friend-raisers” and participate in community events to introduce your nonprofit.
Follow-up: Maintain contact and build relationships with prospective donors through personalized communication.

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Understanding Why Donors Give

To acquire new donors, it’s important to understand why donors choose to give. Or most importantly, why give to your nonprofit? Understanding the psychology behind charitable giving can help your nonprofit ask more effectively. By understanding the motivation behind donor giving, your organization can create more effective appeals and communication that resonate with your audience.

Why donors choose to give

Drive Personal Connection: Donors give because they feel connected to the cause.
Utilize Peer Influence: Recommendations from friends and family can drive donations.
Demonstrate Impact: Donors want to see the tangible impact of their contributions.
Craft Emotional Stories: Craft compelling stories that resonate emotionally with potential donors.

Mightycause CRM Tool

The Mightycause Supporters CRM tool is designed to help nonprofits keep track of and manage their donors, volunteers, and fundraisers. This donor management tool allows nonprofits to track and segment donors, build targeted outreach, and connect and communicate with their supporters in a more personal and detailed way.

Growing Your Email List

A robust email list is one of the most important communication tools in a successful nonprofit’s arsenal. Email gives you a direct line to each one of your supporters, and it remains one of the top ways to convert a prospect into a donor. When nonprofits want to make an announcement, solicit support for a new fundraising campaign, start a new initiative or program, or share successes or milestones, email is often the first place they turn. They know the people who’ve signed up to receive their emails are interested in their cause, and many times, they’re there because they have shown up to support their organization in some way.

Fundraising email best practices

Offer Valuable Content: Provide updates, resources, and stories to encourage subscriptions.
Segment Your List: Target communication based on donor interests and engagement levels.
Personalize Your Emails: Nurture relationships with personalized and timely messages.
Utilize Email Marketing Software: Platforms like Mailchimp offer free plans to make your email marketing easier!

How to grow your nonprofit email list

Host an Event: Collect email addresses through registration of a virtual or in-person event.
Revamp Your Website: Update your website with a pop-up CTA or contact-us form right on the homepage.
Start an E-newsletter: Create a newsletter that includes exclusive and informative content about your cause.

Donor Engagement and Retention

Acquiring new donors is only one piece of the puzzle. How do you ensure they’ll donate again? How do you keep donors engaged with your nonprofit? Making sure donors stay engaged and continue their support is just as crucial as attracting new ones.

What is donor retention?

Donor retention is a measure of how many donors who previously gave to your nonprofit continue to donate again. Nonprofits with high donor retention maintain long-term support, while those with low rates must continually acquire new donors. Here’s how you can calculate your donor retention rate:

Donor Retention Rate = (donors that gave this year/ donors that gave last year) x 100

Mightycause Donor Retention Report

On Mightycause we can do the math for you! The Mightycause Donor Retention Report not only calculates your donor retention rate for you, but it also provides you with a comprehensive filter and list of donors you have or haven’t retained.

Donor retention strategies

Send Regular Communication: Send regular updates and thank-you messages.
Show Appreciation: Acknowledge donations with personalized notes or public recognition.
Utilize Impact Reports: Share stories and data that highlight the difference donations make.
Create a Community: Foster a sense of belonging among donors through exclusive events or groups.

Using Social Media for Fundraising

Social media has become one of the most important tools in nonprofit fundraising. It offers nonprofits the ability to quickly and easily reach new supporters, engage past donors, and amplify their impact at a low cost. It also helps increase brand awareness and instantly mobilize the people who support your cause.

How to promote fundraising on social media

Develop Social Media Strategy: Develop a content calendar and posting schedule.
Create Engaging Content: Share stories, photos, and videos that highlight your mission.
Utilize Interactive Campaigns: Run campaigns that encourage interaction, such as challenges or live events.
Amplify Your Reach: Use hashtags, partnerships, and ads to expand your audience.

Our Complete Nonprofit Fundraising Guide

Download the Ultimate Guide to Nonprofit Fundraising to access worksheets and checklists that will help you take actionable steps to grow your nonprofit today.

Submit this form to have our full guide sent directly to your inbox!

Fundraising is hard but it’s an essential part of any nonprofit. By focusing on a few key nonprofit fundraising strategies, as listed above, you can easily start to build and cultivate a loyal donor base and create long-term fundraising success.