Annual campaigns and grassroots fundraising remain important for non-profits, but relationships with major donors can create opportunities that smaller gifts alone may not support. For many organizations, the key is understanding what motivates these donors, how they make charitable decisions, and how your mission can become one of the causes they choose to support.
Today’s Major Donors
Many high-net-worth individuals approach charitable giving strategically rather than reactively. This means they often work alongside financial advisors, estate planning attorneys, tax professionals, and family members to determine where their charitable dollars will have the greatest impact. Because giving decisions are frequently made well before donors make gifts, non-profits that build relationships with advisors can gain valuable visibility.
Today’s major philanthropists come from a wide range of backgrounds. Although many have built successful businesses or enjoyed long corporate careers, an increasing number are younger entrepreneurs, executives, and investors. In addition, research from the Indiana University Lilly Family School of Philanthropy indicates that women play an important role in charitable giving and are poised to control a large share of future wealth transfers.
Educational institutions, health care foundations, and fine arts associations attract significant charitable support. But donors increasingly seek organizations that can clearly demonstrate measurable outcomes and lasting community impact. Rather than simply writing checks, many major donors want to understand how their gifts will be used and what difference those gifts can make.
Relationships That Matter
How should your non-profit go about building relationships with donors’ advisors? Customize your outreach to estate planners, family offices, private foundations, and sponsors of donor-advised funds (DAFs). Provide them with financially sophisticated materials and deploy your charity’s most knowledgeable staff members to meet with them.
DAFs have experienced significant growth as charitable giving vehicles in the United States, and recent reports show record levels of grantmaking to non-profits. Your non-profit should make it easy for donors and their advisors to recommend grants to your organization by including DAF giving information in fundraising materials, on donation pages, and throughout planned giving communications.
If you know the identities of DAF donors or other major supporters, look for opportunities to engage with them beyond a financial transaction. Many philanthropists value personal connections with the organizations they support. Consider inviting them to tour your facilities, meet your leadership team, attend mission-focused events, or observe your programs in action. Demonstrating strong financial stewardship and measurable impact can be just as important as making the initial ask.
Invest In The Long Term
Cultivating relationships with affluent philanthropists begins long before you solicit their contributions. Contact us to learn how strong financial management and reporting can enhance your credibility with major donors and help support your long-term fundraising success.
