Tuesday, June 19, 2018
Articles

The Advantages of Crowdfunding For Non-Profits

Most non-profit organizations are seeking creative ways to improve their fundraising efforts. Encouraging people to donate is a daily challenge that’s difficult to find solutions for. Companies like Acendia focus on building solutions for non-profit organizations. They serve multiple purposes, including being an interactive app developer for aquariums. Professionals like these can help companies with their digital marketing efforts, to increase awareness, and enhance the likelihood people relate with the cause and donate. Alongside digital marketing, non-profits need to allocate funding for essential accounting services. Working with an enterprise solution like the billing and receivables module at SimpleInsure is a great idea, since this can help organize your finances, making it easier to establish where donations are coming from.

There are many methods for raising money, and one that’s emerged in recent times is crowdfunding. The concept involves raking in small donations from multiple sources, with the intention of reaching a specific goal. This motivates donors to give in support of a cause or movement they care about. Crowdfunding has gained popularity in recent years, especially considering how easy it is to implement, and the speed money is contributed. Another incentive is it requires less financial investment at the front end, meaning the total giving amount is maximized.

Connects Buyers and Sellers

Crowdfunding platforms connect people who do charitable work, with those who want to support their cause. Donors are given an opportunity to search for projects close to their heart. They can search by location or type of work done, and effectively track down charities they’re interested in. With a collective pooling infrastructure, the visibility of charities is increased for fundraising purposes.

Provides Confidence and Due Diligence For Donors

Regardless of whether people are making small donations, they’ll want to be sure the non-profit is using their money to make a difference. Crowdfunding platforms vet non-profits before they list on their site, so donors can rest assured their money is going to the right place. The reputation of project leaders is closely checked. Organizations are required to meet international guidelines, alongside a verification process to ensure everything is above board. If your company has a good reputation for making an impact in society, you’ll have no problems being accepted on a crowdfunding platform.

Provides Exposure and Support

Some crowdfunding platforms offer training on how to successfully promote projects, which is useful for beginners. The training can make a genuine difference, helping non-profits raise money for their initiatives. If you’re accessing online tools for the first time, platforms are positioned to help you expand your network. This supports and activates project organizations. Intermediaries bridge the information gap between potential donors and non-profits. They provide a marketing consultancy service, improve visibility, and give a seal of approval which instills confidence in donors.

Little Investment in Advertising Needed
Conventional fundraising efforts require investments in advertising. This can be counterproductive, especially when you’re spending money that could be donated to your cause. Crowdfunding is much more efficient because you don’t need to make a financial investment in marketing. You can use social media to share your mission, which can help your cause gain traction and awareness.

Bob Buskirk
the authorBob Buskirk
About 10 years of computer experience. Been messing around with electronics since I was 5, got into computers when I was in highschool, been modding them ever since then. Very interested in how things work and their design.
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