AFP publishes more proof of fundraising divide

Look. I'm not here to waste your time.

Most people don't know this, but I have a magic crystal ball in my desk drawer. It has special powers that allow me to predict the future. Not only that, but I read a shit load of news stories everyday about fundraising in order to hopefully share some observations of what trends will influence our industry.

I'm not trying to scare you. I only want to warn you - so pay attention.

Small nonprofits seem to be in trouble... and it may only be a matter of time before larger groups start to see the same fundraising weakness creep into their programs.

The AFP published the results of an online fundraising survey today.

In general, larger organizations are faring better than smaller charities. Two-thirds of organizations with budgets greater than $50 million have raised more money during the last quarter of 2007 than in 2006, as are more than half (52.4 percent) of charities with budgets between $10 million and $50 million. In contrast, only about one-third (32.7 percent) of organizations with budgets smaller than $500,000 have raised more money during the last quarter of 2007 then they did during the same period in 2006.

Now, I know what you are thinking... fundraising is not an easy job. This is a very tough profession and if charities can't retain top quality talent and invest in fundraising, they aren't going to make it over the long run.

But if there is a recession looming which could cause an industry wide fundraising slump, there is no doubt smaller charities would be affected first. If you are a Development Director you might want to consider buying a canary for your coal mine in 2008.