09/28/2026
A strong and varied base of revenue will always be foundational to a sustainable nonprofit organization.
When an organization relies heavily on one source of funding, that funding can feel like a tremendous blessing, and it is. But when policies, priorities, or budgets change, what once felt stable can suddenly become uncertain.
Thatโs why I believe funding diversification isnโt simply a fundraising strategy. ๐๐โ๐ ๐ฎ ๐น๐ฒ๐ฎ๐ฑ๐ฒ๐ฟ๐๐ต๐ถ๐ฝ ๐๐๐ฟ๐ฎ๐๐ฒ๐ด๐.
The organizations that are best positioned to weather uncertainty are the ones that build relationships and resilience ๐ฃ๐ฆ๐ง๐ฐ๐ณ๐ฆ they need them.
A few things really stood out to me:
โ
๐ง๐ฒ๐น๐น ๐๐ผ๐๐ฟ ๐๐๐ผ๐ฟ๐, ๐ป๐ผ๐ ๐ท๐๐๐ ๐๐ผ๐๐ฟ ๐๐๐ฎ๐๐ถ๐๐๐ถ๐ฐ๐.
Data demonstrates impact, but people connect with the human stories behind those numbers. Donors want to understand the problem youโre solving, why your mission matters, and what their investment can make possible.
โ
๐๐ผ๐ผ๐ธ ๐ฎ๐ฟ๐ผ๐๐ป๐ฑ ๐๐ผ๐ ๐ณ๐ถ๐ฟ๐๐.
Some of your best opportunities may already be within your network. Board members, volunteers, community partners, staff, and existing supporters can be powerful connectors to new relationships.
โ
๐๐๐ถ๐น๐ฑ ๐ฟ๐ฒ๐น๐ฎ๐๐ถ๐ผ๐ป๐๐ต๐ถ๐ฝ๐ ๐ฏ๐ฒ๐ณ๐ผ๐ฟ๐ฒ ๐๐ต๐ฒ ๐ฐ๐ฟ๐ถ๐๐ถ๐.
Donโt wait until funding disappears to start talking to donors. ๐๐ฐ๐ฏ๐ด๐ช๐ด๐ต๐ฆ๐ฏ๐ต ๐ฆ๐ฏ๐จ๐ข๐จ๐ฆ๐ฎ๐ฆ๐ฏ๐ต ๐ค๐ณ๐ฆ๐ข๐ต๐ฆ๐ด ๐ต๐ณ๐ถ๐ด๐ต ๐ข๐ฏ๐ฅ ๐ต๐ณ๐ถ๐ด๐ต ๐ฎ๐ข๐ต๐ต๐ฆ๐ณ๐ด ๐ฎ๐ฐ๐ด๐ต ๐ธ๐ฉ๐ฆ๐ฏ ๐ค๐ช๐ณ๐ค๐ถ๐ฎ๐ด๐ต๐ข๐ฏ๐ค๐ฆ๐ด ๐จ๐ฆ๐ต ๐ฅ๐ช๐ง๐ง๐ช๐ค๐ถ๐ญ๐ต.
โ
๐๐๐ถ๐น๐ฑ ๐ฎ ๐ฑ๐ถ๐๐ฒ๐ฟ๐๐ถ๐ณ๐ถ๐ฒ๐ฑ ๐ฝ๐ผ๐ฟ๐๐ณ๐ผ๐น๐ถ๐ผ.
Individual donors, corporate partners, foundations, and community giving can all have a place. No single source should have to carry the entire organization. Diversification creates options, and options create resilience.
What I appreciate most about this perspective is that it doesnโt suggest starting over. ๐๐ตโ๐ด ๐ข๐ฃ๐ฐ๐ถ๐ต ๐ฃ๐ถ๐ช๐ญ๐ฅ๐ช๐ฏ๐จ ๐ฐ๐ฏ ๐ต๐ฉ๐ฆ ๐ง๐ฐ๐ถ๐ฏ๐ฅ๐ข๐ต๐ช๐ฐ๐ฏ ๐บ๐ฐ๐ถ ๐ข๐ญ๐ณ๐ฆ๐ข๐ฅ๐บ ๐ฉ๐ข๐ท๐ฆ.
If youโve successfully secured federal funding, youโve already demonstrated credibility, discipline, and the ability to deliver results. Those strengths donโt disappear when the funding landscape changes. They become part of the foundation you build upon.
To me, this is ultimately about more than fundraising.
Itโs about having the foresight to ask, โ๐๐ฉ๐ข๐ต ๐ฉ๐ข๐ฑ๐ฑ๐ฆ๐ฏ๐ด ๐ช๐ง ๐ต๐ฉ๐ช๐ฏ๐จ๐ด ๐ค๐ฉ๐ข๐ฏ๐จ๐ฆ?โ and having the relationships, culture, and strategy in place to respond when they do.
We canโt always control what happens around us.
๐๐๐ ๐๐ฒ ๐ฐ๐ฎ๐ป ๐ฐ๐ผ๐ป๐๐ฟ๐ผ๐น ๐ต๐ผ๐ ๐ฝ๐ฟ๐ฒ๐ฝ๐ฎ๐ฟ๐ฒ๐ฑ ๐๐ฒ ๐ฎ๐ฟ๐ฒ ๐๐ผ ๐ป๐ฎ๐๐ถ๐ด๐ฎ๐๐ฒ ๐ถ๐. ๐ค
Rochelle Jerry, CFRM, answers a readerโs question about pivoting from relying on federal funding to mission-aligned private donors.