11 Fundraising Strategies During Crisis Response

Nonprofits throughout the country are reeling from constant cuts coming out of the federal government. While the media is talking a lot about large nonprofits like hospital systems and universities that are being targeted, we know that small and medium sized nonprofits will take a large hit, as the amount of money they receive from federal and state grants may be less, but the percentage of their overall budget that government funding represents for them is often much higher. On average small and medium sized nonprofits receive between 20% and 40% of their annual operating budgets from federal and state sources.

What’s happening right now in Washington DC and then in state capitals around our country feels overwhelming and exhausting. I sit in so many meetings in which people openly wonder out loud, “don’t they care about people?” But I was recently reminded that it is in times of crisis that the greatest opportunities for ingenuity, innovation and collaboration exist. And so, while it may feel like a time to duck and cover, now is actually the time to build and innovate, especially with your fundraising.

Just 5 years ago we faced COVID-19 as a community of nonprofits. We built and found solutions in the most harrowing of circumstances and, yes, it shifted our landscape, but it didn’t destroy it. In fact, in many cases, nonprofits found funding to introduce new programs and services that were much needed.

It seems painful that just 5 years later, we are facing another crisis, but this time, we are doing it with experience and expertise in crisis-management in our toolbox.

So at this moment, we challenge ourselves to build a sustainability plan for our fundraising and development efforts. Here are 12 tips to do right now.

1. Pause and take stock

Now is the time to build scenario budgets with your development team. So often we argue that we should not chase the money, but rather our program and service departments should determine what we need. In a moment like this, we need to listen to our development department to take the lead on what is fundable and then challenge our programming departments to think about how we can reconfigure our services within those confines. Read more here.

2. Double down on Development

Believe it or not, now is the time to invest more in fundraising and development. If you are making cuts to your budget, do not cut your development and fundraising departments. That may feel disheartening as it may mean deeper cuts to programs and services, but these investments are necessary to sustaining your work in the long run. Be creative in how you invest in development. Investing in a consultant who can build your prospect lists and make some introductions for you may be invaluable. If you can’t afford a full-time staff person to lead prospecting and relationship building, fractional support like this on a short-term basis can be vital to your success.  Think about what you really need and will give you the return on investment and then invest! Read more here.

3. Avoid over-reliance on a single source

The most effective way to mitigate the impact of reduced government support is to diversify funding streams. Relying on a mix of revenue sources—individual donors, corporate sponsorships, foundation grants, earned income, and events—can foster financial stability. Now is the time to evaluate what it means to diversify your funding. This does not just mean distributing your income between these revenue sources; it also means not being reliant on any one particular funder within those sources. For example, if your individual donor base represents 25% of your revenue, but that donor base is based on only a handful of major donors, you are not safely diversifying your funds. You must further diversify within that particular source. Read more here.

4. Be transparent

Be open and up front with your funders, but also be optimistic and confident. Yes, you may have lost a large portion of your funding, but remember funders are investors. And any investor wants to know that businesses they have put their money into are sustainable. That means they want to know how you are sustaining your work, even if it means you are having to cut some of what you do to ensure long-term viability. Reassure them with the facts. Let them know what is being cut and why, but also let them know what you have done to be resilient during this time. Funders want to invest in resilient organizations that will survive this status quo, even if you aren’t thriving at the moment. Share data and metrics that demonstrate effectiveness and good stewardship of donor funds. Send the right communications to the right funders. A check-in email may be meaningful to one. Another may value annual reports, financial statements, and program evaluations. The key is to build trust with supporters. Read more here.

5. Be visible now.

Make sure you are investing in constant marketing and communications that highlight your work. Potential funders are on their social media and having dinner with your board members. Make sure that they can see and hear about your work. Check out all our free marketing and communications resources we built here. 

6. Evaluate all of your fundraising and development efforts

Determine what is most profitable. How much does that gala cost when you take into account the staff time? How much do you make on small grants that are time-intensive to write? Conduct thoughtful cost-benefit analysis on your fundraising efforts. Tradition should not dictate your strategy. Innovation should. Read more here.

7. Strengthen your case for support

Strengthen your case for support with compelling narratives through story-telling and impact reporting. In an era of heightened competition for every dollar, it is critical to communicate why your mission matters—now more than ever. Develop a strong case for support that clearly articulates the problem, your solution, and the tangible outcomes of your work. Read more here.

8. Embrace old data

Now is the time to be able to go back and research lapsed donors and funders. Were you off-cycle for a grant and did it fall off your radar? Did a long-time funder stop giving? Your CRM will have that information. Don’t have a CRM? That is ok; read tip 9. And go back to old excel spreadsheets, budgets, and board reports. Dig into the past data and find those funders again. Read more here.

9. Build your development database

If you don’t have a CRM, now is the time to build one even if you can’t afford to invest in one. Consolidate your lists into one that can be searched and sorted. There are inexpensive tools. This is a great intern project or fractional work project. Have staff that will no longer be able to provide services you have cut? Consider reassigning them to this and provide them with training and a new opportunity to learn, even if it only buys them a short reprieve to unemployment it also gives them a new skill on their resume. Use donor databases and analytics tools to segment your audience, personalize outreach, and track engagement and giving patterns. Read more here.

10. Mobilize support beyond financial contributions

In times of constrained resources, community engagement is more important than ever. Volunteers, advocates, and ambassadors can amplify your message, extend your reach, and even contribute financially. Cultivate a vibrant volunteer network and provide meaningful opportunities for involvement and connect this to your corporate giving program, so that you can help corporate partners create volunteer experiences for their employees. Seek out partners who can offer pro-bono services such as advocacy, legal advice, marketing, or IT support. And work with your board members to become your ambassadors, leveraging their networks. Review their Linked In networks and do wealth screenings on them. Then give them a list of targets they know who have the capacity and interest to give. Be direct and clear, and offer them support. Read more here.

11. Advocate as a part of your fundraising strategy

Now is the time for advocacy and relationship building with elected officials to create broad-based support for your mission. While government funding may be limited, advocacy can help build public will and influence policy. Provide elected officials the opportunity to showcase their support for your work publicly and use media, public events, and digital platforms to educate the public about various issues and how your mission relates. Utilize story-telling to create human-centered stories that illustrate the real-world impact of your programs. Visual content—photos, videos, infographics—can drive emotional connection and engagement. Read more here.

While this moment may feel uncertain, it’s also a call to action. We’ve been here before—and we made it through not by shrinking, but by showing up boldly, creatively, and collaboratively. These fundraising strategies aren’t just survival tactics; they’re opportunities to reimagine what’s possible for your organization. 

The work you do matters deeply, and your community, your funders, and your partners are looking to you for leadership. So take a breath, gather your team, and begin again—with intention, with resilience, and with the knowledge that you’re not alone in this.