Fundraising for Beginners

When any business or organization is getting on its feet, especially non-profit organizations, usually during the first five years, the biggest question on the administrations mind is, "how are we going to get money to keep this going?"

There are two types of funding you can obtain, episodic and ongoing. Episodic funding comes from grants or special events. Ongoing funding is the funding you receive from individuals, sales of merchandise, etc. Episodic funding is less frequently gained, but when it is gained it is usually a large lump sum. Ongoing funding is exactly what it says, ongoing, you should be bringing in donations and sales pretty steadily and annually, this money will bring in the same or more as your episodic funding, but instead of coming in a lump sum, it comes a little at a time, but consistently.

The largest source for ongoing funding in 2008 according to Giving USA was from individuals, 75% of charitable funding was gained solely from individuals. This means that individuals are instrumental in the success of your non-profit. Be personal and give people easy ways to donate. Create a website and have a donate button online, making individual donations as easy as clicking a button. If you develop a relationship with each person that donates, they will be extremely likely to continue donating and in larger amounts.

For episodic funding you can look to corporations, the government and special events. Send out letters to certain companies that you feel could benefit in some way from donating to your organization. Corporations are always looking for ways to improve their image and gain more exposure. State and federal governments provide funding through grants. Public charities and some foundations also give grants. Most of the time all it takes is writing a letter detailing how your non-profit could benefit from the grant you're interested in and send it off. You could be chosen to receive a grant and really get your non-profit jump-started! Lastly, it is best for an organization to strive for at least two big fundraising events each year. Try to find something that has potential to be a yearly event and that can really help define your organization.

Lastly, don't give up! Finding funding, especially during the recent economic hardships most people are facing can be difficult, but there is money out there for your non-profit!