I have been in the fundraising profession for 25 years, and the one constant is that the nonprofit climate is always changing. Among the biggest changes are how funds are raised to sustain programs and initiatives. Direct mail appeals to mailboxes are joined by a combination of print, electronic and social media. Special events as exclusively in-person gatherings are now often virtual, as is support through online auctions. Major and planned gifts are made possible with annuities, donor-advised funds, stocks and securities and cryptocurrency.

This year, nonprofits are faced with major funding uncertainties. Some nonprofits have been notified that their funds from state and federal sources have been reduced or eliminated. Other organizations question how the effects of the economy will impact their plans to deliver services or donors’ ability to support at the same level as the previous year. These challenges, although different, are not new in the cycle of ways nonprofits must constantly adjust to stay afloat. We saw it in 2001 after the dotcom collapse and 911 attacks, the housing bubble burst in 2008 and COVID-19 pandemic in 2020. When the economy suffers, our nonprofits’ revenue streams become uncertain. How is your nonprofit adjusting to the shift in revenue streams? Are you equipped to move into the next era of nonprofit fundraising?

Often nonprofits are so busy conducting their annual activities and business that they don’t take the time to evaluate to see if their fundraising plan still works for them.

A nonprofit development assessment, sometimes known as an audit, can help identify areas for improvement, develop stronger fundraising plans and ensure your organization is well-equipped to meet your financial goals.

Here are some questions that a development assessment can answer, helping you better structure your development program and diversify your funding streams into the future.

Who are your prospects and donors? Your donor portfolio and prospect profile has likely changed over the years. As donors mature and grow with your organization, have you adjusted their solicitation and stewardship plan? Has their interest in your organization shifted? Have you considered moving them beyond an annual donor prospect to a major gift possibility? A current wealth screen of your database can provide insight into your prospects’ interest and ability to contribute to your organization and help you tailor your gift asks and appeals to different segments of your database.

How are you reaching your intended audiences? Individuals may engage with you in different ways. Some may prefer printed materials to be sent in the mail such as newsletters and appeal letters. Others may prefer electronic communication such as an e-newsletter or links for appeals to support your organization online. Individuals may want to be involved with your organization through in-person interactions such as volunteer activities or special event participation. Another segment may respond best through social media — and if so, which platform is the most effective for you to reach your intended audiences?

How is your audience and donor base engaging with you? Look at your social media platforms. If you have few followers on Instagram and more on TikTok, consider focusing your energies on the one that reaches the most people. What is your return rate on appeals? Do you have many that respond by print mail or electronic requests? If one of those areas lags in performance over another consider adjusting your frequency and plan. Is your audience participating in your special events, or have you seen attendance decline? Is there a rise in giving through online options? If so, you may need to revise your engagement strategy or modify the participant experience.

Do you have policies and procedures in place to accept gifts of all types? Nonprofits should have the ability to easily and conveniently accept the types of gifts that your donors and prospects want to make. If a donor wants to make a gift using Venmo, are you set-up to accept their gift and if so, do you have internal procedures for tracking, recording and acknowledging those gifts? Does your organization have the ability to accept a gift of stock? Is there a brokerage firm in place to administer that gift?

A development assessment of your nonprofit gives you time to evaluate your fundraising program, implement efficiencies in operations and revise your strategy to sustain a potential decrease in funding sources until things turn around. If your nonprofit is looking to be more efficient with your fundraising operations and diversify your funding streams, Amperage Marketing + Fundraising can assist in conducting a development assessment. For more information contact our team at hello@amperagefundraising.com or check out our scope of services at https://amperagemarketing.com/fundraising

Author Melissa Pence, CFRE, is a fundraising adviser for Amperage Marketing + Fundraising. She has worked in fundraising and development in the nonprofit sector for 25 years.