Sources of Funding
After an organization has a well-defined mission, a proper legal structure, specific programs and budgets, and a good ethical and legal structure, it is prepared to ask for money. Why are people going to give your organization money to do what it does? Because it is their passion. They are believers. In the fundraising world, your best source for money and resources are people who think like you do, who believe like you believe—individual donors and foundations.
Governments and corporations are another story. Governments are not compassionate. Governments do not believe things like people do. People in government can be very compassionate, but governments are political and make political decisions. Corporations, on the other hand, are driven by dollars. Corporations can say wonderful things, “your organization is doing great work,” but generally unless it means something to their bottom line, there is little point in asking them. Most people think that the Coca-Cola Foundation is a wonderful, international organization that does good. And it does good. But they get something in return for doing good in a country, such as exposure.
A lot of how you ask for money depends on whom you are asking. Donors who are business oriented—a business corporation, a business owner—generally are thinking in terms of the bottom line: profits. If I am a philanthropist, however, I do not care what the bottom line is. I want to do good. How you phrase what you do and why you do it will be different according to the audience. Corporations are business minded. Governments need a political reason for giving. You cannot ignore that. If it is a United States government program, then they will publish exactly what they are doing and why they are doing it, and instructions for applying. They have you execute the government’s vision.
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Main sources of money
The following are some of the main categories of sources of money.
