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How To Get Your NPO Off The Ground

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A guest post by Elena Stewart

Every year, countless people decide they want to start a nonprofit as a way to bring positive change to their community. However, not everyone pushes through with their good intentions. Looking for insight on getting started? You’ve come to the right place!

It Starts With Research

Your very first step is to determine how your nonprofit idea can benefit your community. Do the research first, and the rest of the process will fall into place. The National Council of Nonprofits suggests going about it by identifying supply and demand like you would if starting a for-profit business.

Next, identify your target demographic. This will guide your content and help you choose which tools to decide when promoting your organization.

You will also want to look into the best business structure. As a nonprofit organization (NPO), you have options. You might operate as a sole proprietorship or, in some cases, an LLC. If you choose the latter, pay close attention to the legalities, and know that your nonprofit must register as a 501(c)(3). Any assets collected must also be earmarked for charitable donation should your LLC dissolve.

Foundation Building for Your New Nonprofit

Now that you have defined your objectives and have handled legal matters, it’s time to build a solid foundation. A successful nonprofit will consist of many people, including board members and volunteers. You can even have paid employees, although Patriot Software cautions you to pay close attention to your pay structure. NPO employees can’t be paid a commission based on the money they raise.

If you haven’t yet, write a business plan for your nonprofit and share this information with your staff and volunteers. You will also need to file as a tax-exempt organization and, ideally, appoint one person to handle your tax filings. This individual’s work should be double-checked for accuracy and omissions before being submitted.

Fundraising

Fundraising is the backbone of most charitable organizations. Although your plan is not to profit from your efforts, it takes money to do good.

One approach is event fundraising. Decide the types of events that you’d like to host. This could be anything from selling logo clothing to partnering with local restaurants for a “spirit night.” You can also get your community involved by issuing challenges where teams pay a fee to compete in activities, such as community cleanup or stocking food pantries.

Keep in mind here that, depending on the type of event you have planned, you may be required to obtain a special license or permit, particularly if you plan to serve alcohol or host a raffle drawing as part of your fundraising campaign.

NPO volunteer

Ongoing Accountability

As the head of a fundraising NPO, you’re also expected to provide annual reports to the government, as well as your Board of Directors each year. Make sure that you keep up with all of your fundraising events, donations, and outreach efforts. Don’t forget about in-kind donations, which are those that do not involve cash but, instead, a donation of goods or services — often in exchange for visible recognition.

Keeping accurate records is paramount to the ongoing success of your nonprofit as it increases trustworthiness and can streamline the audit process if the IRS comes to call.

There are many other subtle nuances to launching a not-for-profit endeavor. It’s hard work, but the return is worth far more than a corporate job could ever offer. Good luck with your efforts, and know that the work you do today will have a lasting impact.

If you’re looking for a marketing partner for your NPO, Communicate! Consulting is the service for you. From demographic targeting to crafting content that matters, Dennis Fischman is your go-to expert. Call 617-501-6219 today.

About the author: Elena Stewart made the jump from a corporate job she wasn’t entirely happy with, to running her own business that gives her the financial freedom and flexible lifestyle she’s always wanted. As a life coach, she now gets the happiness of helping others get to the places that might seem out of reach.

Fundraising Tuesday: Let Donors Hear That They Matter

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We want to hear from youIs your nonprofit not getting the donations that you would like? The reason might be that you are not telling donors what they want to hear.

I’ll let you in on a secret: I read all the appeal letters you send to the Fischman household, and the great majority of them are focused on your nonprofit organization.

You bragged about what “we” accomplished. You told Rona and me about what “we” need.

And in each case, “we” meant the organization…not the Fischmans or any other donors.

This is an Opportunity!

The bad news is that by saying “we,” you are putting the donors on the outside and making them less likely to give. Donors don’t want to hear that you’re great without them. Why should they donate if you’re already doing so well?

The good news is that you can tell donors what they want to hear–which is that they matter.

Let Donors Hear the Difference They Make

Do donors really need to hear that they matter? Don’t just take it from me.

To create compelling stories for your nonprofit marketing, consider ways to make the audience the hero of the story. –Khaled Allen

Your donors don’t care about your campaign goal! -Tom Ahern

So what do donors care about?  They care about themselves.  Not in a selfish way, but in how they help your organization succeed.  They want to know what difference their support makes.  The impact their donation has on your ability to fulfill your mission. –Chad Barger

making heroes not exploiting

Three female superheroes on a t-shirt

Why do superheros keep on going? Because they know something bad will happen if they stop. Making your donors the superheroes for your organization helps them understand they need to keep helping your cause, keep fighting the bad guys, and keep making the world a better place. –Kivi Leroux Miller

How You Can Say “You Matter” so They Hear It

If you are using the word you more than the name of your agency, that’s a good first step. By itself, though, you won’t do the trick.

'We are a great agency, so you need to support us' is not making the donors feel they matter. Share on X

The key idea to express is “Because of you, the donor, this success story happens.” Draw a direct line between the donor’s decision to give and the lives saved, or the people helped, or the great work of art produced or performed.

It’s odd but true: the more you claim the credit, the less people feel inclined to give.

But please hear this: the more you step out of the way, the more you portray your organization as the donor’s tool for doing what they want done, the more likely your donors are to give. And to feel proud of themselves. And to give again.

TY Thursday: Thank Donors by Giving Them Something to Do Next

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first time donors

You have a new donor. Congratulations! But if you do nothing, chances are more than two out of three that they will never give to you again.

Renewal donations are even less likely if they didn’t give to you in the first place: they gave to their friend’s fundraising campaign. That donor has not gotten to know, like, and trust your organization.

Leave them alone, and they never will.

So, what can you do to win over that kind of donor? One thing that works, sometimes, is giving them the chance to get more involved right away–in the thank-you.

How the Innocence Project Thanked Me

The Innocence Project is an outstanding organization, but it hadn’t been on the list of groups that receive donations from my wife and me. Until this year. Then, a friend asked us to support the group to celebrate her birthday, and we did.

Here’s the thank-you email we received:

Dennis and Rona —

Thank you again for donating to the Innocence Project. Your contribution will go directly towards fighting to free innocent people, advocating for reforms that can identify, rectify and prevent wrongful convictions, and supporting exonerees as they rebuild their lives.

Last year, the Innocence Project’s policy team — in collaboration with the Innocence Network and other key partners — successfully won 21 major policy reforms in 17 states.

But there is so much more to do, and many more wrongfully convicted innocent people counting on us to do this work. Stay in touch and join our social community on Facebook, Twitter and Instagram too.

And if you want to read more, check out our special feature on our Netflix series “The Innocence Files.”

We’re so lucky to have you on this team. Stay in touch!

—The Innocence Project Team

P.S. One more way to say thank you: Take advantage of the “new donors” discount at our official online shop. Use code WELCOME at checkout for 15% off any order today.

What They Gave Me, What You Can Give Donors

First, the Innocence Project gave me something valuable without any further ado: they gave me reasons to believe I’d done the right thing.

But then, they invited me to “join our social community.” Note that wording! I’m not following them. I’m becoming part of a larger group. Now, of course that means I will hear more messages from the nonprofit, but it also means I will add like-minded people to my social media feed–new friends I probably could not have found by myself.

If I’m not the joining type, they’ve given me a series to watch, so I will feel more informed…and closer to the organization and its work. And if I’m a shopaholic, I can go check out their store!

Whether they gave for the first time on an impulse or simply to support their friend, first-time donors are more likely to become second-, third-, and multiple-time donors if they take an action that makes them feel closer to your organization. Which of these things could you give your new donors?

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