Understanding a donor's intent to give has always been important to the process of fundraising, however, it's rarely been a priority to track. While verbal intent might drive a savvy frontline fundraiser's next steps with a donor, it's not a qualified metric that shows up in the pipeline, because verbal intent does not meet accounting standards.
Historically, Banking on Donor Intent is a No-Go
To meet accounting standards, a donor's intent needs documentation, including confirmation the donor intends to give, the size of the gift, a due date, and a gift designation. When these standards are met, suddenly intent becomes bookable revenue that your organization can count on for forecasting, budgeting, and reporting.
However, most nonprofit organizations are likely to have just 10% of donors with formalized gift agreements. This is no oversight. Historically, formalized gift agreements are reserved for only the largest of all donors because they consume an enormous amount of coordination, staff and leadership involvement, and legal expertise.
This means it's quite likely that 90% of an organization's donors have no formalized commitment, and pipeline generation can't be counted until gifts come in the door – even if your donors give like clockwork every year.
Digital Gift Agreements Fundamentally Change Gift Documentation
Until now, gift and pledge agreements were too cumbersome to scale beyond the largest major donors. Digital Gift Agreements changed this dynamic. By digitizing and formalizing gift agreements, organizations of all sizes can treat every donor like a major donor.
Givzey's Gift Documentation Platform formalizes relationships between frontline fundraisers and donors with professional gift documentation. Rather than the typical bottlenecks that would come with gift agreements, Givzey's platform empowers fundraisers to create and send agreements in seconds – even as they are on the line or in person with a donor.
With the Gift Documentation Platform, suddenly donor intent transforms into bookable revenue and a metric that's worth tracking.
Benefits of Formalized Donor Intent
Pipeline Generation is Forecastable – At any point in the year, leadership can see what gifts are coming in, pipeline value, and all donors who have given or have formalized their intent to give
Donor Retention -- We all strive for a world-class donor experience. When all donors are treated like major donors, and giving becomes simply clicking a button, you make it easier and easier to give.
Multi-Year Commitments -- Part of the struggle with fundraising is soliciting gifts every single year. Digital Pledge Agreements change this dynamic by empowering donors to agree to multi-year pledges, in turn allowing frontline fundraisers to focus on stewardship.
Fundraisers Start Every Fiscal Year Ahead -- Frontline fundraisers start each fiscal year at zero. But with Givzey, fundraisers proactively seek out multi-year commitments and get gifts on the books years in advance.
Organization Budgets Become Easier -- While budgeting might feel like a three-month exercise each year, leaders know it's a year-round process. By knowing precisely what gifts are coming in, their designations, and what you can expect from donors in the future, you can accurately set budgets and react when new needs arise.
Learn more about Givzey's Gift Documentation Platform. Contact us.