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Foundation Funding: Effective Strategies for Nonprofit and Foundation Fundraisin

Explore proven strategies for foundation fundraising and nonprofit fundraising. Learn how to secure foundation funding to support your organization's mission and enhance its impact.

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Foundation Funding: Effective Strategies for Nonprofit and Foundation Fundraisin

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  1. FOUNDATIONS – SHOULD THEY BE PART OF YOUR FUNDRAISING STRATEGY? IN THE COURSE OF SPEAKING WITH ALMOST 20,000 NON-PROFITS EACH MONTH ABOUT THEIR NONPROFIT FUNDRAISING NEEDS AND PLANS, WE SOMETIMES HEAR THAT “FOUNDATION FUNDING IS NOT PART OF OUR FOCUS”. WWW.FOUNDATIONSEARCH.COM

  2. CONTENT GROWTH 01 02 STABLE GIVING 03 PREDICTABLE GIVING 04 LOW RISK / LOW COST 05 LOW EFFORT 06 INCREASED CREDIBILITY FOR YOU AND YOUR ORGANIZATION 07 DIVERSIFICATION OF FUNDING SOURCES

  3. GROWTH – the most recent GIVING USA report from Indiana University indicates that foundation funding was the fastest growing giving source in 2015, growing at a rate of 6.5%, compared to 3.8% for giving by individual donors.

  4. STABLE GIVING – Foundations must make charitable grants – in good times and bad – of at least 5% of their assets, averaged over five years. Importantly, foundations frequently INCREASE their donations in challenging times to attempt to compensate for the financial difficulties their recipients may face.

  5. PREDICTABLE GIVING – Foundations exist to donate to charity (unlike individuals and corporations) and often publish giving guidelines relating to geographic and philanthropic areas of giving interest – furthermore, analysis of giving through time indicates that most foundations maintain a strong, consistent focus in the areas they support.

  6. LOW RISK / LOW COST – unlike high, upfront expenditure fundraising campaign efforts like golf tournaments and galas, foundation fundraising requires very little upfront investment, typically $5,000-$10,000, and with the average foundation grant amount of $66,300, it provides a cost efficient method of fundraising – all that is required to start is a foundation online database which identifies good funding prospects, a good letter, and stamps and envelopes.

  7. LOW EFFORT – relative to almost any other form of fundraising, approaching foundations requires fewer resources to succeed. This is particularly true of the upfront work in sorting through the over 120,000 US foundations to identify a list of “best prospects” for your project, a task that a few years ago could consume months of effort.

  8. INCREASED CREDIBILITY FOR YOU AND YOUR ORGANIZATION – well, once you get funded by a foundation that is. When Metasoft was a small, three person software start-up, we had only one customer – but that customer was Microsoft, and that client said good things about our software and people and opened the doors of more than one hundred other large high tech companies who became customers of our graphics and imaging technology.

  9. DIVERSIFICATION OF FUNDING SOURCES – financial advisors will strongly advise you not to put your life savings into a single stock or sector; for the same reason, having a variety of funding sources—including foundation funding—will strengthen your organization and protect it from the sharp downturns every economy periodically experiences.

  10. THANK'S FOR WATCHING

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