Nonprofits Navigating Change: How to Approach Donor Relations in Uncertain Times

Key Points:  

• Nonprofits should address funding challenges with transparency and empathy, inviting donors to be active partners in resilience through consistent, mission-focused communication.
• Proactive, personalized engagement – especially with major donors – and ongoing storytelling about tangible impacts strengthen relationships and support.
• Preparing a crisis communication plan and empowering leaders and board members with clear messaging ensures unified, effective outreach during uncertain times.  

As nonprofits nationwide experience cuts in government funding – at the local, state and federal levels – inflation, staffing challenges and increased demand for programs are already stretching resources thin. 

For nonprofit communicators, this moment demands clarity, urgency and connection. How we engage donors will directly impact our ability to weather funding uncertainties and keep vital programs running.  

Here are some important steps to take: 

This is where empathy, transparency and trust come into play. You can be honest about what’s happening without creating panic or scaring donors off. 

Clearly communicate the challenges your organization is facing due to funding uncertainties. Start by sharing the facts, identifying what you’re doing to adapt and inviting donors into the conversation as partners in resilience. This honesty fosters trust and welcomes donors as active partners in navigating the crisis. 

Once the conversation is started, don’t let donor engagement drop off. Regular, mission-aligned communications can go a long way in uncertain times.

As you open the door of communication with your donors, make sure you’re initiating one-on-one dialogues with donors. Bonus points if you’re having personal conversations with major donors, rather than updating everyone with the same mass email. 

These discussions build deeper relationships and give donors the opportunity to ask questions and offer insights. Understanding their interests and values will help you align your appeals more effectively, leading to increased donor support.

Proactive engagement is crucial. Rather than delaying action, invest in donor outreach and fundraising initiatives now. Waiting can exacerbate financial vulnerabilities. 

Uncertainty can lead to hesitation – but now is not the time to pause. Take a proactive stance by reaching out to donors, planning campaigns and reinforcing your organization’s readiness to adapt. A “wait and see” mindset only deepens risk.

Even when budgets are cut, the stories are still there. 

Don’t be afraid to speak out during uncertain times. It’s not about politics – it’s about your mission and service. By humanizing the impact of the possible funding cuts, you’re demonstrating how donor contributions directly support your organization’s efforts, especially during crises. 

Sharing tangible outcomes reinforces the value of their support. Whether it’s providing local students with back-to-school supplies or a senior receiving rent assistance, spotlight how donor support changes lives. In tough times, people want to see the good their generosity makes possible. And storytelling will help you bring in the next set of donors.

If you don’t already have one, now’s the time to develop a basic crisis communications plan. This plan should outline how you’ll communicate if funding is slashed, a program is paused or if you need to make tough staffing decisions. 

A good plan empowers your team to act quickly and speak with one voice. It forces you to think ahead about stakeholder communications, public relations outreach and operational transparency, so you aren’t scrambling during an already challenging period. 

In times of uncertainty, revisit your communications strategies. Ensure your messaging resonates with current realities and donor sentiments, emphasizing the impact and necessity of your work.

Your board and most passionate advocates are some of your strongest communicators. During tough times, it’s okay to lean on them. 

As part of your communications plan, equip key stakeholders with succinct, accurate messaging and let them have conversations on your behalf. Make it easy for them to share the urgency – and the impact – of your work.

These uncertain times won’t last, but you can ensure your donor relationships do. As communicators, we’re uniquely positioned to drive forward the kind of clarity and hope that keeps donors connected to our causes. 

Tracy Wolf is an Integrated Communications Manager at Franco. Connect with Tracy on LinkedIn.