In the past, traditional donations were often made via check or in cash during fundraisers or sent through the mail. The trend in philanthropy, however, is toward greater and greater convenience for the donors.
These days, there are more and more donors who are interested in giving to their favorite organizations, but who rarely deal in cash or checks.
When deciding as an organization whether or not to take online donations, it’s important to consider both the preferences of donors and the potential downsides of relying on cash and checks as an organization.
Why cash and checks can make it hard to get more donations:
In the process of transferring money raised from fundraisers to your nonprofit organization, will there be any cash donations that don’t make it back to the organization? Cash, in particular, can be misplaced and reallocated and is generally a dangerous medium in which to carry large amounts of value.
Checks can also be lost, and if checks are lost it is very unlikely to be recovered. If a volunteer or staff member is responsible for the checks and cash box, they will be truly distraught if it is lost or stolen.
The shuffle of moving cash and checks back to the organization and waiting for checks to clear also results in delays that may mean funds aren’t available immediately. In many organizations, the fundraisers come at just the right time to make sure that all bills can be paid; by having to wait for checks to clear, the organization is put in a tough position with their payments and may face fees or delays.
A Solution for the Digital Age
Adding the options for secure donation pages, including some that are shared only between a fundraiser and the donors, allows those who prefer to use a credit card or other electronic payment to participate in the fundraising effort. Enabling donations online doesn’t preclude offering cash and check options, but in most major donor cases, an online option is going to be the better and more secure choice.
These online giving methods immediately and securely move funds to your accounts, without any potential for loss or theft. In many cases, gathering names and email addresses from these transactions can also form the basis for a list of past donors, who can be reached easily in order to discuss a future fundraising campaign. The reliability of online transfers is very high and ensures that no volunteers or staff are given the overly-weighty responsibility of transporting cash or checks.
While many organizations rely on donors who still prefer cash and checks, it is definitely time to find a way to accept online donations, even though the online methods of payment charge a small fee for processing a credit card. Your donors will be more open to donating when it can be done easily and securely, and that will ultimately increase your overall donation volume.
