The coronavirus (COVID-19) has caused an extraordinary shift in our day-to-day lives. Events are being cancelled, businesses are closing, and there is a growing risk to our health and wellbeing.

We’ve received several questions from the non-profit community regarding fundraising amid this crisis. Many organizations are cancelling or postponing major events. Others are rightly concerned about their day-to-day fundraising activities and long-term capital campaigns. What impact will COVID-19 have on people’s willingness to give? Will the fall in the stock market affect your organization?

Every organization is different and it’s impossible to say for sure how everything will play out. What we do know is that the most successful non-profits are the ones that can persist with their mission even during times of tremendous change. This means continuing to find ways to communicate with donors, determining what motivates their giving, and cultivating an ongoing relationship built on trust and respect.

We often find it helpful to think strategically about a range of possible scenarios, from the best case to worst case. Consider how things might play out:

• In the best case – There’s no long-term impact on your organization. Maybe you have a large reserve in place to help smooth over any loss in income. Maybe you got lucky and haven’t had to cancel a major donor event. Or maybe the virus’s impact won’t be as bad as we all fear.
• In the worst case – COVID-19 poses an existential threat to either your operations or your finances. Maybe you’ve had to cancel a major event, or maybe you’re on the front line of battling this epidemic and your resources are being rapidly depleted. Maybe the virus continues to spread, we enter a recession, and the quarantine lasts for longer than expected.

What is the best way to respond? In either case, the answer is the same. The best response currently is not to pull back, persist in your mission, find ways to adjust, and keep asking for support the best way you know-how.

In practice, this means:

• Communicate Often - People crave information in a crisis. This is a great excuse to update donors on how your organization is doing. Use social media, get on the phones, and keep donors up-to-date on the impact you’re seeing. Check in to see how donors are doing. If anything, people stuck at home might appreciate someone reaching out to them.
• Be Transparent – It’s important to acknowledge if your organization is facing challenges from COVID-19. Let donors know what you are going through but do so in a way that encourages support. Even if there has been no negative impact so far, let them know what you feel the future may hold and how their support can help. Tackle the issue head on.
• Remind Donors of Why You Matter Right Now – Those fighting COVID-19 directly (e.g., hospitals, research, health and welfare, etc.) have an easier time asking for support right now, but there are still many organizations aiding those affected by the virus indirectly. Organizations working with underserved communities will need extra resources to combat any economic effects of the virus. Schools will need to help students catch up from missing time in the classroom. Animal shelters can pair pets with people who have increased stress and anxiety. There are many creative connections that your donors might find motivating.
• Salvage What You Can from Your Events – Many near-term events should be cancelled or postponed, but there may be workarounds to help recoup some of your loss. Is it possible to use technology to host an event digitally? Can you think of ways to retool an event so people can join remotely? Ideas we’ve seen used include hosting webinars and virtual conferences and having participants post photos to social media to give your virtual meet up a friendly face. One silver lining is that digital modes of communication are now much more widely available. If an event is only postponed, there is a chance that revenue can be recouped later. You can inform donors of postponed dates, and then use the time to create anticipation for future giving opportunities.
• Prioritize – It’s important to persist in your mission and not to stop asking, but we must understand that resources are limited. It’s best to divert what you can to your most immediate needs. Your top priority should be near-term cash flow. Can you continue to support your operations over the near term? Longer-term projects and campaigns may be less important. For example, it may be necessary to postpone an event or capital campaign if it makes more sense to focus your staff’s attention elsewhere.

It’s easy to fall into a state of panic, but you must avoid that at all costs. First and foremost, stay safe and follow all guidelines from our public health officials. The Centers for Disease Control and Prevention is a tremendous resource with up-to-date information, including guidance for non-profits. Beyond that, adjust to today’s reality as best you can, and keep reaching out to donors for support. We wish you all the best in these trying times.

All investments contain risk and may lose value. This material contains the opinions of Manning & Napier Advisors, LLC, which are subject to change based on evolving market and economic conditions. This material has been distributed for informational purposes only and should not be considered as investment advice or a recommendation of any particular security, strategy or investment product. Information contained herein has been obtained from sources believed to be reliable, but not guaranteed.