Facebook has been one of the best avenues to get started with nonprofit management. This social media site has helped raise awareness, activate supporters, and even raise funds for nonprofit organizations.
With the rise of online fundraising, it’s not news to us that there are other third party businesses trying to cheat nonprofits of their well-deserved donations. On the other hand, nonprofit management has been difficult the past few years especially in the digital age of fundraising; you need to undergo different security checks before you can finish setting up your account. Now, processing and tracking donations are better through Facebook’s new Fundraising Tools that was updated in June of 2016.
With these new updates, Facebook has become the biggest game changer in fundraising history. Because of these changes, Facebook has given nonprofit managers the power to track how their funds are raised through different mediums via Facebook. Nonprofit organizations should know the following things related to the changes Facebook has implemented with its new fundraising tools:
- It is available only for US-based 501(c)(3) nonprofits. They will have to complete a three-step application process. You need to be the admin of the Page before you start signing up. You should request for page verification, submit it for review to see if it follows the community standards, then create a donations account (PayPal isn’t accepted).Be ready for the following details:
- Organization’s official name, address, contact information, Tax ID, and NTEE category.
- Your CEO or executive director’s name, date of birth, and contact information.
- US bank account information where the donations will be sent, along with a digital copy of an official bank statement or letter, account holder’s name, the account name, and ACH routing number.
- After approval, you can now add a Donate button to your Page. When a donor clicks on that Donate button, he can easily donate to your nonprofit. You can also add different Fundraisers for different reasons, either for general purposes or for special cases.Visit The Humane Society of the United States; their Page is a verified, US-based 501(c)(3) charitable organization. They have organized several Fundraisers, and also benefited from peer-to-peer fundraising via their supporter. If you have a solid follower base, it’s a good start to engage your supporters in creating a Fundraiser for your organization. All of your Fundraisers are available on your Page, and can easily be accessed through the left menu panel.Take note that the Donate button is different from the Donate Now button, as the latter can be used if you’d rather redirect donors to your website through call-to-action in ads or on your Page.
- Donors have the option to receive emails about their donations from your organization. Of course, due to privacy reasons, Facebook does not provide the mailing address of your donors, but be sure to send your thanks for supporting your campaign. Meanwhile, donors can share that they donated to your cause via Facebook. They receive a receipt of their donation through email. Moreover, they can see their history of donations through a Payment History under Settings > Payments.
- Remember that your nonprofit is featured even in Fundraisers made by your supporters. Facebook uses your GuideStar profile in displaying information about your organization, so make sure your profile is updated.
- You will receive your donations once you accrue at least $100. Facebook will make a bi-weekly transfer to your organization’s stated bank account. 95% of your donations will be transferred to you; the remaining 5% will be used to cover expenses for payment processing and operational costs to get your donations safe and securely sent to your bank.