how do nonprofits make money

How do Nonprofits Make Money through Mobile Apps?

Nonprofit organizations do “good” work in the community, rescuing animals, helping the homeless, and providing food to the hungry. They raise hundreds of thousands of dollars, contributing to the greater good. They are staffed by teams of employees who work hard to generate money, manage programs, and do the work. How to raise money for a new nonprofit? The answer is simple. There are several ways that nonprofit organizations earn the money they use for their programs.

How do Nonprofits Raise Money from Mobile Apps?

Mobile apps are a new tool that nonprofits have been using to reach out to their base of donors and generate more revenue. Mobile apps allow people to easily find out more information about the organization, participate in their programs and support the people that the charity supports.

Through the mobile app for nonprofit organizations, potential donors can sign up to participate in the nonprofit’s events, get updates on their programs and give one-time and recurring donations. Nonprofits that use mobile apps find that it is easier to engage their younger donors and generate higher donations than through traditional fundraising.

Read Also:- How Mobile Apps Engage Donors and Members for Non-Profit Organizations

How to Raise Money Fast for Nonprofit? 

1. Donations

Most non-profit organizations depend on donations to continue their work. These donations come from individuals, corporations, and other charities. Non-profit organizations generate money from major donors who give high-value donations, in-kind donations of goods and services, legacy donations like insurance policies, estates and bequests, stock gifts, and recurring gifts.

Many nonprofits have their own apps that donors can use to make their contributions. These apps keep them updated about their giving, showing them their giving history briefly. They also allow the donor to donate with just a few clicks and even set up recurring donations with ease.

Social-focused apps allow donors to share their giving history with friends or followers, spreading awareness for your nonprofit organization about the cause and encouraging more people to become donors. Nonprofits are increasing their use of mobile apps to generate funds due to the ease of use and increased convenience of using apps in fundraising.

2. Foundation Grants

Charitable foundations are companies whose only purpose is to provide grants to non-profits to help them continue their programs and further their missions. These foundations give money that the charity does not have to repay if the charity meets certain guidelines. 

Non-profits apply for these grants annually, and they must provide information on their mission, programs, budget, and history. These grants can be for as little as $500 or as much as millions of dollars, annually. Some foundations have their own mobile grant apps, allowing nonprofits to read the grant criteria, submit documents and upload photos right from the app. 

In addition, many produce a search feature that allows fundraising professionals to see other organizations that have been funded and the amount they received in grant funds. Foundations and nonprofit organizations find that these apps make applying easy, as many of them come with built-in reminders of when certain materials are due. 

3. Product Sales

Some non-profit organizations raise money through the sale of products and services. Think of organizations like the Salvation Army, for example. Other non-profits in the arts raise money through ticket sales. Think of your local dance company, independent theater house, or orchestra.

Still, others raise money through sales of books, promotional materials, apparel, and workshops. These organizations use their own specially designed mobile apps to list products for sale, share information about upcoming events, and sell tickets. 

4. Special Events

Charity benefits and other extraordinary events are hosted primarily for the purpose of fundraising and can bring in a huge chunk of an organization’s fundraising budget. In addition, major corporations buy sponsorships which provide exposure for the corporation and income for the charity. 

Add-ons like silent auctions also bring in money during charity benefits, making them a huge source of revenue for nonprofit organizations. Nonprofits use their own mobile apps to sell sponsorships, tables, and individual tickets. Apps are used at the event for check-in and registration. They also use mobile apps for silent auctions and on-site sales at the event. 

Read Also:- How to Create an App for a Non-Profit Organization?

How can nonprofits raise money? 

Nonprofits typically raise money through grants and donations. When a nonprofit organization requests a grant from a charitable foundation, the grant will include money for salaries. The grant will include funds for the projects and programs, but also cover the salaries of those who will work to carry out the mission. This money includes salaries, benefits, bonuses, and taxes. 

Nonprofits must give an accounting of how much money they will spend to carry out their mission. They must employ administrative staff, fundraisers, program managers, and financial managers. They must pay the CEO, (Chief Executive Officer) the CFO (Chief Financial Officer), and the CDO (Chief Development Officer). The grants that nonprofits receive go to cover salaries as well as programs, but there are rules about what percentage can be paid for salaries vs. programs. 

If you have ever wondered how to fundraise for a nonprofit, you are not alone. Nonprofits typically raise money through individual, corporate, and major donations, government and private grants, and events. How to raise money to start a nonprofit? Many are increasingly depending on the use of mobile apps for sharing information, collecting donations, and managing extraordinary events. The use of mobile apps in fundraising is one of the biggest game changes in the way nonprofits raise money for their programs. 

Boost Your Donation with Sodality

Fully managed white label app platform helping you engage and grow


Why do Nonprofit organizations need a branded app?

Non-Profit organizations have traditionally relied on traditional forms of communication to spread information and their messages and reach out to the public. However, with the increase in the penetration of smartphones, a dedicated mobile app can propel their outreach efforts.  

A white-label branded app can benefit non-profits in several ways, including enhanced visibility and better engagement with the community. By creating a dedicated app, a non-profit organization can present itself as a legitimate and professional entity that is committed to making a positive impact.   

Moreover, a white-label branded app can serve as a gateway to donations and fundraising. The app can include information about the organization’s mission, vision, and initiatives, as well as payment gateways for donations.   

Furthermore, a dedicated app can help non-profits market their initiatives more effectively. With features such as push notifications and news feeds, non-profits can keep their followers informed about their latest initiatives and upcoming events.   

Finally, a white-label branded app can streamline communication and interactions between non-profits and beneficiaries. A dedicated branded app can enable non-profits to share updates and progress reports with beneficiaries, receive feedback and suggestions, and offer personalized assistance. By offering interactive platforms, non-profits can build stronger relationships and increase transparency, which can help them produce more support and donations.

Peer to peer fundraising strategy for Non-Profit Organizations

Peer-to-peer events: in peer-to-peer events, individual supporters can collect donations from their friends, family, colleagues, etc. for their organization.  

Some examples of Peer-to-peer fundraising. 

  • 5K race 
  • Walk-a-thon
  • Pub crawl 
  • Bake sale
  • Virtual challenges 
  • Giving day 
  • Game night  

Peer-to-peer strategies: 

In this section, let us understand more about Peer-to-peer strategies. Peer-to-peer campaigns can leverage the relationships between organizations and other members and volunteers. A non-profit organization should help its fundraising partners to complete various activities such as setting up their campaign pages, highlighting them in your newsletter, social media, etc.  

Advantages of Raising Money from Applications:

Raising money from applications for a nonprofit organization can offer several advantages. Firstly, it is a cost-effective way to raise funds as the cost of advertising and promotion is reduced. This is because applications are designed to attract many potential donors. Through online applications, nonprofit organizations can reach a broader audience from different geographical locations.   

Secondly, applications provide a better way to manage donations. It removes the need for paper forms that can be difficult to manage and track.   

Donations can be managed through a secure payment gateway that ensures all donations are recorded and allocated appropriately. Additionally, applications can provide insight into donor management by tracking donor activity, preferences, and communication preferences.   

Lastly, the convenience of applications can increase the likelihood of recurring donations. This can be achieved by providing options for donors to set up automatic recurring payments processed at regular intervals. This ensures a steady stream of funds that can be used for ongoing projects and initiatives of the non-profit.   

The process is cost-effective with the widespread use of smartphones and mobile devices. Non-profit organizations can leverage applications to reach a broader audience, improve donation management and increase donor management. 

Apps Promote User Acquisition 

Mobile applications make it easy to connect with volunteers and other members of non-profit organizations. Nonprofit organizations can use mobile phones to achieve their business and marketing goals.  

Offer Ease of Accessibility:  

Mobile phones for a non-profit organization help in accessing notifications easily. Mobile phones help in getting a captive audience engagement.   

Applications improve customer experience. The mobile phone can help you to connect with people who have social media accounts. As more people get attracted to their social media accounts during the pandemic.

Read Also:- How to Create a Church Giving App? 

How can Sodality help in launching a successful mobile app for your nonprofit organization? 

Sodality is a white-label branded app to enhance nonprofit organizations’ visibility, streamline communication and facilitate fundraising. Moreover, it can also act as a marketing tool, enabling non-profits to communicate their message effectively and cultivate stronger relationships with the community. By investing in this white-label branded app, non-profits can future-proof themselves for the digital age and see themselves apart from the competition. 


We hope you understand now how nonprofits get money through mobile apps.  In this blog, we cover diverse ways to make money for a nonprofit organization. In addition, we discussed several types of auctions that can help these organizations and how these mobile applications can help them to make money through auctions. 

Frequently asked questions: 

1. Is it possible for a Nonprofit organization’s Founder to make Money?

Yes, a Non-profit organization’s founder can make money.

2. Difference between Nonprofit and For-Profit Organizations?

For-profit organizations are built to serve business owners.

Non-profit organizations are built to serve society. It does not earn profit for their owners. Nonprofits are registered as 501(c)3 organizations.

3. Where do nonprofit organizations get their money?

Non-profit organizations get their money in diverse ways. They can accept donations from private individuals, for-profit companies, charitable foundations, and governments.