The Ultimate Guide to Instagram Fundraising

Instagram fundraising is one of the most effective ways to raise money for your nonprofit in the present times. You can add a Donate button, fundraise on Instagram Live or Reels, and do more on this trending social media platform. Read this guide for detailed insights into every kind of Instagram fundraising.

8 minutes read
The Ultimate Guide to Instagram Fundraising

Social media has become a primary way for nonprofits to reach larger audiences and share their story. Now, platforms like Instagram have also made it easy for nonprofits to include several ways to promote their organizations and raise funds.

Instagram fundraising can involve things like adding a donate button or sticker for fundraising on Instagram Live. If you follow the right strategy and some tips (we’ve provided several in this blog!), your nonprofit can raise a significant amount on Instagram.

This article shares five common ways to raise funds on Instagram, how to add each feature, and why you need it for your fundraising events and campaigns.


What is Instagram Fundraising?

Instagram lets nonprofits raise funds directly from the app by enabling them to add a donate button, donation sticker, and fundraiser to their stories.

As of October 2023, Meta (owners of Instagram and Facebook) partners exclusively with PayPal Giving Fund for nonprofits in the U.S., U.K., Canada, and Australia. This means any donors who give to your cause via Instagram will receive a donation receipt from PayPal Giving Fund. Donors have the option to cover processing fees on behalf of a nonprofit. They will also no longer provide tax documentation. Learn more about Meta’s fundraising terms here.

However, organizations can also fundraise on Instagram without using their direct fundraising features by sharing their campaigns, updating supporters, launching peer-to-peer campaigns, and boosting supporter recognition by thanking donors and volunteers. This adds to your social proof as well!

From raising funds to promoting campaigns to spreading awareness to acknowledging supporters – Instagram is a complete solution to your nonprofit’s social media fundraising.


Requirements to Fundraise on Instagram

If you wish to use Instagram’s built-in fundraising tools, there are a few things you need to do to ensure your account meets all requirements to accept donations.

Here are the steps you need to take:

  • Enroll in Facebook’s fundraising tools and be approved to use them
  • Ensure your account is an Instagram business account 
  • Connect your Instagram business account with your organization’s verified Facebook page
  • Check to see if you are able to add donation stickers on Instagram (located under Publishing Tools on your Facebook page – select Donation Settings)
Once this is done, you’ll be all set to enjoy Instagram’s fundraising features.

6 Different Ways to Fundraise on Instagram


1. Add a donate button

Adding a donation button is hands-down the easiest and best way to solicit donations. The primary reason people don’t donate is that it’s too difficult.

Adding a donate button to your Instagram account lets your supporters and those new to your organization give quickly. If your video or image catches someone’s eye, you want to make it as easy as possible for donors to support the organization immediately.

Instagram makes it easy for nonprofits to add a donate button. Here are the steps:

  1. Go to your Instagram profile.
  2. Tap the options button in the top right of your screen.
  3. Tap “Business” and then “Donations” on the expanded menu
  4. Click the toggle next to “Add Donate Button to Profile.”
Be sure your app is updated to the latest version – you may not see these options if you have an outdated version.

2. Charity fundraiser – get supporters to fundraise for you

Peer-to-peer fundraising has gained popularity among nonprofits as it is an excellent way to boost donations and campaign reach. Organizations are reaching out to their volunteers, board members, family members, friends, and donors to raise funds for them.

Instagram makes it easy for you and your followers!

Once a nonprofit is verified on Instagram and can collect donations, it can reach out to followers and share how easy it is to fundraise with only a few clicks.

Your supporters can follow these simple steps to start a charity fundraiser on Instagram –

  1. Tap “+” on the top right of your screen.
  2. Select “Post”, choose an image, and tap “Next”.
  3. Under your image, select “Add Fundraiser”.
  4. Enter the charity you want to raise money for and select it from the menu.
  5. Add details on the “Fundraiser Details” page, tap “Add”, then tap “Share”.
  6. The fundraiser will be visible in the post, and you can add a link to your profile bio.

3. Add a donation sticker to stories

Nonprofits and their supporters can get the community’s attention by adding a donation sticker to stories on Instagram.

By including this option, Instagram has made it easy for you to catch attention with a video or image and make it easy for people to give. Stories shared on Instagram are live for 24 hours, so there’s a built-in sense of urgency.

Your organization can support its peer-to-peer fundraising volunteers with program updates, images, and videos. Instagram then makes it easy for supporters to add donation stickers to their stories.

Your supporters can follow the below steps to add a donation sticker to their stories –

  1. Open the “Camera” on Instagram and click or upload a picture.
  2. Tap the “Sticker” icon.
  3. Select the “Donation” sticker.
  4. Next, find a nonprofit’s account.
  5. Customize the fundraiser or sticker using the “Stories” creative tools.
  6. Tap “Send to”.
  7. Tap “Share” next to “Your Story”.

Your supporters can add different images and videos to their stories and include a sticker on each.


4. Start a fundraiser on Reels

Fundraising videos help spread awareness and convince more donors to give in an easily digestible package. Short-form video content like Reels are the perfect way to educate your followers about your cause – and encourage them to give.

Instagram lets nonprofits create and share exciting 90-second videos. Nonprofits can also use Reels to add audio, text, special effects, and more. Before adding anything, you must ensure you have the latest version.

After that, follow the below steps –

  1. Tap “+” on the top right corner of your Instagram account.
  2. Choose “Reel” in the dropdown menu.
  3. Film or upload a video and tap “Preview”.
  4. Add audio, text, or special effects to entice more viewers, then tap “Next”.
  5. Select “Add Fundraiser”.
  6. Select your nonprofit and fill in fundraiser details like campaign name, fundraising goal, etc.
  7. Invite volunteer fundraisers as “Collaborators” and tap “Share”.

Your fundraisers are automatically linked to your reel. It will also be automatically added to your profile bio, and supporters can share from this link.


5. Fundraise with Instagram Live

Ask your supporters or fundraisers to start a live video to support your organization and raise funds for you. This is especially impactful if any of your supporters have a large following where they are likely to have more views.

Here’s how your supporters can start a fundraiser on Instagram Live –

  1. Tap “+” on the top right corner of your Instagram account and select “Live”. You can also swipe right on your Instagram feed and select “Live”.
  2. Tap “Fundraiser” on the left side of your screen.
  3. Choose the nonprofit’s name or type it into the search bar.
  4. Start your live video.

If you have a peer-to-peer fundraising campaign and your supporters have created their own fundraising pages to raise money for you, encourage them to start live sessions on Instagram at appropriate times to attract more people to their fundraising pages. Donorbox Peer-to-Peer lets you and your supporters create fundraising pages easily and get started for free!


6. Group fundraisers – collaborate and raise money together

Instagram also allows you to collaborate with influencers and public figures to raise more money for your cause. This is extremely helpful when you personally know such people or have worked with them before.

Alternatively, if you know someone who frequently supports causes related to yours, reach out to see if they’d be interested. This method also helps increase the visibility of your campaigns.

The steps are simple as follows –

  1. Once you’ve created a fundraiser (as explained in points 2 and 4), tap “Share”.
  2. Select “Invite Group Members”.
  3. Invite all the accounts that you’d want to collaborate with.
  4. When the invitees accept your invitation, their usernames show in your fundraiser. It also shows up on their profiles.

Learn more here.


5 Tips to Raise More Funds on Instagram


1. Don’t start without a strategy

Even if you have many followers, successfully fundraising on Instagram takes strategy. You may be a wiz at crafting entertaining Instagram posts, but this is a little different from fundraising – and thinking through your strategy is crucial.

Outline your goals. The best fundraising goals include a clear, attainable number that you hope to reach with your fundraising. Beyond dollars raised, you may also set a goal to grow your follower count or get a certain number of interactions on your campaign post.

Create a team of volunteers, staff members, people from your board, and other supporters who are comfortable starting a fundraiser on Instagram. Discuss your goals with them. Decide which types of media you’re going to use. Will you be collaborating with an influencer? How to approach them and when to start? What is the best time to start an Instagram Live fundraiser for your audience or your supporters’?

Ask your team these questions. Create a detailed plan and start making your strategy at least a month in advance.


2. Have crucial tools in place

Yes, you’re going to fundraise on Instagram – but that doesn’t mean you won’t need any other tools!

To fundraise with Instagram Live, you may want to livestream an event or your volunteer activities or you may want to interview your beneficiaries. And that will require proper equipment so the video quality, lighting, and sound are good.

In addition, if you have a strategy in place for posting updates, images, videos, and more on Instagram on a regular basis to keep the momentum going, your team may need a social media management tool. Use tools like HubSpot or Hootsuite to schedule posts and limit time spent on administrative duties.

To create attractive posts that grab attention, use design tools like Canva to easily produce professional-looking graphics.

Finally, your existing donor base must know that you’ll be starting an Instagram fundraiser. Not all of your supporters will be following you or your volunteers on Instagram and may miss out on the fun. Send emails in advance to invite them all to check out your fundraiser and donate.


3. Hashtags are essential

Instagram without hashtags is no good. Of course, you’ll be using the common hashtags such as #fundraising #fundraiser #donate #charity and more. But is that all? Your nonprofit and specific fundraisers must have dedicated hashtags.

Adding popular hashtags that fit your organization, mission, and campaign can –

  • Share your nonprofit with a larger audience.
  • Target a specific donor base.
  • Increase your SEO.
  • Link you to popular trends.

Promote these hashtags across your social media accounts. Ask your supporters and fundraisers to use these hashtags, too. This will connect potential supporters with your cause!

As your campaign gains attention and raises more money, use “Instagram Insights” to see which hashtags are working and which you can eliminate.


4. Be open to collaboration opportunities

Influencers who strongly endorse a cause would love to help you raise more money. Be open to and research these opportunities well in advance. While this is a great option to boost donations, you may also want to collaborate with other local nonprofits. Remember that they have their own sets of supporters. Some of them may be equally interested in your cause!

Why not collaborate and help each other? That way, you get exposure to their network and increase visibility for both organizations.


5. Don’t let the momentum slide

Momentum is everything you need on social media platforms like Instagram. Although you may have a trending fundraiser one day, there are so many competing stories and voices – and it’s easy for your campaign to get buried under everything else.

A sense of urgency and importance will encourage donors to act. If you convince them they must act now, you’ll see an even better return.

Get pictures and videos from your on-ground work, interview beneficiaries or collect their testimonials, get impact data, and more. Turn your campaign into a regular occurrence on your Instagram account to generate excitement about your cause.


Want more tips on using Instagram for your nonprofit? Here’s an article where we’ve listed the top 10 tips to help you get started!


Final Thoughts

Nonprofits that want to reach a new audience and connect with their supporters, especially younger donors, can use Instagram’s fundraising tools. Instagram gives nonprofits several different and new-age fundraising options that are sure to grab a lot of people’s attention.

Instagram fundraising is a new fad that nonprofits love to hop on. But you’d still need other trending fundraising methods like crowdfunding, recurring donations, online fundraising pages, peer-to-peer fundraising, event ticketing, and more to create a steady income stream and build lasting relationships. Donorbox is there to help! Check out our website for simple-to-use and affordable features. You can manage your donors on our tool as well! Just sign up for free and get fundraising right away!

Think you need expert help and coaching to fundraise better and acquire more donors? Donorbox Premium has been designed just for you! Pricing is personalized for every organization’s needs.

Find insightful blogs, step-by-step guides, downloadable resources, and more on the Donorbox Nonprofit Blog. Subscribe to our newsletter to have our best resources delivered to your inbox every month.

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Kristine Ensor is a freelance writer with over a decade of experience working with local and international nonprofits. As a nonprofit professional she has specialized in fundraising, marketing, event planning, volunteer management, and board development.

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