Crowdfunding, a form of impact investing, is fast gaining in popularity in Australia as a way to raise funds for causes and NFPs. Individuals seem only too happy to invest their money into programs or charities with the intention of creating a measurable positive social impact.

NFPs are always looking for new and innovative ways to increase their fundraising options, and crowdfunding can fill the gap, reducing the reliance on government funding and grants. Crowdfunding is more than just a way for people to donate their cash. It is a platform for them to get behind a cause they believe in. And what’s more, crowdfunding campaigns, if handled well, have the chance to go viral as people share campaigns across popular social media apps.

It is not limited to one part of the NFP sector either. Whether you represent the arts, community development, health or sustainable agriculture, crowdfunding can benefit your non-profit organisation.

While NFPs are showing more interest in the subject, it can be difficult to know even where to start.

Choose your platform

Selecting a suitable platform is the first hurdle. Compare the options and see what is available. Should you opt for a smaller website such as StartSomeGood or go with a larger well-known system such as Kickstarter, as an example. It is important you do your research to see what is the best fit for your NFP.

Plan well

Remember you will need a bit of time to plan your campaign and a fixed period to let the campaign run to succession. Running a campaign for only two weeks will not gain as much interest as a campaign which is allowed to run for a full month. Don’t rush the process and undermine its effects before it has even had a chance to begin.

Understand how much money you need

Depending on the platform you decide upon, it is important to understand that a number of them cancel the project if the funds are not raised. Know how much you need as a minimum, and ensure you meet it to get the ball rolling on your project. Some money is better than no money at all, and you can always set up extra fundraising events to help you reach your goal further down the track.

Personalise it

Get to the heart of the matter. Be real. Let individuals inside your NFP and see the good work that you do. Showcase your staff, past successful campaigns and demonstrate how you have made a difference. Then take them through your future plans if you could raise even more funds. You want to evoke social change and appeal to them on a personal level.

Spend time to market it

Marketing is where most NFPs seem to fail. Once you create a campaign, you then need to market it. You need a strong well-executed social media campaign, definitive crowd funding landing pages, information newsletters and much more to get your campaign circulating around the internet. Spread the word loud and proud on a daily basis and don’t stop brainstorming until the campaign has come to an end.

By widening your funding plans and using a mix of financing, grants and impact investing options including crowdfunding, you can move away from your dependence on the government and reliance on others. That way you have the opportunity to develop strategies on a bigger scale to make an even larger impact.