How Do You Raise Money for a Nonprofit Building?

What Should We Define Before Choosing a Campaign Goal?

Short Answer. A building campaign begins with the purpose of the space. Explain what people will be able to do there and why the proposed facility is needed. A renovation may improve access or make existing programs possible in a different way. A new building may permit services that the current space cannot accommodate.

Work with the project team on a complete budget. Construction is one part of it. Design fees and site costs also need a place in the plan, as do equipment, furnishings, contingency, and the cost of fundraising. Establish the operating costs the organization will face after opening.

Is the Building Budget the Same as the Fundraising Goal?

Short Answer. The project budget covers the full cost of the building or renovation. The campaign goal is the amount the organization intends to secure through philanthropy, taking other confirmed funding into account.

The total project cost and the amount to raise from donors may differ. Document funds already committed and other funding sources under consideration. Keep confirmed commitments separate from applications or estimates.

The remaining funding gap is a planning estimate. You still need evidence that a campaign can raise it. A construction estimate tells you what the project costs. Donor research and conversations help you assess what philanthropy could contribute.

How Do We Know We Are Ready to Announce a Goal?

Short Answer. Define the project and its budget, assess organizational readiness, and gather evidence from prospective donors. Research and feasibility conversations help determine whether the proposed philanthropic goal is supported.

Before announcing a goal, assess your organization’s capacity to conduct the campaign. Consider leadership participation and staff responsibilities. Examine the quality of your donor relationships and the information available about prospective gifts.

A feasibility study uses confidential conversations to test the proposed case and goal. It can identify questions that need answers before solicitation begins. Treat the findings as evidence for a decision, with the limits and assumptions made explicit.

Use the Campaign Readiness Assessment to prepare for that discussion. The self-assessment organizes your thinking. A feasibility study gathers further evidence from prospective donors.

Take the Campaign Readiness Assessment →

What Gifts and Work Will the Campaign Need?

Short Answer. A gift table describes the number of gifts needed at different amounts. Compare it with the prospects you have reason to approach. A balanced table still needs credible relationships and a plan for each prospective commitment.

Prepare a case for support that explains the public benefit of the project. Establish the board’s responsibilities and the staff time available for the campaign. Plan donor conversations before scheduling a public launch.

For specific funding choices within the project, the Giving Opportunities Menu Builder helps organize what a donor could fund. Confirm the amounts and project details before sharing the menu.

Open the Giving Opportunities Menu Builder →

How Do Pledge Payments Line Up With the Construction Schedule?

Short Answer. Compare the timing of expected pledge payments with the project’s cash requirements. Review those schedules with financial leadership while also planning for ongoing fundraising and future operating costs.

A pledge can be paid over time. The construction team may need payments on a different schedule. Review both schedules with the organization’s financial leadership before making commitments.

Keep ongoing fundraising in the plan. The organization still needs resources for its current services while it raises money for the building and prepares for future operations.

Who Should Lead Our Building Campaign?

Short Answer. Campaign counsel directs the campaign and participates in donor solicitation with your team. Through the Campaign Launch Lab, you develop your campaign plan with Anne Murphy and implement it with your organization.

For an explanation of the phases, read what a capital campaign involves. For a library project, continue with the library fundraising guide.