7 Ways to Leverage DAFs for Passive Fundraising

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August 17, 2023 | 4 min read By:

Fundraising can be a rewarding experience, especially when achieving yearly goals and milestones. Fundraisers can make the most of their efforts by developing a well-rounded approach to fundraising with diverse fundraising sources, including passive fundraising, annual events, campaigns, and ongoing initiatives. Using a multi-prong approach to fill the gaps between events and major gifting seasons, fundraisers can leverage donor-advised funds (DAFs) to be better equipped for successful passive fundraising campaigns.

Here are seven ways to leverage DAFs for passive fundraising:

  • Engage with Companies
    Many companies offer donation match programs to their employees. Within these programs, employees select a nonprofit to allocate a portion of their paycheck to and the company will often match that donation, essentially doubling the donation. To help encourage workplace giving and ongoing donations, establish relationships with companies in your area and create volunteer events specifically for them. These relationships and experiences you offer employees can help kickstart passive fundraising initiatives. During these volunteer events, showcase your work in the community, the impact volunteers have, the work left to do, and the importance of monetary support in achieving your mission. When volunteers experience the impact of your work first-hand and see how their money can advance your organization’s mission, they are more likely to want to continue supporting you.
  • Update Profiles
    Having a strong presence on giving sites, such as NPOconnect by Blackbaud, help potential donors, including employees involved in workplace giving programs, search and find credible nonprofits to support. Ensure that your nonprofit is on these sites with a built-out profile to allow potential donors to learn more about your organization, mission, and vision, the progress you’ve made, and the work left to do. Keeping these profile sites up to date, employing storytelling, and showcasing statistics can help encourage donors to select to support your nonprofit throughout the year.
  • Build Relationships with Donor-Advised Fund Sponsors
    To help encourage ongoing support, establish relationships with donor-advised fund-sponsoring organizations in your area, such as community foundations. These organizations advise donors where to donate funds, which makes them important relationships to build and maintain. Sharing your progress, keeping them up to date, and showcasing how you utilize donor-advised fund grants to achieve your mission can help the sponsors better understand your work and encourage donors to continue donating. This ongoing communication can encourage continual support from valuable donors. Often, these sponsoring organizations have a list of nonprofits to recommend to donors, so working with these organizations to ensure you’re included can go a long way in securing long-term passive fundraising.
  • Evaluate Data
    Regularly assessing data in your CRM to determine which donors use DAFs in their giving can help inform your outreach strategies. Evaluating how each donor in your CRM gives, what method they used, how frequently they donated, etc., can help you develop targeted, impactful outreach to encourage ongoing support. Employing targeted communication based on donor trends and preferences can help fundraisers increase efficiency in their outreach, build relationships, and enhance ongoing giving initiatives.
  • Establish Efficient Systems
    Ensure your nonprofit is equipped to receive donations from workplace giving initiatives and other donation platforms. Some organizations require nonprofits to agree to certain terms to receive funds, so taking the time to understand these situations and implementing processes so you can receive funds from donor-advised funds is important. Ensure you have everything in place so no money is left on the table. 
  • Ensure Accuracy
    When a donation is disbursed from a DAF to a nonprofit, the DAF may need to contact you via email, phone, or your physical mailing address. Take the time to ensure all contact information is accurate on your website, partner sites, donation sites, social media, external communications, etc., so when a potential donor contacts you to organize fund transfers, they can reach you.
  • Thank Donors
    You already know to thank your donors, but make sure you continue to highlight the value their money provides to your mission and the importance of ongoing donations. Keeping donors informed about what’s happening within your organization and how their money is working to achieve your mission will help the donor understand how their money is being used and the importance of continuing to donate to your nonprofit. 

Passive fundraising is a powerful tool in a fundraiser’s strategy. These tactics may take time and dedication but are well worth the effort to help sustain your organization between major initiatives and giving seasons. 

To learn more about The Blackbaud Giving Fund, visit blackbaudgivingfund.org, or follow the organization on LinkedIn, Facebook, and Instagram for updates, news, and more. 

For more information about NPOconnect or to sign up, visit https://nonprofit.yourcause.com/login/create-account.