{"id":27776,"date":"2022-02-11T04:34:34","date_gmt":"2022-02-11T12:34:34","guid":{"rendered":"https:\/\/donorbox.org\/nonprofit-blog\/?p=27776"},"modified":"2025-08-14T03:26:41","modified_gmt":"2025-08-14T10:26:41","slug":"major-gifts","status":"publish","type":"post","link":"https:\/\/donorbox.org\/nonprofit-blog\/major-gifts","title":{"rendered":"The Magical World of Major Gifts – A Compact Guide for Nonprofits"},"content":{"rendered":"

Major gifts are the power players in the fundraising world, the backbone that keeps many nonprofits running, and oftentimes, the largest single donation that a nonprofit receives at one time.<\/p>\n

The monetary definition of a major gift varies from nonprofit to nonprofit. A smaller nonprofit might define a major gift as anything over $500, and a larger nonprofit might designate a major gift as anything over $25,000.<\/p>\n

In this article, you\u2019ll learn –<\/p>\n

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  1. Why are Major Gifts Important?<\/a><\/li>\n
  2. Who is a Major Gifts Officer?<\/a><\/li>\n
  3. The Major Gifts Fundraising Cycle<\/a><\/li>\n
  4. 6 Essential Steps to Starting a Major Gifts Program<\/a><\/li>\n<\/ol>\n
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    <\/a>Why are Major Gifts Important?<\/h2>\n

    \"major<\/p>\n

    Major gifts and major donors can be absolutely game-changing for a nonprofit. Let us take a look at why.<\/p>\n

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    <\/a>1. Major gifts put you \u201con the map\u201d.<\/h3>\n

    Major gifts make up most of your organization\u2019s total revenue for the year. They enable a nonprofit to fund its programs, and in turn, empower it to positively impact the lives of its many beneficiaries. Unlike before, you can reach out to more people and expand the reach of your efforts.<\/p>\n

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    <\/a>2. They help you survive in hard times.<\/h3>\n

    Besides planned gifts<\/a>, major gifts are often the largest gift a nonprofit will receive at any one time. They can be the difference between a nonprofit program surviving, or shutting down. Imagine that your nonprofit regularly receives gifts of around $50 and no more than that. Just a single major gift of $1,000 from one donor is equivalent to 20 of those $50 gifts.<\/p>\n

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    <\/a>3. The majority of your funds come from major gifts.<\/h3>\n

    On average, studies<\/a> have revealed that 75% of a nonprofit\u2019s funds come from its major gifts. Major gifts are the backbone of many nonprofit organizations. Therefore, the importance of a nonprofit\u2019s relationships<\/a> with major donors as well those gifts cannot be understated.<\/p>\n

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    <\/a>Who is a Major Gifts Officer?<\/h2>\n

    \"major<\/p>\n

    Typically, major gifts officers are experienced fundraisers<\/a> who have backgrounds in broad-based, mid-level<\/a>, or planned giving fundraising positions.<\/p>\n

    You\u2019ll need to hire someone who has excellent interpersonal skills, can collaborate with other development officers, and wholeheartedly cares about your nonprofit\u2019s mission<\/a>. Without their own strong commitment to your nonprofit, a major gifts officer will always fall short in inspiring high-wealth individuals to develop a commitment to your nonprofit themselves.<\/p>\n

    Major gifts officers will report to the chief development officer or development director in a nonprofit. They should be held responsible for doing everything from identifying major giving prospects, to cultivating and managing relationships with these prospects, setting realistic goals<\/a> for major giving initiatives, and reporting major giving progress to the board and other higher-level employees.<\/p>\n

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    <\/a>The Major Gifts Fundraising Cycle<\/h2>\n

    \"major<\/p>\n

    In order to successfully raise major gifts, it\u2019s important to follow a specific, 4-stage cycle. This cycle will empower your nonprofit to save time and resources by investing in prospects who are actually likely to give.<\/p>\n

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    <\/a>1. Identification<\/h3>\n

    When identifying great prospects<\/a>, you\u2019ll be interested in two indicators: wealth (the prospect\u2019s ability to give) and affinity (the prospect\u2019s willingness to give). Some common wealth indicators include real estate ownership, stock ownership, and political<\/a> giving. For example, a donor who gives more than $2,500<\/a> in political campaigns is 14 times more likely to contribute to a nonprofit than those who do not.
    \n<\/a><\/p>\n

    Some helpful indicators of affinity include the donor\u2019s past giving to yours or other nonprofits, and whether or not the donor is involved intimately with a nonprofit (e.g. as a board member or volunteer). When evaluating prospects\u2019 wealth and affinity, look not only to your own donor database but to digital prospecting tools that are designed for donor research (e.g. i-wave<\/a>, WealthEngine<\/a>, etc.).<\/p>\n

    This article<\/a> is an excellent resource for a full list of tips and tricks for identifying and acquiring major donors.<\/p>\n

    Jay Frost, the president of Frost Fundraising<\/a> talks about the art of acquiring major donors in the below Donorbox webinar. He explores the strategies to discover the major sources of support, identify them through free\/low-cost tools, and finally, build lasting relationships with them. This can be especially helpful for small nonprofits looking to gain major donors for their cause.<\/p>\n