What do donors look for when determining which organizations receive their money and which ones do not?

Written By Steps To Faculty Published July 26th, 2010

Now, in a lot of ways, this seems like a simple enough matter: people put their money into organizations that reflect the values in which they believe? However, besides the obvious, people have certain criteria in mind when deciding whether or not an organization is going to receive their hard-earned cash. In the next few paragraphs, we are going to highlight some of the things that people look for, above all else, when they are contemplating giving money to someone. These considerations should be paramount when you are going about the challenging task of setting up an organization that will attract the kinds of donors that you need and want as you press ahead with advancing your cause.

Step 1: Consideration 1 Does the organization receive government funding?

One of the dirty little secrets about donations and donors is that they like to give money to organizations that appear to have the backing of others; credibility is a big thing to donors in general and an organization that gets government funding is going to have an advantage from a credibility stand-point over an organization that cannot secure government funding or does not have it yet.

Step 2: Consideration 2 Does the charity or organization have an adequate business plan?

Success comes from having in place an organizational plan that simply works: you want to show any potential donors that you have a clear long-term goal and a definitive set of methods by which to achieve that goal; it is also important to have incremental bench-marks in place, too. Leave any donor thinking that this is a charity that runs itself like a corporation – because, after all, charities that are well-run are going to achieve many more of the objectives that donors seek.

Step 3: Consideration 3 Emphasize grants received

If the organization or charity has received grants from the state or from private investors in the past, that should be emphasized for the simple reason that grants are financial allocations which never have to be paid back – a clear indication that whoever handed over that money obviously felt that the organization’s goals were sufficiently important that a simple loan was not enough.

The bottom line is really this: when you want to attract donors, you have to impress upon them certain things. Those things are as follows: how well the government or state receives you; how organized you really are; and whether or not others believe in your cause sufficiently to hand over money with no strings attached. Emphasize these things, and success with donors will increase.


Roger Due

Investing in Your Destiny® & Coaching Program - Wealth Building Summit Dallas, Texas

My name is Roger Due and I am from Albuquerque, New Mexico and I am the owner of the Monsano software company. This has been an absolutely fantastic conference. This is the best I have ever been to.