Fundraising for NGOs
Fundraising is one of the most crucial steps to bring in funds to start and manage programs & projects for an NGO. There are many ways to raise funds within & outside the organizations. Internally, the organization can raise funds via membership fees, individual donation by members etc.
When raising funds from external sources, there are many methods & processes involved.
Here is a list of various types of fundraising activities that will help NGOs raise funds effectively,
- Institutional funding for NGOs
- Government funding for NGOs
- Crowd funding for NGO
- Corporate giving for NGOs
- Foreign fundraising for NGOs
Institutional funding for NGOs
Institutional donors include private foundations, public trusts, governmental donors, bilateral aid agencies, etc. that provide funds/donations for a cause. There are several thousand such organizations around the world today.
What appeals to this audience is not the PR value or the emotional aspect of the project. They give importance to the impact that this project will create. The approach to an institutional donor has to be more systematic and professional & the organization should be able to meet the deadlines of submitting their proposal and adhering to strict due diligence procedures. Winning a grant or funding from an institutional donor adds credibility and reputation to the organization.
Types of institutional donors
Private foundations and trust
These organizations are typically set up by wealthy families or individuals to provide long-term charitable giving.
Other non-governmental organizations
Large NGOs have their own grants & funding programs, or they may offer sub-grant to local/ small organizations to collaborate and work on projects.
Often, Individual donors direct their funds via another firm to make donations.
Large corporations have philanthropic foundations that fund charitables organizations. This foundation operates independently and does not interfere with their company’s CSR functions.
Government provides various funds and schemes for the non-profit sector. In order to receive these grants, there are some registrations and empanelments that need to be followed.
Crowdfunding for NGO
Crowdfunding is a way of raising money from a large number of people by using online crowdfunding platforms and social media. These platforms help you reach a large audience in a short span of time. When you choose a crowdfunding platform, they promote the fundraising project to create awareness among donors.
Corporate giving for NGOs
Apart from CSR activities, corporate companies also donate funds via corporate giving.This could involve companies matching a grant amount in a fundraising effort or the employees of a corporate company setting aside a particular amount of money from their salary towards a charitable cause.
Points to note while planning your fundraising activity:
- Assess your organization’s needs to know what your requirements are.
- Identify the fundraising method that meets your requirement.
- Conduct research on the donors who are a match for your organization’s projects & programs.
- Network and connect with prospective donors.
- Draw a plan for fundraising.
Chrysalis Services offers a array of services for fundraising for NGOs. Check with us to know how your organization can work with us.