NGOs and CSR Impact- Importance of crowdfunding

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Crowdfunding for Social Organizations

The effects of multiple development aid budgets reacting to changes in the economic context are clearly being observed, and even more for India it is not appearing in the priority archive of Aid donors. The decrease in overall aid suggests a fading away of the golden period of development support to reach development goals. Many of our civil society organizations extensively bank on such external funding. While other CSOs, lacking expertise & resources on proposal writing and such prowess, are excluded as regards domestic grants, their immense work resultantly overlooked.

With Government of India setting forth provisions for Corporate Social Responsibility for profit making companies, comes, a broad scope for an alliance between civil societies and corporates. The government, as an intermediary, has opened up new doors for reaching development goals, with new opportunities making way. Not forgetting the call for Clean India ( Swatch Bharat Mission ) announced by the GoI, brings in huge scope for such associations. Additionally, there are alternative funding sources for philanthropic organizations.

We all are very well aware of some of the obstacles that social organizations face today. These organizations have a constant pressure to carry out their functions as they majorly involve human welfare. These organizations do not promise profits, but it surely does promise the upliftment and betterment of society. However, raising funds for social causes is still a serious concern for them.

Crowdfunding, on the other hand, is an alternative way of raising funds where a lot of people come together to support a particular cause mainly via internet. It may be reward based crowdfunding or donation based. Donation-based crowdfunding is not only an excellent way to raise funds but also a very smart way to raise/involve friends in general and the local community at large.

Social organizations being non-profit in nature, are always short of funds and, therefore, involving people in what they do is the best option for them to function. As it will not only enable them with funds but will also give them backers who genuinely support their cause.

Crowdfunding, therefore, is an excellent way to act as a ‘matchmaker’ between donors and the projects they care about. Since raising funds is not the only criterion, these organizations aim to fulfill, but they also look for their kind supporters who can come forward to aid and assist them as and when required. With this alternative way of funding prevailing nowadays, people find it easier to work for various social organizations/causes.
The only hurdle these organizations might find could be how to design a campaign that people find attractive and worthy. But in this era of technology, most of the difficulties can be overcome within a fraction of seconds. With this leading crowdfunding site, we can easily get an idea of how to build winning campaigns, some of them even handhold personally.

These social organizations also have an advantage of using their existing donors as their early backers to allure a greater number of followers. Also, they have a story, a social story that could touch the heart of millions not just for raising funds but also for building a community. And along with your immense gratitude, offer your backers a chance to get engaged with you. As they say- ‘The more, the merrier’, so it is always beneficial to involve more and more people.
Hence, it would not be wrong if we conclude that this methodology of raising funds for social organizations is bliss and can be a true game-changer if executed in the right manner.