Sources of Funds
A Non-Profit Organization can’t run its operations without sustainable sources of funds. Below are some sources of funds that will help us to smoothly run the operations of the organization and achieve the short-term and long-term objectives of The Art of Charity.
Individuals
Individuals gave more than $286 billion in 2017, according to Charity Navigator, making them one of the best charity funding sources. For this reason, it’s wise to focus on individual donors and make them a central focus of our strategy. There are many ways to raise money for charity through the support of individuals, including social media, peer-to-peer fundraisers, direct mail, advertising, charity events, merchandise, affiliate links, and more.
Sustainable Funding
One of the major sources of funds for a non-profit organization is to arrange different seminars and concerts to make people aware of the cause of the entity. One of the biggest advantages of seminars is that people get confidence by having a face-to-face interaction with a representative of the organization, which encourages them to participate in a good cause. Further the organization will generate revenue from “Value for Money Events” such as charitable dinners and garage sales, T shirt sales, bake sales etc.
Charity Crowdfunding Sites
Crowdfunding has become one of the most popular alternative sources of funds for non-profits and one of the best ways to reach supporters from across the globe. It can easily dovetail with our social media campaigns and simplify online giving for our donors.
Crowdfunding platforms make it easy for both individuals and charities to raise funds for specific needs and keep supporters engaged. For example, when you post updates on your fundraising page, supporters can read about how their donations have made a real difference. This type of communication loop can help supporters feel appreciated and even increase donor retention. Following are the example of crowdfunding websites that help organizations to meet their target funding requirements.
- GoFundMe Charity
- Salsa
- Classy
Foundations
According to Charity Navigator, this is the second-largest source of funding for the non-profit organization after individual donations. Foundations often focus on giving charity to those organizations that are registered.
Different types of foundations donate funding to a non-profit organization.
Family foundations are legal entities set up by an individual, family, or another group for a specific purpose, usually philanthropy. The Bill and Melinda Gates Foundation is one example, though most family foundations are small and focused on a single issue or particular location.
Corporate foundations get grantmaking funds primarily through contributions from for-profit businesses. These foundations are often the charity wing of a corporation. Examples include the Walmart Foundation and the Ford Motor Company Fund
Community foundations have permanent funds or endowments established by many donors for the long-term benefit of residents in a specific area. Examples of community foundations include The Cleveland Foundation and The New York Community Trust.
The following sites can help you review any foundation’s status:
The Foundation Center’s Foundation Directory Online (FDO) Free helps you find a foundation’s website, contact info, and application forms. Different types of foundations donate funding to a non-profit organization.
Corporate Sponsorships
Corporate social responsibility has become increasingly important to large and small businesses alike. Consumers are trusting socially responsible companies more and rewarding them with their money.
How corporate social responsibility can benefit charities:
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Some businesses look for nonprofits to partner with and support. They may wish to fund specific initiatives, events, or fundraisers.
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Businesses might offer matching donations as part of our fundraising campaign.
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Businesses can make in-kind donations instead of monetary donations.
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Businesses can provide free publicity to our nonprofit when they announce and promote our partnership, helping boost funds and awareness.
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Businesses may provide volunteer grant programs that enable employees and others to more easily volunteer for your organization.
Volunteers
According to the Corporation for National and Community Service, 30.03% of US adults volunteered with an organization in 2018, contributing an estimated 6.9 billion hours to the public good. The monetary value of all those hours is approximately $167 billion.
So, while volunteers’ time isn’t technically a source of funds, our organization might want to view it as one. Boosting the number of hours volunteered to The Art of Charity will be a valuable win for us.