7 Smart Ways on How to Fundraise for A Nonprofit Under $1M
How to fundraise for a nonprofit shouldn’t feel impossible—so why does it feel like a guessing game for most small organizations?
Stop Acting Like a Big Nonprofit—You’re Not
Let’s be blunt. If your nonprofit is bringing in less than $1M annually, you are not a miniature version of the Red Cross. You don’t have their staff, their reach, or their legacy. And pretending you do will bleed your budget dry and leave your board confused. Small nonprofits must fundraise differently. This means shorter planning cycles, faster feedback loops, and zero patience for wasted effort.
You need to forget about “best practices” that assume a team of five and a marketing budget. Your job is survival and smart growth. That starts with learning how to fundraise for a nonprofit by doing less—but better.
Take an honest look at where you are. Your next move should be based on what gets you to the next level, not what you think a “real” nonprofit should be doing. What works for a $20M organization could sink a $200K startup.
Let’s dig in…. It is time to learn how to fundraise for a nonprofit.
Your First 100 Donors Matter More Than Your First $100,000
Most small nonprofits get distracted chasing large grants or major gifts. But here’s the deal: institutional funders don’t want to be your first check. They want proof you can build community support. Focus instead on getting your first 100 individual donors. That crowd isn’t just your base—they’re your future volunteers, board members, and champions.
Send personal emails. Ask for $25. Follow up with thank-yous that don’t sound robotic. If you can master how to fundraise for a nonprofit by building genuine relationships early, you won’t need to beg later.
Think of your first donors as more than a revenue stream—they’re a test audience. Their feedback, their reasons for giving, their patterns—they all teach you what resonates. If you know why people give, you’ll know how to grow.
Why You’re Not Ready for Grants (Yet)
Everyone wants to know how to fundraise for a nonprofit through grants. But that’s often a trap. Most funders require budgets, evaluations, financial audits, and proof of past success. If you’re a startup or you haven’t yet built traction with individual donors, you’re probably not ready.
Don’t waste time sending out 15 grant applications with zero results. Instead, fund your organization with people who already believe in your mission—those closest to the work. Use that base to build a track record. Then the grants will come. Think of grants as gasoline, not the engine.
Also, remember this: many grants require matching funds. So if you haven’t built grassroots support, your grant opportunities shrink even more. Funders want to amplify success—not rescue you from scarcity.
How to Fundraise for A Nonprofit When You Don’t Have Staff
You don’t need a full-time development officer. You need focused, tactical help.
Start by mapping out your biggest time-sucks and see what you can outsource. Email newsletters, donor database management, appeal writing—these can all be handled by freelancers with nonprofit experience. That’s how you fundraise for a nonprofit without burning out or breaking the bank.
Volunteers can do more than serve meals or clean up parks. With training, some volunteers can run peer-to-peer campaigns, manage donor stewardship, or even write impact stories. Maximize what you have.
Don’t believe the myth that fundraising is a full-time job or nothing. With the right support, you can stay lean and still grow. Think of your fundraising like a modular system—add what you need, when you need it.
Turning Stories Into Revenue Without Sounding Desperate
It’s hard to tell your story without slipping into guilt or overexplaining. But storytelling is the beating heart of fundraising.
Instead of highlighting how broken things are, focus on what your nonprofit is doing right. Show progress. Show the change. People don’t give to crises—they give to solutions. That’s the difference between desperation and inspiration.
Learn how to fundraise for a nonprofit by telling micro-stories: one person helped, one project completed, one shift in the system. Small stories move people faster than polished annual reports.
Video is your friend. A one-minute clip of a client or a board member explaining why your mission matters can outperform a 10-page case for support. Keep it real, keep it short, keep it frequent. One of the best things you can do is learn how to integrate technology into how to fundraise for a nonprofit.
Ditch the Gala: Events That Actually Raise Money
You don’t need a gala. You need results.
Big events drain time and cash. For every dollar raised, you might spend 50 cents. And if you’re still learning how to fundraise for a nonprofit, that’s a risky bet.
Instead, try low-lift, high-return events: house parties, peer-to-peer challenges, online auctions, or giving days. These don’t require a venue or a caterer, but they still create energy and engagement.
Recurring micro-events can beat one big splash. Host a monthly donor breakfast, a quarterly behind-the-scenes Zoom call, or a casual happy hour with board members. Frequency builds momentum.
Run events that match your capacity—not your ambition.
Building a Culture of Philanthropy From Day One
You don’t need a $10 million endowment to start shaping your organization’s fundraising culture—you just need intention.
Many small nonprofits treat how to fundraise for a nonprofit as a necessary evil rather than a shared value. But if you want to learn how to fundraise for a nonprofit that lasts, culture is everything. Culture is what keeps donors coming back, what empowers staff to speak up about funding needs, and what drives your board to show up ready to help.
So, what does a culture of philanthropy look like in practice? It’s when program staff understand how their stories feed into fundraising success. It’s when fundraisers are invited to team meetings—not just donor calls. It’s when leadership doesn’t treat development as “that other department.”
It starts with language. Don’t say “we need money.” Say, “We have a vision, and we’re inviting others to invest in it.” Fundraising isn’t begging—it’s building.
Here are a few simple practices to build this culture:
- Celebrate every gift internally, no matter how small.
- Share donor stories at team meetings.
- Make fundraising goals visible to your entire organization.
- Acknowledge that everyone has a role—even if they never write an appeal or make a call.
You’re not just learning how to fundraise for a nonprofit—you’re shaping how your organization views money. And that shift will take you from scarcity thinking to a posture of abundance and generosity. That’s how you fundraise for a nonprofit and keep it sustainable
What Your Board Should Actually Be Doing
Boards are often told to “give or get,” but that advice is useless without direction. Here’s how to fundraise for a nonprofit by activating your board:
- Ask every board member to make a personal gift annually.
- Pair each board member with a staff or freelance coach to help them make two asks per year.
- Include board members in donor thank-you calls—it turns them into ambassadors.
Your board isn’t a fundraising machine. But they are a credibility engine. Use them that way.
Nonprofitfreelancers: The Shortcut You Need
Most small nonprofits waste thousands trying to learn how to fundraise for a nonprofit hard way. Nonprofitfreelancers can help you skip the pain and start raising smarter.
When you use Nonprofitfreelancers, you’re not hiring an agency. You’re connecting directly with seasoned professionals who know how to fundraise for a nonprofit in your exact situation. Whether you need a grant writer, social media manager, or someone to clean up your donor data—it’s all there.
These aren’t generic consultants. They’ve worked inside nonprofits like yours. They understand urgency. They deliver.
Final Word: Fundraising Is a Practice, Not a Project
If you’re a small nonprofit leader trying to figure out how to fundraise for a nonprofit on a tight budget, you’re not alone. And you’re not stuck. Nonprofitfreelancers was built for leaders like you—people who need expert help without the overhead. Visit Nonprofitfreelancers and connect with fundraisers who’ve done it before.
And remember: fundraising is not something you check off your list. It’s a daily mindset. It’s listening, asking, thanking, and doing it all over again. Every email, every call, every story—it all matters. You’re building something. Your learning how to fundraise for a nonprofit. Don’t stop now.
External Sources
https://www.councilofnonprofits.org/tools-resources/fundraising-nonprofits
https://grantspace.org/resources/knowledge-base/fundraising-plan/
https://www.classy.org/blog/fundraising-for-small-nonprofits/
https://bloomerang.co/blog/how-to-fundraise-for-a-nonprofit/
https://www.networkforgood.com/nonprofitblog/nonprofit-fundraising-guide/
