For years, Facebook fundraising has been a go-to for smaller and larger nonprofits alike. But some major changes to Facebook’s fundraising tools are causing a stir in the nonprofit world, as organizations are scrambling to figure out the new landscape – and find viable alternatives. In this article, we’ll walk you through everything you need to know about what has changed and some great alternatives to consider.
Facebook, now Meta, launched its fundraising tools in 2016. Since then, Facebook and Instagram users have raised over $5 billion for both nonprofits and personal causes.
Donors like the convenient option of giving on a platform they regularly use. But big changes are causing nonprofits to reconsider using Facebook as their primary fundraising tool. If you’re looking to learn more about changes to Facebook fundraising, how to fundraise on Facebook, and which alternatives can help you raise more, you’ve come to the right place!
First, let’s look at what’s changing.
Starting October 31, 2023, Facebook fundraising will look a little different. Facebook will partner exclusively with PayPal Giving Fund for nonprofits in the U.S., U.K., Canada, and Australia. They will no longer process donations using Meta Payments or Network for Good. Instead of a donation receipt from Meta, your donors will receive one from PayPal Giving Fund.
Additionally, Meta will no longer cover processing fees for donations. However, they are updating the donation process so donors can choose to cover processing fees on behalf of a nonprofit. They will also no longer provide tax documentation.
Nonprofits will need to log in and accept the new Charitable Donation Terms to ensure there are no interruptions in fundraising. If you are enrolled in PayPal Giving Fund, you’ll receive a donation payout every 15-45 days. If you aren’t enrolled, you’ll receive a check every 90 days. This means that nonprofits should enroll in PayPal Giving Fund before the change occurs to avoid payout issues.
As of September 15, 2023, Facebook no longer supports new recurring donations or recurring giving campaigns. Existing plans will continue until October 31, 2023.
First, you’ll need to ensure you’re enrolled in PayPal Giving Fund so you can receive your donations faster. If your nonprofit already has a PayPal business account, you’ll be automatically enrolled after you confirm that your business account is associated with your charity. You can do that here.
If you don’t already have an account, simply create one and follow the steps outlined on this page.
Note: You do not have to enroll in PayPal Giving Fund to receive donations on Facebook, but not doing so results in longer donation delivery times and potential non-delivery. This extra step is worth it!
Now you’re ready to launch your fundraiser! On the Nonprofit Manager for your account, you’ll find a tab labeled “Fundraising Campaigns.” Under this, you’ll see a button labeled “Create campaign.” Click on this.
There are several options for fundraising on Facebook. You can create your own fundraiser with an editable fundraising page to share. You can also create a fundraiser challenge like a charity run, walk, bike ride, or other custom activity. Or you can simply post with a donate button, urging your followers to support you.
You can also encourage more giving by adding a donate button to your profile if you don’t already have one, or sharing a link so your supporters can easily create their own fundraisers on your behalf.
In this article, we’ll show you how to create your own fundraiser. Click “Create a fundraiser.”
Now, you’ll see the desktop preview for your fundraiser, as well as the option to edit and add details on the left side of your screen.
Here you can edit your nonprofit’s details, link Instagram fundraising, and set your fundraiser’s goal. You can also set your currency and an end date for your fundraiser.
Then you’ll want to name your fundraiser and edit the pre-populated information in the “Why are you raising money?” section.
The fundraiser will automatically pull the cover image you currently have on your profile. You can change it to something else on this screen.
That’s it! Share your fundraiser and encourage your followers to join in on the fun. They’ll receive tax-compliant donation receipts from PayPal Givng Fund.
You can find a basic transaction report in the Nonprofit Manager section of your Facebook account. If you enroll in PayPal Giving Fund, you’ll find a more detailed transaction report on PayPal.
Here are the key reasons why many nonprofits are looking for Facebook fundraising alternatives with more features and flexibility.
One of the biggest limitations of Facebook Fundraising following the October 31, 2023 changes is the lack of recurring giving options. Recurring donations are automated gifts that reoccur at a set donation interval. These regular gifts help sustain nonprofits with a steady stream of funding.
While Facebook recognizes how crucial recurring giving is for nonprofits, they are no longer supporting this feature.
There’s no easy way for organizations to add their Facebook donors to their donor management tools for stewardship purposes. Although Facebook donors receive a tax-compliant receipt, there’s no way to easily add them to your CRM to send them a thank-you letter.
This adds an unnecessary step to your team’s workflow.
Facebook fundraisers are great to help you get the word out about your nonprofit. But Facebook fundraising tools aren’t robust enough to support other types of fundraising.
For example, there’s no way to capture in-person giving, memberships, or donations toward a specific fund using Facebook. Most nonprofits need a tool that can help them capture many different types of donations – which is essential for growth.
Facebook users can donate to their favorite organizations using a debit card, a credit card, or their PayPal account. Many donors appreciate the option to give using their preferred digital wallet like Apple Pay or Google Pay, which streamlines the checkout process. A lengthy checkout process can also lead to donor fatigue, which results in fewer donations for your organization.
Lastly, a big issue for nonprofits using Facebook as their primary fundraising tool is the delay in receiving funds. Organizations enrolled in PayPal Giving Fund still must wait 15-45 days to receive a payout, which is a long time when you need those funds to support your mission.
Thousands of nonprofits trust Donorbox to help them grow their online giving. With easy-to-use tools that make creating your campaign a breeze, thousands of resources on our Nonprofit Blog and our knowledgebase, and a dedicated support team, nonprofits using Donorbox have everything they need to be successful.
Donorbox has the features you need to replace Facebook fundraising and then some! These include:
And more!
Learn how you can get started in just four steps in this short video!
Facebook has been a good tool for organizations looking to grow awareness and raise funds to support their mission. It’s easy to set up a simple fundraiser and ask your supporters to fundraise on your behalf.
However, big changes to Facebook’s fundraising tools have many organizations searching for strong alternatives that can help them raise even more.
Donorbox is a great Facebook fundraising alternative because of its many easy-to-use tools and shareability on platforms like Facebook. Setting up a fundraising campaign on Donorbox takes minutes and is backed by our powerful security and donor management tools. Sign up and see why more than 80,000 organizations use Donorbox to boost their fundraising!
For more fundraising news and tips, check out the rest of our Nonprofit Blog. Subscribe to our newsletter for curated content delivered to your inbox every month.
Lindsey spent years wearing many hats in the nonprofit world. Whether she was helping arts nonprofits with their messaging and content, planning a fundraising gala, writing an NEA grant proposal, or running a membership program with over 400 members, she learned how to navigate – and appreciate! – the fast-paced world of fundraising. Now, she loves sharing those hard-earned lessons with the Donorbox community.
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Lindsey Baker Bower