Small Nonprofit Fundraising Strategy: Maximize Resources
Fundraising is complicated for any nonprofit, but for small organizations, limited staff, time and budgets make it especially challenging. Despite these limitations, small nonprofits can implement impactful strategies without relying on high-effort events or expensive campaigns. With the right approach, your organization can raise more without necessarily doing more.
In this guide, we’ll discuss actionable fundraising tactics tailored for small nonprofit teams. You'll discover resourceful ways to engage donors, prioritize efforts and stay focused on what truly drives results.
1. Focus your strategy on core campaigns.
When you have limited bandwidth, you might not be able to run several fundraising initiatives simultaneously like larger organizations can. Instead, hone in on your most important fundraising priorities.
To set your priorities, leverage these tips:
- Start with strategic planning. Strategic planning is the process of aligning your goals with your values so you can set clear intentions across your initiatives, including fundraising campaigns. Aly Sterling Philanthropy’s nonprofit strategic planning guide recommends following the “Assess, Align, Act” framework, in which you work with a consultant to assess your organization’s current state, align your team on top priorities and develop an action plan.
- Eliminate unnecessary initiatives. Don’t feel obligated to mimic larger organizations’ fundraising calendars. Evaluate your typical fundraising activities, and concentrate on one or two campaigns per year that are deeply aligned with your mission and capacity to avoid stretching resources too thin.
- Conduct donor surveys. While stakeholder surveys are part of the strategic planning process, you can also collect feedback from donors at regular intervals to understand what motivates them to give and what types of campaigns they are most interested in participating in. Surveys also provide insights into communication preferences, which can inform your outreach strategy, improve retention and ensure you recognize donors appropriately.
Once you’ve determined which major campaigns you’ll run, diversify the channels you use to promote and support those initiatives to expand your reach and ensure success. Leverage email, direct mail, social media and your website to spread the word and deliver consistent messaging. Repeated exposure across channels reinforces your appeal and drives engagement.
2. Build deep donor relationships instead of broad outreach.
Small nonprofits can often achieve better results by deepening relationships with existing supporters rather than chasing new contacts. Major donors, long-term funders and board members all present opportunities for meaningful engagement.
Build stronger relationships with those who have already shown their support by:
- Making phone calls. Personalized calls from leadership go a long way by adding a human touch that other messages can’t replicate. Try to incorporate donor calls into your nonprofit’s routine by making a goal to call a certain number of donors per week. Remember to adhere to donors’ communication preferences and avoid calling donors who would rather not be contacted via phone.
- Segmenting your communications. Segmentation involves grouping donors with similar characteristics so you can deliver more relevant, personalized messages. For instance, send first-time donors an email that lists additional ways they can get involved, and send recurring donors updates on new programming their funding supports. Nonprofits also commonly create segments based on gift size and engagement history.
- Prioritizing stewardship. Thank donors promptly and creatively. For example, a handwritten note, a video message or a spot on your donor wall can leave a lasting impression. Emphasize how donors’ gifts will make a difference for your cause with impact statements like, “Thanks to your generous donation, we will be able to help 15 additional animals in need this month!”
Empower staunch supporters to further your mission with social media templates and brand guidelines they can use to spread the word to family and friends. When you create these deep bonds, donors will be willing to advocate for your cause and help you in ways that go beyond merely donating.
3. Say no to events and peer-to-peer campaigns.
While popular, fundraising events and peer-to-peer campaigns are often labor-intensive and inefficient for small teams. Instead, focus on scalable methods that allow you to grow revenue without straining resources.
Explore these alternatives to events and peer-to-peer campaigns:
- Online fundraising campaigns. Online campaigns require less logistical coordination and allow you to reach a larger audience. Use fundraising software to organize and manage your campaign, and leverage email and social media to promote it. Bloomerang’s donation page guide recommends further simplifying the online donation process by offering suggested giving amounts, providing multiple payment options and eliminating distractions like pop-up messages or excessive form fields.
- Recurring giving programs. When donors commit to giving to your organization regularly, you can build a sustainable and reliable revenue source. Explain how recurring gifts allow your nonprofit greater flexibility and increase donors’ impact. Offer incentives, such as free branded merchandise, insider updates and social media shoutouts, to encourage participation.
- In-kind donation drives. In-kind donations are often an untapped revenue stream that allows you to obtain physical resources or services for your nonprofit at a free or discounted rate. For example, you may collect and package school supplies for low-income students. That way, your organization can save on program costs and reallocate the leftover funds to other areas.
Not only do these fundraising initiatives allow small nonprofits to earn more with less, but they also offer more engaging opportunities for supporters that make it easy to get involved. For example, instead of reaching back into their wallets, donors can easily participate in a soup kitchen food drive by contributing canned goods they already have at home.
4. Tap into outside expertise strategically.
If your internal resources are limited, consider bringing in an experienced fundraising consultant who understands how to help small nonprofits build smart, sustainable strategies. The right advisor can help you:
- Conduct a feasibility study to prepare for a major campaign. They’ll ensure your goals are realistic and set you up for success. If your campaign plan needs some work before getting started, they’ll help you adjust it accordingly.
- Set realistic fundraising benchmarks based on your organization’s capacity. Consultants can determine appropriate short-term and long-term fundraising goals and guide you in tracking progress. They’ll assess your nonprofit’s background and previous campaigns to create objectives that are realistic yet fuel growth.
- Align your fundraising tactics with your strategic plan. A consultant can offer an unbiased outside perspective, help determine your priorities and craft messaging that resonates with donors. They may also suggest adopting certain tools to streamline your operations, such as a donor database, fundraising platform or email marketing software.
When seeking a fundraising consultant, ask about the types of organizations they typically work with. Explore whether they’ve worked with smaller nonprofits like yours, and ask them about their approach to ensure they’re the right fit for your team.
Being a small nonprofit doesn’t mean thinking small. With focused campaigns, strong donor relationships and strategic support, your organization can craft a powerful fundraising strategy that makes the most of every dollar and every hour.