How would you feel if you had consistent funding planned for 24-36 months out?
Should Non Profits be worried about a Trump Administration?
Many Non-Profit leaders and board members are asking the question about the impact of another Trump Administration on the funding that is available through grants or other government sources. It really depends on where a majority of funding is coming from for your programs and where you are located. Those organizations receiving most of their funding from the states and other local sources will likely see little impact in the shorterm. Those in larger cities are also in typically Democratic strongholds and there will be little change in the funding directed by these governments. If you are located in a more rural area then you may see some difference in the state and federal allocations for certain programs, but this is not really expected to land until late in 2025 as much of the budget for the Federal government is already baked in not including the December 20th shutdown date. This occurring in a lame duck Congress will be an interesting matter. Any impact of the direction of the federal government may be offset by the philanthropic desire to contribute more and to provide more programming. It remains to be seen how this will impact many non profits across the country, but thinking through a short-term and long-term funding strategy that is sufficiently diversified is certainly a priority.
What is the future of non profit funding?
It is not news that costs have been increasing consistently as inflation has taken hold over the last year or longer. The costs of providing services has increased along with inflation, but this comes at a time when some are not donating as much as they might have in the past. The future could be better than it seems. There are three things to do now: 1) refine efficiencies through automation, 2) create community among your donors, and 3) focus on telling the story of your mission.
Efficiencies
Workflows, automations, and artificial intelligence can save time and money for your organization. Invest time to get someone in your organization focused at least part of their time on how to automate your activities in even small segments of the organization. Automation is not an all or nothing proposition. You can create automations that are small and save small bits of time and then grow from there as your organization learns to adapt. It is not a replacement of people. It is a way to redirect your people. This should be a message to the entire organizatioin as you seek ways for folks to help you undertand where automation could be most useful. It should be couched as a way to save time and accelerate impact and not to replace individuals. Choose the right platforms and use the right people for this tasks. Choosing at this step can be the most important part.
Your donors include customers/participants, family members, board members, and others in your community. You should be focused on how to make them feel a part of the organization. A donor is much more likely to sustain giving when they think of themselves as a part of the organization. An organization can begin telling your story to this crowd, but it is also about hosting events and opportunities for them to engage. It is important to think about how this can be done on a regular basis with some cadence. This will accomplish several things for your organization. It will allow them to keep you at the top of their mind, but it will also allow you to ask for more funds more times per year. Most donors are not one and done donors. The most important donors can contribute on a regular basis. Even small amounts on a regular basis can provide a great source of funding for your organization over the longterm. Some non profits and even larger ones are sustained with these types of donations.
Telling Your Story
It is difficult to concentrate on telling the story of the mission of your organization. It is important to take the time or have one person focus on this task. You will likely not to realize how much you have accomplished and your total impact over time because you are too close to it. The community needs to know what you are doing and the impact they can interpret from the stories you tell. This is the secret sauce to fundraising. Contributors need to feel like they are making a difference and the best way is to show them the parts they do not get to see. Tell them success stories, provide highlights, and put it all together at least quarterly so that they can see it on the whole.
Make sure to subscribe so that you do not miss the next Funding Talk…