Nonprofit News: Growing DAF Donors
Does spring fundraising season have you looking for ways to freshen up your efforts? Remember to include donor-advised funds as you consider plans for the rest of the year.
Donor-advised funds have exploded in popularity in recent years. In 2023, DAFs granted $54.7 billion to charity and held $251.52 billion in assets, according to the 2024 National Philanthropic Trust’s annual DAF report. As such a fertile ground for giving, it is imperative to include DAFs in your fundraising strategy.
OCCF donor Ken Rees with participants of the YMCA Y Achievers program.
Sample Language for DAF Donors
- Keep it simple and encourage donors to get in touch with you!
An important first step is education. Make sure you, your staff and your volunteers know what a DAF is and how it works – especially if they are fundraising. Ensure any talking points and leave-behind materials include language about DAFs. This information should be echoed on your website and in all fundraising communications. Though it might seem obvious to you, donors may not know they can support your organization through their DAF. Plant that seed!
Get to know the folks in your community who work with DAF holders, such as financial advisors and Community Foundation staff, and nurture those relationships. DAF holders will often look
to these individuals for guidance in their giving. Keep them informed of what’s going on in your organization and any immediate needs.
When you do receive a DAF grant, make the most of it. Collect any contact information provided and send a personal thank-you note (no tax receipts, please!). If the donor gave to a specific project, follow up with successes or stories when appropriate. Share that information with the DAF sponsor for anonymous grants and ask them to forward it to the donor. Before you know it, your DAF donors will be springing into giving!
DAF holders are not just a key component to a fundraising strategy. They are often strategic donors who can handle more complex giving options, so building a relationship could potentially lead to even bigger gifts.