Starting a nonprofit is an exciting but challenging journey. One of the biggest obstacles? Funding. In fact, nearly 3 out of 4 nonprofits cite fundraising as their top concern. If you’re launching a new nonprofit and wondering how to get the money to turn your mission into reality, you’re not alone.
Here’s a concise guide covering the best funding sources for new U.S. nonprofits—with bonus tips for founders in Indiana.
Grants for New Nonprofits
Grants are one of the most sought-after ways to fund a nonprofit, but they can be tricky for new organizations. Many grant programs require a proven track record or financial history—something new nonprofits don’t yet have.
Tips to Start:
- Start local: Apply for city, county, or state-level grants first.
- Look for small foundations: Many offer grants specifically for early-stage nonprofits.
- Use Grants.gov and Foundation Directory Online to find opportunities.
Indiana Tip:
- Explore the Indiana Governor’s Office of Federal Assistance and Indiana GrantLab for local listings and support.
Individual Donations & Fundraising Campaigns
Over 80% of nonprofit donations come from individuals. For a brand-new nonprofit, tapping into your personal and professional network is one of the quickest ways to raise startup funds.
How to Begin:
- Run a launch fundraiser via email or social media.
- Focus on storytelling—share your mission, goals, and real-life impact.
- Use platforms like Givebutter, PayPal Giving Fund, or Facebook Fundraisers to collect donations.
Crowdfunding
Crowdfunding allows you to raise small donations from a large number of people. It’s a great tool for nonprofits that don’t yet have a donor base.
Best Platforms:
- GoFundMe (popular and easy to use)
- Mightycause (built for nonprofits)
- Fundly or Classy (for scalable campaigns)
Indiana Highlight:
- Participate in Indiana’s Big Give, a statewide annual giving event that helps nonprofits raise awareness and donations.
Corporate Sponsorships & Business Support
Many companies, large and small, give back to nonprofits through sponsorships, in-kind donations, or grant programs.
Tips for New Nonprofits:
- Approach local businesses with a clear sponsorship proposal.
- Highlight mutual benefits—like visibility at community events or on your website.
- Research corporate giving programs from Walmart, Target, and local Indiana businesses.
Fundraising Events & Memberships
Even small-scale events can raise money and grow your supporter base.
Ideas:
- Host a launch party, benefit dinner, or virtual auction.
- Partner with local venues or other nonprofits to cut costs.
- Offer memberships with benefits like event access or exclusive updates.
In-Kind Donations and Volunteers
Not all funding comes in cash. In-kind donations—goods and services—can drastically reduce your costs.
Examples:
- Office space, supplies, printing, catering, legal or accounting help
- Volunteer labor to run programs, events, or admin work
Indiana Example:
- Local businesses often contribute to community efforts—ask your Chamber of Commerce for referrals.
Indiana-Specific Resources
If you’re based in Indiana, you’re in luck—there are state-specific funding tools to explore:
- Indiana GrantLab – Helps nonprofits apply for and manage federal grants.
- United Way of Southern Indiana – Offers community impact grants.
- Community Foundations – Look into regional funds in Las Vegas, Reno, or Northern Indiana.
Final Thoughts
Funding a new nonprofit can feel overwhelming, but it’s possible with the right approach. Start small, build local relationships, and diversify your funding sources. Whether you’re applying for grants, launching a crowdfunding campaign, or seeking business sponsorships, each dollar brings your mission one step closer to reality.
If you’re in Indiana, lean into the resources available—you’ll have a head start many others don’t.
Next Step: Draft a basic funding plan using 2–3 of the methods above and take action this week.
Want help developing a fundraising plan? Reach out—we’d love to support your mission.