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Fundraising Fundamentals – Unlocking Success in 2024

Small organisations play a vital role in building a fairer, more peaceful, and equitable world where every young person can reach their full creative potential. Delivering this critical work hinges on an organisation's capacity to secure ongoing funding – which, in today’s climate, feels more elusive than ever. Here, we explore some key steps to unlocking your organisation's fundraising potential as we navigate through difficult times.

 

A culture that inspires and influences

Not all organisations are able to pay for a dedicated fundraiser. Even where there is one, you can increase your fundraising capacity by embedding it across all roles within the organisation. From Trustee, to CEO, to volunteer – everyone can unite towards a common goal and foster an organisational culture of fundraising, on the look-out for potential opportunities. 

Dedicate space as a team to get creative and map out what parts of everybody’s everyday life could lead to a potential fundraising opportunity and support each other to maximise this potential. Encourage your team members to join a local civil society community or network, which will create a dedicated space for sharing and learning from others in the sector, many of whom are facing the same challenges – fostering a sense of collaboration over competition. 

Some people might benefit from fundraising training. If cost is an issue, there are vast amounts of open source and freely available resources available online – not just in written reports, but in recorded webinars and interactive courses that everyone can access individually, especially if the time for this is built into the working week. Youth Music’s fundraising resource hub could be a good place to find these.

It's also a great idea to appoint a fundraising lead on the board of Trustees, perhaps someone with the relevant skills and experience to apply this lens across the organisation, hold the team accountable and drive forward fundraising at every level. In summary:

  • Make the most of free online resources.
  • Spend time as a team mapping out opportunities.
  • Join a network or community.
  • Appoint a fundraising Trustee.

 

Emerging Trends in 2024

In today’s multiple and interconnected crises, charitable giving can become a ‘nice to have’ as people face diminishing monthly budgets. Small organisations need to think creatively about how to harness the power of technology to make giving simple, easy, and care-free. Cash is an increasingly redundant currency, so in 2024, use QR codes, contactless and scan-to-give technologies to capture donations from individuals and at fundraising events. Do not underestimate the power of an embedded Customer Relationship Management (CRM) database that will connect data with your relationships to identify your donors and potential supporters.

And who isn’t talking about the explosion of AI?! When used thoughtfully, small charities can leverage AI technologies to reach donors at scale and in more effective ways through creative campaign development, the personalisation of donor journeys, speedy data analysis, and enhancing, whilst automating the overall donor experience. 

Whilst we’re talking digital, one of the biggest international fundraising growth areas in recent years has been crypto donations. The establishment of platforms such as The Giving Block make it easier for smaller charities to tap into this new area – however, its newness makes it a complex area, so engaging in it needs the full support and understanding of the board. In summary:

  • Explore the latest cash-free giving technologies.
  • Embed your CRM system and use it to its full potential.
  • Get to grips with AI and new ways of digital giving.

 

Diversify income generation approaches – but be strategic about it

If you’re reliant on one type of fundraising as your main income source (e.g. Trusts and Foundations), then it’s time to diversify. If you’re building a fundraising strategy on limited resources, you’ll probably need to prioritise your fundraising activities - as you can’t do everything. Consider whether other forms of fundraising work best for you, and the added value they might bring.

Crowdfunding has exploded in recent years (annual giving on the Crowdfunder platform alone rose from £16 million in 2019 to £118 million in 2020). Whilst it does require time and ongoing investment to set up and run a campaign, it can bring a lot of added value. Not least in improving your external communications and brand awareness. Added to that, some platforms have matched funding to top up your crowdfunded donations.

If you want to purchase an asset, then social investment might be something to consider.  Social investment is repayable finance. Sometimes it works as part grant, part loan. It often comes with interest attached (but often unsecured), and different investors have different eligibility criteria. Often, the process to gain social investment involves advice and guidance from the investor, which can act as valuable business development support. If you want to learn more, head to the Good Finance website for a comprehensive overview of all things social investment. In summary:

  • Diversify fundraising approaches.
  • Work out which approaches bring you the most added value.

 

Get to the heart of your story……

If you have been relying on limited funding streams for some time, getting back out there and raising funds from different sources can be daunting. It’s essential here to get the basics right, the ‘bread and butter’ of fundraising.  The rest will flow from there.

At the heart of nearly all fundraising is storytelling – the challenge of synthesising the complexities and nuances of your work in a way that captures your audiences' imagination. Small charities are often so focused on doing the work that they rarely take the time to step back and reflect on everything they have accomplished. Doing so is critical in being able to establish an emotional connection with a potential donor so that they choose you to stand behind. 

How do we tell our stories? Behind every good fundraising campaign or ask is a clear, concise, and up-to-date website, exciting and engaging social media, and easily accessible impactful stories. The young people you work with are the best advocates for your work, so support them to share their own realities and seek their input in refreshing your brand and ensuring your messaging is relevant and appropriate for today's world.  

Finally, let's talk about the budget. No one should be scared of talking about the numbers, and it’s not just the business of the Trustees and CEO. A strong strategy and a clear business plan must underpin fundraising efforts and at every level of your small organisation, team members should be able to talk with confidence about the financial health, history, and vision of the work.  Every fundraising opportunity begins with a relationship, and it’s important to know what level and type of funding is required to get you where you need to be. 

  • Perfect the art of storytelling.
  • Ensure your website, social media, and brand are a current reflection of your organisation.
  • Engage the young people you work with and provide opportunities for them to tell their own stories.
  • Don’t fear the numbers!

 

Some parting wisdom

  • Perfect the ask – and don’t be afraid! All too often, we dance around the matter at hand because it can feel ‘socially unacceptable’ to talk about money. This thinking reinforces the power imbalance between ‘funders and funded’. Find your voice - be confident, be clear and be direct! 
  • Say thank you… and make it personal. We all love to be acknowledged and taking the time to thank a donor, be they an individual or a foundation, creates that warm fuzzy feeling that makes them more likely to give again.
  • Uplift, uplift, uplift! If you have dedicated supporters, share with them the challenges you are facing and see if there is anything else they can do to support you. Even a tiny increase in regular donations, at scale, can be transformative.
  • Recognise and celebrate success – whether big or small. Positive reinforcement helps to build morale and encourages dedication towards fundraising goals.

And finally … PLEASE make sure you have the right support in place! As well as peer networks, your staff, and your board, professional consultants can support you in your fundraising journey. Professional fundraising support doesn’t have to be unaffordable – for example, The Fair Collective specialises in providing affordable, reliable support with rates based on income size.

In a tough economic climate, fundraising can be a lonely and disheartening game. Make sure you have the right professional support network in place. Whether its Trustees, Directors, Consultants or Peer Networks – having the right help around you will build resilience and foster new insight. Most importantly, it will help you to know that you’re not in this alone.

Want to know more?

We’ve recently overhauled and updated our Finance and fundraising hub, a collective of the most useful resources to support you with your financial next steps – whether that’s refreshing the basics of record keeping, developing your business plan, or diversifying your fundraising.