How do we set a realistic fundraising target?
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Start with the amount your group needs to retain, then work back through costs and realistic participation. For products, budget the margin after supplier costs and fees rather than using sales as profit. For donations, account for any fees and event costs your group covers. A Raised campaign goal communicates a target; it is not a forecast.
What does the money need to cover?
Break the purpose into known costs, such as equipment, transport or a supplier invoice. Separate costs already covered by grants or other income so the fundraiser has a clear remaining amount to aim for.
If several campaigns contribute to one purpose, keep a budget alongside the shared goal. Product revenue and donation revenue may contribute different retained amounts.
How can you check whether the target is plausible?
Estimate the number of supporters you can reach and a reasonable contribution or product order. Use a low, expected and high scenario rather than a single optimistic total.
For example, 100 orders with a NZ$6 contribution after variable costs provide NZ$600 before fixed expenses. If you need NZ$1,000, change the volume, margin or plan rather than relabelling the sales total as proceeds.
What if the campaign falls short?
Explain how funds will be used if the target is not reached or is exceeded, consistent with your campaign terms. Review the budget before promising a purchase based on an unconfirmed total.
- List the remaining purpose costs.
- Estimate fees and fulfilment expenses.
- Calculate the support needed at a realistic margin.
- Choose a closing date and review point.
- Report actual proceeds separately from the original goal.