FUNDRAISING

ESSENTIALS
A guide for fundraisers, volunteers and trustees

£
N AT E
DO
CONTENTS
3 Who is this guide for?

4 Foreword

5 The what and why of fundraising

8 Action Medical Research

9 The foundations of fundraising

12 Principles for excellent fundraising

17 Fundraising strategy
18 Steps for developing a fundraising strategy
19 What to think about when developing a strategy?
23 How much to invest in fundraising?

25 Fundraising in practice
26 Who might support you?
28 How will you fundraise?
34 Reviewing and assessing
36 Fundraising in challenging situations

38 Are you ready to fundraise?

38 10 questions to ask about your fundraising plans
39 10 steps to excellent fundraising
WHO IS THIS
GUIDE FOR?
This guide is a starting point for any individual or charity new
to fundraising. Whether you work for a smaller charity and are
looking to cover the basics of fundraising, have recently taken
on some fundraising responsibilities and want to familiarise yourself
with best practice, have become a trustee and are hoping to get
better acquainted with the regulatory structure of fundraising – this
guide offers a whistle-stop tour of what you need to know. It will help
you start your fundraising journey with confidence, reassurance,
and success.

Funded by:
FOREWORD
We are rightly proud of our charity sector This guide is that place to start. It takes you
in the UK. Thousands of people, both at home through all the basics you need to know,
and abroad, benefit from the work that our and whether you are a new fundraiser,
varied and diverse charities do every day. a trustee, or a volunteer it will provide you
Whether it’s a smaller, local organisation, with the knowledge and signposting for you
or a larger charity working on medical to fundraise with confidence and success.
research, the commitment of the staff and
volunteers to make a difference, to make the Good luck for all your fundraising and thank
world a better place, is something that never you for the difference you make to the people,
fails to inspire. communities, and causes that benefit from the
amazing and inspirational work you do.
But our charity sector could not do this
work alone. The support from the public
(as well as businesses, foundations, and
others) is fundamental in providing the funds
we need to deliver services, promote arts
and culture, and save lives (alongside all the
other great work charities do!). And alongside Ceri Edwards
recognising the fundamental importance Director of Engagement
of public generosity, we also know that without Chartered Institute of Fundraising
fundraising, and without fundraisers, it simply
would not take place.

Every day, charities raise hugely needed

funds through their fundraising work. That
might be talking to a potential donor face
to face, running a community event, or setting Rita Chadha
up an online appeal. This work might be done Chief Executive
by paid fundraising staff, or with the help Small Charities Coalition
and commitment of volunteers. But whoever
is doing the charity fundraising needs a place
to start, somewhere they can learn the rules
they need to know, or to start to think about
the building blocks of success and find out
more about different types of fundraising
activities. Kunle Olulode MBE
Director
Voice4Change England

Fundraising essentials A guide for fundraisers, volunteers and trustees 4

THE WHAT
AND WHY OF
FUNDRAISING
What is fundraising?
Fundraising is the way in which charities ask for donations,
or other financial support, from the public, businesses,
government, foundations and others.

There is no one path for fundraising. Different charities will

fundraise in different ways – some will concentrate on events,
others on a few higher-value gifts, or digital techniques.
Successful fundraising will be the fundraising that best suits
your organisation’s mission, goals, and funding requirements
– as well as the resources and support you have available.
At its heart, excellent fundraising is also about giving people

£ a fantastic experience of giving and inspiring support for

charitable causes that can last a lifetime.

Being committed to excellent fundraising means following

the rules that are in place for charity fundraising in the UK –
found in the Code of Fundraising Practice as well as carrying
out work in a way that reflects your charity’s ethical approach
and values.

Fundraising essentials A guide for fundraisers, volunteers and trustees 5

 Why is excellent fundraising
important?

81%
Charitable giving is a huge part of our culture in the UK, with
the British public donating over £12bn every year – whether
through bucket collections, direct debits or gifts in wills.
OF PEOPLE GIVE A DONATION
HAVING BEEN ASKED TO SUPPORT We rightly celebrate the generosity of donors who support
A CAUSE RATHER THAN IT BEING
A SPONTANEOUS DECISION charitable causes. But we do not always recognise the
importance of fundraising in inspiring those gifts. Research
commissioned by the Chartered Institute and carried out
by YouGov shows that 81% of people give a donation
having been asked to support a cause rather than it being

63%
a spontaneous decision.

The work of fundraisers is vital, and not just in raising the

OF PEOPLE TOOK ADDITIONAL money that enables charities to do their work. It is the main
POSITIVE ACTIONS AS A RESULT way that people hear about the work of charities and get
OF DONATING TO CHARITY
involved – it’s a link that can bring people closer to causes they
care about, raise awareness, and encourage further support
such as volunteering. The YouGov research showed 63%
of people took additional positive actions as a result of donating
to charity; for example, by volunteering, recommending the
charity to others, or engaging on social media.

Excellent fundraising will develop sustainable and respectful

relationships with supporters to ensure they have a positive and
inspiring experience of fundraising and your charity.

Fundraising essentials A guide for fundraisers, volunteers and trustees 6

 What makes a good fundraiser?
• Understands and always follows the rules in the
Code of Fundraising Practice.

• Acts according to their charity’s values, policies and

procedures.

• Builds effective relationships with supporters, thinking

about and improving their experience.

• Is honest, open, and respectful in how they fundraise,

ensuring supporters are treated fairly.

• Has charitable objectives front of mind and contributes

to strategic priorities.

• Continues to develop and learn, improving their work

and skills.

What makes a good fundraising

organisation?
• Excellent fundraising is understood, taken seriously and
embedded at all levels of the organisation, including staff,
volunteers and trustees.

• Has a clear strategy that reflects organisational plans,

targets and values.

• Works collaboratively within and across the organisation.

• Recognises, values and champions good fundraising,
investing appropriately in supporting it.

• Continually reviews its practices and makes improvements

and innovations.

• Sets achievable goals and works together to meet

those targets.

• Takes care of its fundraiser(s), invests in their skills,

and works towards a more equal, diverse, and inclusive
profession.

Fundraising essentials A guide for fundraisers, volunteers and trustees 7

ACTION MEDICAL
RESEARCH
A good fundraising organisation involves everyone in fundraising
– from trustees to volunteers and colleagues in other teams. It’s
essential that they understand the link between the funds you
raise and the important work that your charity does – no money,
no mission!

Lewis Coghlin
Director of Fundraising, Action Medical Research

“
Make it easy for busy colleagues to both help you and get
behind you.

Report regularly on progress, and don’t forget to thank those

who are assisting, and with their permission use them as case
studies to inspire others to play their part.

Keep communicating simple messages to internal stakeholders

about what you are trying to achieve, and the part they can
play in getting there – for instance spreading the word about
gifts in wills.

Fundraising essentials A guide for fundraisers, volunteers and trustees 8

THE FOUNDATIONS
OF FUNDRAISING
While fundraising is creative, inspiring, and often about relationships
and conversations with people, there are rules and standards
to follow. If you are fundraising for a charity you do have
a responsibility to make sure that you are fundraising in a way that
meets all the requirements expected of all charities. This helps make
sure that everyone gets a great experience of fundraising, as well
as provide a common standard of good practice for all to follow.
This section will go through what you need to know, so you can
make sure you are always fundraising in the right way to protect
both your charity and your supporters.

How is fundraising regulated?

Wherever you are in the UK, there is an organisation that

regulates ‘charities’ and an organisation that regulates
‘fundraising’.

Charity regulators are statutory – set up by the government

in each of the UK nations. They approve and hold a register for
charities, make sure that charities follow charity law and ensure
they are being run properly and lawfully.

Regulators for fundraising are independent (not set up by the

government). They are responsible for setting standards for
how charities fundraise, take complaints from members of the
public, as well as investigate and adjudicate any instances
of poor practice. It is up to each charity to decide whether
to show commitment to good fundraising practice by registering
with the regulator for fundraising that operates in the nation
they are based in.

Fundraising essentials A guide for fundraisers, volunteers and trustees 9

 All the rules for fundraising are set out clearly within
the Code of Fundraising Practice.1

This includes both legal rules that you need to know about
and follow, as well as standards for fundraising that are
set through fundraising regulation. Every charity, whether
registered or not, is expected to follow the standards set out
in the Code of Fundraising Practice.

Scotland England and Wales

The Scottish Fundraising Fundraising is regulated

Standards Panel oversees
2
by the Fundraising
regulation of fundraising Regulator.6 The regulator
in Scotland. is also responsible for
running the Fundraising
Charities are regulated Preference Service (FPS).
by the Scottish Charity Fundraising charities are
Regulator (OSCR). 3
encouraged to register with
the regulator and to submit
details of complaints on
an annual basis.

Charities in England and

Wales are regulated by the
Charity Commission for
England and Wales.7

Northern Island

Fundraising is regulated
by the Fundraising
Regulator.4

Charities are regulated

by Charity Commission for
Northern Ireland (CCNI).5

1 See https://www.fundraisingregulator.o
https://www.fundraisingregulator.org.uk/code
rg.uk/code
2 See https://www.goodfundra
https://www.goodfundraising.scot
ising.scot
3 See https://www.o
https://www.oscr.org.uk
scr.org.uk
4 See https://www.fundraisingregula
https://www.fundraisingregulator.org.uk
tor.org.uk
5 See https://www.charitycommissio
https://www.charitycommissionni.org.uk
nni.org.uk
6 See https://www.fundraisingregula
https://www.fundraisingregulator.org.uk
tor.org.uk
7 See https://www.gov.uk/government/organisations/charity-
https://www.gov.uk/government/organisations/charity-commission
commission

Fundraising essentials A subtitle to run here 10

 Other key areas of regulation

Some areas of fundraising are also subject to broader

non-charity specific legislation, which is enforced by these
regulators. The most common ones you will need to know
about are:

Information Commissioner’s Office (ICO)

Data protection regulations, including PECR for electronic
marketing and GDPR.

Advertising Standards Authority (ASA)

The UK’s independent regulator of advertising across all media,
applying the Advertising Codes.

Gambling Commission
Regulations and operation of gambling activities including
lotteries and raffles.

Ofcom
Regulations relating to the UK communications industries,
including TV and radio.

Fundraising essentials A guide for fundraisers, volunteers and trustees 11

PRINCIPLES
FOR EXCELLENT
FUNDRAISING
While detailed rules for each area of fundraising are set out in the
Code of Fundraising Practice,8 it helps to remember that fundraising
should always be legal, open, honest, respectful and accountable.
In practice this means:

Treating supporters fairly

and with respect

Fundraising should always be a positive experience – an

action that enables people and organisations to engage with
and support the causes that really matter to them. Without
supporters your charity cannot deliver its vital mission, so
their experience must be central to everything you do.9

Always treat the people you engage with fairly and with respect,
and take care never to pressurise anyone into giving. When
THA fundraising with the public make sure to think about how you
NK
YOU respond to donors who might be vulnerable or in vulnerable
circumstances and support them to make informed decisions
– see the Chartered Institute of Fundraising’s guidance Treating
Donors Fairly for more information.

8 See https://www.fundraisingregulator.o
https://www.fundraisingregulator.org.uk/code
rg.uk/code
9 See more information see https://ciof.org.uk/about-us/what-we-re-doing/supporter-experien
https://ciof.org.uk/about-us/what-we-re-doing/supporter-experience-project
ce-project

Fundraising essentials A guide for fundraisers, volunteers and trustees 12

 Being clear and truthful

Whether you are raising money for a charity or not, you will
need to make it clear who or what you are fundraising for.
Always tell the truth and take care not to mislead or exaggerate
any facts relating to potential beneficiaries. It’s important
to portray the people we are fundraising to support in a
positive and respectful way.

Handling donations safely

and securely

£ Think carefully about how you will handle funds. Safe

and secure donation handling is important to protect the
organisation from fraud, theft or embezzlement and to assure
donors that their donations and gifts are used for the purpose
for which they were given. There are specific laws for how
to manage public collections, bank transactions and the
signatories required to access charity bank accounts.

Honouring your promises

to supporters

If money is raised for a specific purpose, it has to be used

for that purpose – you should not imply in fundraising
communications that a donation will be used for a specified
purpose if it will be used for general funds. For example, if you
are specifically raising funds for the renovation of a building in a
dedicated appeal, then you cannot use that money for another
purpose such as medical research. This means that you will
DON need to think carefully about what you will do if you raise more
ATE money than expected or if you fail to achieve your fundraising
goals. If you think it’s likely that you may exceed your target,
you may need to inform donors from the start how any excess
funds will be used. More information can be found in the Code
of Fundraising Practice.

Fundraising essentials A guide for fundraisers, volunteers and trustees 13

 Taking responsibility for
your fundraising

If you have carefully considered your fundraising decisions,

ensured that you have the right approvals internally and acted
in line with regulation and your organisation’s values and
policies, you shouldn’t go too far wrong. At the same time,
mistakes can happen and sometimes a fundraising campaign
will not go to plan. Be willing to explain your decision-making
process and be accountable for the decisions you reached.
If something does go wrong or a complaint is received, make
sure you handle any concerns promptly and sensitively,
learning what you can from the process. A well-handled
complaint can be an opportunity to strengthen a supporter
relationship – you will need to make sure you have a clear
process for dealing with any issues that arise.

Be responsible with personal data

Protecting personal data makes sure supporters can trust you

M
to use their data legally, fairly and responsibly. Be careful about

D
YA T
how you handle and store any data about supporters and the
wider public, and make sure you observe supporters’ contact
A preferences. You must meet all legal requirements relating
to data protection – see this guidance from the Chartered
Institute of Fundraising on fulfilling your responsibilities under
the General Data Protection Regulation.10

10 See guidance at https://ciof.org.uk/events-and-training/resources/gdpr-the-

https://ciof.org.uk/events-and-training/resources/gdpr-the-essentials
essentials

Fundraising essentials A guide for fundraisers, volunteers and trustees 14

 Thinking about your supporters

Excellent fundraising doesn’t just follow the rules, it prioritises

relationships with supporters and provides the best possible
experience of fundraising and giving. That’s the case for both
individual people, as well as local businesses, foundations,
or other supporters (such as schools or a local council).

The importance of long-term committed supporters cannot

be underestimated. Creating a ‘supporter journey’ that will
nurture relationships with supporters and make sure they know
how valued they are is key. Thank them for their donation in a
timely manner, report back to them on how you used their
donation and the impact of the funds raised.

If your supporters are particularly interested in certain aspects

of your charity’s work, try to give them opportunities to engage
more deeply with those areas and – where possible – tailor
communications around their interests. Provide touchpoints that
will enable them to feedback their views on your fundraising
campaigns and charitable work. Let them know what
a difference they are making to your charity’s work, but avoid
inundating them with too many messages and listen to their
contact preferences.

For grants from charitable trusts / foundations or corporate

donations, follow any guidance and requirements on reporting
and recognising their support. If not specified, check
on when and how they would like to hear about the impact
of their support.

Fundraising essentials A guide for fundraisers, volunteers and trustees 15

 Be aware that there will be times when supporters may not
be able to give to your charity financially, but can support it in
other ways and may return to donating later on. Try to provide
a rounded supporter experience that caters for changing
donor circumstances and encourages them to continue to feel
engaged and involved on a long-term basis.

• Help supporters make informed decisions about their giving.

• Review how many times you are contacting supporters each
year e.g. through emails, newsletters, etc.

• Think about how someone might feel in response to your

fundraising approach.

• Take steps to capture feedback from supporters and review

their experience – not just how much they give.

• Give people clear opportunities to tell you how they would

like to hear from you.

• Make sure you know how to respond to the needs of people

in vulnerable circumstances.

The Chartered Institute of Fundraising hosts the

Supporter Experience Project, which provides well-
researched and inspirational ideas to help fundraisers
deliver a great experience for supporters so that
everyone feels good about giving. Here is a checklist
as you start out:

Are you fundraising in a way that is consistent with

your charity’s values?

Does your fundraising follow the Code of Fundraising

Practice?

Is your charity registered with the Fundraising

Regulator or Scottish Fundraising Standards Panel?

Do you have a process for monitoring feedback and

responding to any complaints?

Are you putting the experience of your supporters

at the heart of what you do?

Are you portraying your service-users or communities

you work in positively and respectfully?

Fundraising essentials A guide for fundraisers, volunteers and trustees 16

FUNDRAISING
STRATEGY
Having a clear fundraising strategy is essential for financial
sustainability and to keep your organisation on track with its
fundraising goals. When developing a strategy think about where
your organisation is now, where you want to be, and how you will
get there. It should be aligned to your organisation’s mission and
objectives, and set out a long-term, strategic approach that will help
you deliver the most efficient and effective fundraising programme.

A good strategy will include setting out your objectives and

plans for the coming years, reference to relevant ethical
standards and policies, consideration of the resources and
investment you need, and will be agreed by your board
of trustees.

It is essentially a plan for how you will fund your charities work
in the future, which takes into account:

• internal and external influences

• opportunities and risks
• likely income sources
• fundraising activities
• budget and resources
• the short and long term goals

Fundraising essentials A guide for fundraisers, volunteers and trustees 17

STEPS FOR
DEVELOPING
A FUNDRAISING
STRATEGY
1 Think about how your
fundraising objectives fit
in with your charity’s vision,
mission and strategy.

8 Think about your

fundraising plans
for the longer term (one,
2 Develop a case for
support so you are
really clear about what the
three or five years) – many ask is and why.
fundraising activities require
investment and won’t see
immediate financial returns.
3 Think about what
resources you have for
fundraising including people,

7 Make sure you have

the right organisational
policies in place to deliver
equipment, and budget.

the strategy.
4 Put in place time
to monitor and review
how it’s going, and adapt

6 Identify your likely

supporter groups and
which fundraising activities
plans where needed.

you can use to reach them.

5 Adopt a whole
organisation approach
– your strategy should
be discussed and approved
at board level and involve
other teams and departments.

Fundraising essentials A guide for fundraisers, volunteers and trustees 18

WHAT TO THINK
ABOUT WHEN
DEVELOPING
A STRATEGY?
Managing risk

Charities face some level of risk in most of the things they do.
Don’t shy away from new opportunities, but always consider
the potential pitfalls, ensuring that the benefits outweigh
the risks and understanding what level of risk your trustees
deem acceptable. Your charity should have risk management
processes in place that identify potentially negative issues and
mitigate against them and a culture that ensures risk planning
is a normal part of any future planning.

Restricted versus core funding

PLE
GIVA S E One of the biggest advantages of voluntary donations is that
E they are often unrestricted, enabling your charity to use those
funds in the most efficient way, whether this is to strengthen
the core of the organisation or towards services. Equally, some
charitable trusts and foundations are increasingly seeing the
value in providing core funding, which gives charities the space
to think longer-term, to take risk, to innovate and to learn from
mistakes.

Fundraising essentials A guide for fundraisers, volunteers and trustees 19

 However, supporters can often identify better with a specific
campaign, appeal with a set target, or project. So when
deciding whether to run a specific appeal or fundraise more
generally, think carefully about the organisation’s needs and
overall funding mix, and how you will communicate your ask
– any fundraising ‘ask’ will need to make it clear how funds
will be used. If you choose to fundraise for a particular project
or cause, then monies raised must be put into a ‘restricted’ fund
and used for that purpose. Consider what will happen if you
do not reach your fundraising goal or if you exceed it and make
sure any wording accurately reflects these possibilities.

Who will you approach to ask

for support?
£ A successful fundraising programme is likely to engage a range
of supporters (individuals, businesses, charitable trusts /
foundations or other partners) through a mix of fundraising
activities – see the next section for more information. But when
you’re just starting out, it can be helpful to focus on a couple
of sources of fundraising most suited to your organisation.

The better you know your supporters, the more likely you are
to be able to increase their engagement and run successful
fundraising campaigns, so take a good look at their giving
habits and see what activities they are more responsive to.
Research local businesses and trusts or foundations that you
might be able to apply to for funding – do you already have
relationships you can develop? Explore which channels feel
right for your charity, talking with your peers at other charities
about their experiences; their successes and their failures.

Working with volunteers

I’M Many charities work with volunteers to extend their fundraising
LIND capacity, particularly at a local or community level. This can
A be an efficient way to increase resource. But, remember
that you will need to take responsibility for managing those
volunteers, making sure they understand what they can and
can’t do while representing your charity. You will also need
to apply for any relevant fundraising licences and give them
guidance and support.

Fundraising essentials A guide for fundraisers, volunteers and trustees 20

 Working with third parties

3RD
Fundraising agencies, suppliers, and third parties all play
a crucial role in fundraising in the UK, from specialist
P A fundraising consultants or professional fundraisers to data
R T
I E
S
suppliers, mail fulfilment houses, online fundraising platforms
and more. While some consultants, freelance fundraisers
or Professional Fundraising Organisations will fundraise on the
charity’s behalf, others will advise on the strategy or perform
related backend fundraising services.

When you work with any third party, it is important to establish

a strong working relationship and ensure that they adhere
to the same standards and principles. You will need to have
a written agreement stating the terms of that working
relationship and to summarise this in your charity’s annual
report. See this guidance for more information.

Establishing organisational policies

Fundraisers are likely to encounter sensitive or tricky situations

while representing their organisation so it is important to have
clear internal policies to defer to that set out the organisation’s
positions. This will make sure that a coherent and consistent
approach is maintained at all levels of the organisation,
providing clarity, and improving efficiency for dealing with
challenging situations. Additionally, many charitable trusts
and foundations ask to see copies of policies relevant to an
organisation’s work. All such policies should be approved
by your trustee board.

Rather than drafting detailed and lengthy documents,

it is important for policies to be easy to read and accessible for
all staff, partners and third parties. They should be regularly
reviewed to ensure they remain up-to-date
and that current issues are covered.

Fundraising essentials A guide for fundraisers, volunteers and trustees 21

 Have you considered these policies and how they
apply to fundraising?

Complaints. What is your organisation’s approach

for dealing with fundraising complaints, what steps
will the organisation take and when will complaints
be escalated internally or externally (to relevant
regulators)? Make sure this process provides
opportunities for your charity to identify where
improvements can be made.

Acceptance/refusal of donations. What gifts will

your organisation accept or decline? Consider what
sources of funding might compromise the charity’s
best interests, independence or reputation.

Working with vulnerable people. What impact

could your organisation’s fundraising have on people
in vulnerable circumstances and how could this
be improved? Consider how your charity could ensure
a more positive and accessible approach.

Working with third parties. What is your approach

to working with third parties, commercial partners and
volunteers, what standards do you require of them and
how do you communicate this to your stakeholders?

Safeguarding. What safeguards does your

organisation have in place to keep your employees,
volunteers, service-users and supporters safe?
Consider how you can promote a positive, supportive
and accountable culture that nurtures the wellbeing
of those you work with.

Financial processes. What financial controls are

in place for the way that your organisation receives,
processes and records donations?

Privacy and data protection. How will your

organisation protect the privacy and data of any
contacts on your database?

Equality, diversity and inclusion. How are these

qualities embedded throughout your organisation?

Fundraising essentials A guide for fundraisers, volunteers and trustees 22

HOW MUCH
TO INVEST IN
FUNDRAISING?
Fundraising costs can and do vary widely, depending on the method,
reach of the campaign, cause and more. There is no set level for
what is acceptable in terms of fundraising costs, although very high
fundraising costs can be cause for public concern. The key is to
be open and transparent about what you spend on fundraising and
to be prepared to explain those decisions to your supporters and
wider organisation.
Typically, fundraising costs will be your investment in a
campaign or activity that is predicted to yield a far greater
return – the scale of this return and how long it takes

£
before you see a return on investment will vary depending
on the fundraising activity. There is almost always a cost
to fundraising, be that staff time, producing promotional
materials or processing donations. But equally, developing
excellent fundraising requires sufficient, sustained and
frequently significant investment. Blackbaud’s Status of UK
Fundraising Report11 shows that those who report growth
in fundraising income attribute it to having the right people with
the right skills, having the right levels of investment in place,
and planning new and different activities.

Investing in fundraising is an effective and responsible way

for charities to ensure that they can continue to deliver their
work in the future. Be honest with your supporters to help them
understand your fundraising decisions – you have invested
in these activities in order to maximise donations to your cause
so you can continue and grow your vital work in the future.

For more on how to talk to your supporters about fundraising,

see this resource12 from the Chartered Institute of Fundraising.

11 See https://hub.blackbaud.co.uk/covid-19-resources/the-status-of-uk-fundraising-2
https://hub.blackbaud.co.uk/covid-19-resources/the-status-of-uk-fundraising-2020-report
020-report
12 See https://ciof.org.uk/Events-and-Training/Resources/FAQs-for-f
https://ciof.org.uk/Events-and-Training/Resources/FAQs-for-fundraisers
undraisers

Fundraising essentials A guide for fundraisers, volunteers and trustees 23

 Questions to consider about

?
fundraising costs
1 Have you fully researched the cost and likely return
for campaigns or activities?

2 Are you being realistic about your targets for financial

returns? Remember that if your organisation is starting out
fundraising this will mean an initial investment which you may
not see a return on for a while – make sure you have thought
through what can reasonably be achieved with the skills,
resource and time-frame you have.

3 If a campaign has a high cost, why might this be the case

and is this the best use of your fundraising budget? Discuss
this with your trustees and be prepared to answer questions
about it and explain your decision.

4 Are you reviewing your fundraising costs, particularly among

any poorly performing campaigns to assess progress against
targets? Keep an eye on how the campaign progresses and
adjust your strategy accordingly.

5 Could you explain your fundraising costs and decisions

to a supporter?

Fundraising essentials A guide for fundraisers, volunteers and trustees 24

FUNDRAISING
IN PRACTICE
Through developing your strategy you should start to have an idea
of where you want your fundraising programme to take you, so now
you’ll have to think about what you’re actually going to do to get
there. Are you going to approach individuals to leave legacies?
Are you going to ask people to take part in events? Or will you
concentrate on grant applications to trusts and foundations? This
section gives an overview of the different fundraising methods you
could think about.
Remember, there is no one-size fits all model. Different
charities will do different fundraising activities depending
on their size, area of work, available resource, budget
as well as their cause and history. But aiming to eventually
get a diverse range of fundraising activities is likely to help
you be sustainable and successful in the long term.

Fundraising essentials A guide for fundraisers, volunteers and trustees 25

WHO MIGHT
SUPPORT YOU?

£12bn
Individual donors

THE UK PUBLIC GIVES OVER The UK public gives over £12.5bn to charities each year
£12.5BN TO CHARITIES in donations and are a vital and valued source of funding
EACH YEAR
– particularly if your charity already has a community
of individuals it engages with. While ad hoc one-off donations
(typically in response to charitable appeals) are the most
common way of giving, it is regular giving (usually via Direct
Debit) that generates the highest sums for good causes – think
about how you are nurturing supporters from their very first
engagement to develop a regular giving programme.

As a stable, reliable income it enables organisations to plan for

the future and increase efficiency. This also means nurturing
those supporters so that they recognise how highly valued and
appreciated they are. Major donors, philanthropists and legacy
givers, the latter who make up more than £4bn in donations
a year, are extremely valuable sources of income and the
difference made by their ongoing support can completely
change a charity’s future.

£6bn
Trusts and foundations

GRANT-MAKING TRUSTS AND There are thousands of grant-making trusts and foundations
FOUNDATIONS IN THE UK GIVE in the UK, giving £6.5bn of funding a year. Finding the best
£6.5BN A YEAR
match with potential funders requires research and planning
so it is important that you are clear about your funding
objectives. Research information about charitable trusts/
foundations on their websites (if they have one) and the
Charity Commission Register. Funding directories also provide
information and some are available through local infrastructure
organisations.

Fundraising essentials A guide for fundraisers, volunteers and trustees 26

£0.5bn
Businesses

COMPANIES CURRENTLY GIVE Companies have become increasingly charitable, recognising

AROUND £500M A YEAR the need to demonstrate social responsibility by investing in the
TO GOOD CAUSES
community in which their employees are based and the causes
their workforce care about. They currently give around £500m
a year to good causes. Make sure you regularly review any
relationships with businesses and that all working partnerships
reflect common values.

Community

P I T Community fundraising can be an effective way of reaching

K EE L a wider audience and mobilising volunteers, particularly if your

CA charity has a strong local presence. This is where charities

LO work at a local level to raise funds from the surrounding
communities, often holding events such as raffles, engaging
with schools and local clubs (such as Rotary clubs, Scout
groups or Women’s Institutes).

Fundraising essentials A guide for fundraisers, volunteers and trustees 27

HOW WILL YOU
FUNDRAISE?
Charities typically use a mix of techniques to attract and retain
donors, appealing to different supporter groups and ensuring that
fundraising is not too reliant on any source or technique.

Questions to consider

?
1 What are the advantages and disadvantages of each
method, including the risks (both financial and reputational)?

2 What are the likely costs and returns?

3 Will these methods/campaigns enable us to meet

our fundraising goals – short or long term?

4 How will we deliver the campaign and who will this help?

5 If I was a member of the public, how would I feel about being

approached in this way?

6 Is this approach in keeping with our values, ethics

and organisational policies?

7 What do my trustees think?

Fundraising essentials A guide for fundraisers, volunteers and trustees 28

 Public and private collections

Charity collections might be carried out on the street,

on the doorstep, at events or with collection boxes in shops,
restaurants and supporters’ homes.

Face-to-face interaction enables your fundraisers to meet

and engage directly with supporters. But it’s important to know
the rules around how collections should be carried out and
licenced, to ensure that any third parties acting on your behalf
are thoroughly briefed, and how to ensure the safe, secure
transaction of funds.

Direct marketing

Letters, emails, SMS texts and telephone calls are all used
by charities to inform people about the charity’s work, ask for
funds, thank supporters or build donor relationships.

With any direct marketing approach, you must respect and

follow people’s contact preferences. There are suppression
lists – places where people can say that they don’t want certain
types of contact for direct marketing. The Fundraising Regulator
runs the Fundraising Preference Service which sends email
notifications to any charity that a member of the public has said
they do not want to receive direct marketing from. There is also
the Telephone Preference Service and Mailing Preference
service which you can access too. Charities, like any other
organisation, have a duty to carefully protect personal data that
they hold and make sure that they have good data governance
processes. More information can be found at the Information
Commissioner’s Office.13

13 See https://
https://ico.org.uk
ico.org.uk

Fundraising essentials A guide for fundraisers, volunteers and trustees 29

 Media and advertising

Charities often engage with journalists in an editorial capacity

to provide news relating to the cause, case studies, information
about fundraising events and other developments. Local press
and radio are often particularly keen on featuring charitable
stories that relate to their audience. Media guidance and
resources are available from the Media Trust.14 Many larger
charities also advertise their fundraising appeals on TV, radio,
newspapers, online and in public places, which can be a great
way to reach new groups of potential supporters.

Fundraising events

Whether you are thinking about running or participating in a

fundraising ball, exhibition, concert, auction or more, an event
can be a generic fundraiser or, as is often the case, part of a
major appeal.

Don’t be afraid to be creative when planning your events; they

can be a great opportunity to help supporters understand more
about your charity’s work and cause, bringing together your
charity representatives with potential donors and beneficiaries.

Community fundraising

E P IT Your charity might have relationships with different

KE A L communities, from the geographical community you operate

LO C in, to online communities that shares your interests, aims,

or values. With increasing use of online donation platforms,
fundraising directly from supporters has become even more
widely accessible for charities of all sizes. For example,
your supporters can be sponsored to do a range of activities
and it can be a great way to encourage them and your local
community to get involved with your charity.

Be sure that you make it as easy as possible for your

community to engage with your charity by providing fundraising
guidance and sponsorship materials, but also that you consider
the potential risks involved.

14 See https://mediatrust.org/communication
https://mediatrust.org/communications-support/
s-support/

Fundraising essentials A guide for fundraisers, volunteers and trustees 30

 Raffles and lotteries

Charities use a wide range of gaming activities to raise funds,

123 including raffles and tombolas, sweepstakes, prize draws,

lotteries and auctions. There are specific rules for what
charities can do in each area, with some activities requiring
a licence from the Gambling Commission or local authority.
Make sure you know if a licence is required and the rules for
carrying out any such activity before you get started.

Major donor fundraising

£
A successful major donor relationship will take time and
resource to develop, with the emphasis on delivering a personal
and tailored approach, continually nurturing supporters.

It is important to have a good understanding of other related

aspects of fundraising. For example, major donors may wish
to support charities through private trusts or leave a legacy,
and fundraisers must be aware of the implications of structuring
gifts in this way and of any tax reliefs that might apply.

Digital

There are numerous ways to raise money through digital

platforms, be it via your charity’s website, social media,
charitable giving portals, crowdfunding platforms, online
advertising, messaging apps and more. Investigate which
of these you will use to raise funds and make sure your website
has the ability to facilitate donations – whether that’s by linking
to an external donation platform or ideally by having a secure,
mobile-optimised donation function that enables people to give
quickly and easily from your site.

Digital trends continue to evolve at a great pace and it is

important to research communication trends within your target
audiences so that you understand the best way to engage with
supporters. With the potential for supporter-driven initiatives
to go viral, encourage them to share their passion for the cause
on digital channels, but be sure to monitor social and online
references to your charity.

Fundraising essentials A guide for fundraisers, volunteers and trustees 31

£4 bn
Legacies

LEGACY GIVING FROM Legacy giving continues to grow faster than other areas
THE PUBLIC, CURRENTLY of giving from the public, currently standing at £4bn. By their
STANDS AT £4BN
very nature, legacy gifts may take many years – decades even
– to arrive, but a successful legacy fundraising programme can
provide substantial financial security.

Fundraisers can integrate messaging about legacies across all

communication channels – social media can be a good ‘nudge’
for your supporters to leave a gift in their will, but newsletters,
websites, videos and events continue to be effective to get
supporters to act.

Although legacy fundraising can be a sensitive area, it can also

be a positive opportunity to communicate with supporters about
the impact they can have on the world long after they are gone.
Legacies enable a supporter to look after the future of their
family, friends and causes close to them, while costing nothing
at the moment of making the gift. Make sure your supporters
know that legacy giving is for everyone, no matter how modest
the gift they’re able to give.

Fundraising essentials A guide for fundraisers, volunteers and trustees 32

7YRS
Payroll giving

THE AVERAGE PAYROLL Payroll Giving, also known as Workplace Giving or Give As
DONATION IS AROUND £8 PER You Earn®, enables employees to give to any UK registered
MONTH FOR SEVEN YEARS PLUS
charity straight from their gross salary and benefit from tax
relief on their donation, making it an appealing way for charities
to raise regular, reliable funds through tax-effective giving.

It can take some time to yield your first payroll donation, but
the average donation continues at around £8 per month for
a period of seven years plus, so be prepared to take a long-
term approach to generating Payroll Giving income. Think
about whether your charity has any existing relationships with
companies or public sector employers, and how you can take
a targeted and tailored approach to approaching employers.

+25%
GIFT AID INCREASES THE
VALUE OF DONATIONS FROM Remember to Gift Aid it!
UK TAXPAYERS BY 25%

Gift Aid enables your charity to increase the value

of donations from UK taxpayers by 25% when donors
permit that charity to claim back the basic rate of tax that
they have paid on that donation. There is also a Small
Donation Scheme which allows you to claim on cash and
contactless donations under £20. Visit the HMRC website
to find out more.15

15 See https://www.gov.uk/government/publications/charities-detailed-guidance-notes/chapter-
https://www.gov.uk/government/publications/charities-detailed-guidance-notes/chapter-3-gift-aid
3-gift-aid

Fundraising essentials A guide for fundraisers, volunteers and trustees 33

REVIEWING
AND ASSESSING
A successful fundraising programme requires active monitoring and
regular review, helping ensure the long-term sustainability of your
charity and its work.

Test what works

?
Often the best fundraising campaigns are a case of trial
and error. If you’re relying on any fundraising activity, make
sure that you’ve tested it to see how supporters respond.
Consider your campaign messaging; is there another better
way of communicating beneficiaries’ needs or the importance
of your charity’s work? If you’re asking for donations of a set
sum, is this the right amount? Is this the best way to reach
your target audience?

Monitoring and measuring success

Evaluating your charity’s progress is just as important

as your initial fundraising planning. After all, if a fundraising
activity is not working in any way, it is important to recognise
this, review your approach and the wider fundraising plan.
Don’t be afraid to identify poorly performing campaigns; there
will always be something you can learn from it. Equally, it is
important to identify what does works for you and to celebrate
fundraising success.

Monitor performance across a range of measures (money

raised, supporter engagement, donor satisfaction, reach and
more), as well as compliance with legal and best practice
standards. Consider what metrics are right for your organisation
and how you will report back to your manager, CEO and
trustee board.

Fundraising essentials A guide for fundraisers, volunteers and trustees 34

 Reviewing fundraising plans

Your fundraising plan should be reviewed continually, in line

with performance metrics and changing internal and external
factors. This is not just a case of responding to what is working
well and what isn’t, but considering both the opportunities and
risks linked to technological, social or economic developments,
among others. Remember to keep senior staff and trustees
updated on any major changes to the fundraising plan
or strategy.

Fundraising essentials A guide for fundraisers, volunteers and trustees 35

FUNDRAISING
IN CHALLENGING
SITUATIONS
Regardless of the fundraising channels you choose, if you are
fundraising during or following the coronavirus pandemic you will
likely have to consider the impact of the virus when planning your
activities.

Both our organisations and our supporters are likely

to continue experiencing the economic and emotional effects
so any fundraising needs to be carried out sensitively, safely
and responsibly. Many people will be looking for opportunities
to give while others may be experiencing financial difficulties,
anxiety or grief, so it will be more important than ever for the
experience of your supporters to be central to your fundraising.
Consider the following:

Decision-making

# Make sure that decisions to fundraise at this time are

N
N
EW
thoroughly considered, carefully evaluated, documented and
reviewed. You should be ready and willing to explain openly
O R and clearly why your organisation has decided to fundraise,
M A and what you’ve done to make sure it’s done responsibly.
L

Looking after staff,

volunteers and supporters

Fundraising organisations need to think about the risks staff,

volunteers and members of the public will face in each type
of fundraising activity and do everything reasonably practicable
to minimise them. Make sure that fundraisers are trained
on any new approaches that your charity is adopting.

Fundraising essentials A guide for fundraisers, volunteers and trustees 36

 Being responsive and transparent

You will not only need to be responsive to changes to UK

government guidance around coronavirus measures, but also
to feedback from your staff and supporters. Listen to those
you are working with, being sure to take into account the
needs of people in vulnerable circumstances or with protected
characteristics.

Wellbeing and fundraising

2m Fundraising is a hugely exciting, rewarding, and skilled

profession. But it is also one that can be demanding, involving,
and pressured. For fundraisers to be able to do your best work
for the causes and charities you work for, you need to make
sure you are looking after your own, and your colleagues’
wellbeing. Check out our wellbeing resources.16

16 Please visit https://ciof.org.uk/about-us/what-we-re-doing/wellbeing-and-f

https://ciof.org.uk/about-us/what-we-re-doing/wellbeing-and-fundraising
undraising

Fundraising essentials A guide for fundraisers, volunteers and trustees 37

ARE YOU READY
TO FUNDRAISE?
10 questions to ask about your

10
fundraising plans
1 What are your fundraising goals and what will these
goals enable your charity to achieve?

2 Who will you approach for funds?

?
3 What resources do you have available to invest
in fundraising?

4 How will you go about it?

5 Do you have organisational buy-in? i.e. is everyone

on board, including your trustees?

6 Do you know the rules and best practice for fundraising

in these areas?

7 What policies do you have for any potentially sensitive

or tricky fundraising decisions?

8 Who will help you?

9 How will you keep your supporters engaged?

10 How will you review, learn from and improve your

fundraising efforts?

Fundraising essentials A guide for fundraisers, volunteers and trustees 38

 10 steps to excellent fundraising
1 Have a clear approach. Successful fundraising is

10
based on clear strategic thinking that will tie in with
your organisation’s overall business plan, its charitable
objectives, values and principles.

2 Plan for the future. Don’t just think about this year, plan
ahead. Sustainable planning should be at the heart of your
organisation’s fundraising.

3 Do your research. There are a whole host of fundraising

activities you can consider, do your research to identify what

GO!
you think will work best for your organisation, its supporters
and what is feasible.

4 Weigh up opportunities and risks. Don’t shy away from

new fundraising opportunities or the chance to innovate,
but carefully consider the potential risks.
5 Don’t put all your eggs in one basket. Where possible
diversify your organisation’s fundraising strategy so that
you’re not overly reliant on any one source of income.

6 Be realistic. It can take time to build up a successful

fundraising programme, don’t expect things to change
overnight and make sure your colleagues have realistic
expectations too.

7 Ask others to help. No fundraiser can do it alone. Show

colleagues, senior management, trustees, stakeholders,
third parties, volunteers and others what they can do to
help and encourage them to get involved.
8 Put yourself in your donors’ shoes. Imagine yourself as
a supporter on the receiving end of fundraising approaches
from your charity. How would you feel? What would you do?
Would you give?
9 Listen to advice. Talk to others about their fundraising
experiences; what’s worked and what hasn’t. Consider
working with a mentor from another organisation.

10 Set aside time to train and develop. There will always

be more to learn. Read up on changes to fundraising
standards, attend sector events, networking opportunities
and training courses to ensure you can achieve your
potential, both for you and the charity.

Fundraising essentials A guide for fundraisers, volunteers and trustees 39

Together we are the future of fundraising

We champion our members’ excellence in fundraising.

We support fundraisers through professional development
and education. We connect fundraisers across all sectors
and skill sets to share and learn with each other. So that
together we can best serve our causes and communities
both now and in the future.

ciof.org.uk
@CIOFtweets

The Small Charities Coalition helps small organisations

with a social purpose to change lives, improve communities
and broaden people’s opportunities. Through our network
of over 14,800 member organisations, we are a voice for
people working on the front line of some of our communities’
biggest problems.

smallcharities.org.uk
smallcharities.org.uk
@sccoalition
@s ccoalition

Voice4Change England is a national advocate for the Black

and Minority Ethnic voluntary and community sector. Our
vision is a stronger and inclusive civil society to meet the
needs of BME and other disadvantaged communities. Our
mission is to strengthen the BME VCS to meet the needs
of disadvantaged communities.

voice4change-england.com
voice4change-england.com
@V4CE
williamjoseph.co.uk
seph.co.uk

With thanks to everyone who helped contribute to this project,

generously funded by the National Lottery Community Fund.
Design: williamjo

Fundraising essentials A guide for fundraisers, volunteers and trustees 40