DMA Nonprofit Federation Announces New Fundraising Principles

• Nonprofits must have a well-defined mission statement describing what they do and why. Clear articulation of mission helps donors choose whether or not to support a particular cause or organization.
• Nonprofits must act in a way that furthers their mission. This includes responsible use of resources consistent with their stated mission objectives.
• Messaging to donors must be accurate and transparent. A nonprofit organization must accurately describe how it spends its money, and must do what it promises to do.
• Nonprofits must apply good faith effort to comply with relevant federal and state laws and regulations.

Use of Funds/Cost of Fundraising
Fundraising to the general public is a key function of nonprofits because, in most cases, this is the primary source of unrestricted financial support. Without donors, and without fundraising activities to acquire and retain these donors, nonprofits could not remain active and their mission delivery would no longer be viable. Fundraising is both a short- and long-term investment in the mission of the organization.