Charity Fundraising
Targets Explained

Charity Fundraising
Targets Explained

If you ever embark on a charity trek or challenge, there are basically only two ways you can pay for it; self fund (pay for it yourself) or get sponsored to do it (attract donations from which the trip is partially paid).

Truth is, without the sponsored route, lots of people would never be able to go.

Charity fundraising explainedSo just how are those fundraising targets worked out? After all, the money has to be accountable right? Correct.

First things first, regardless of how the the trip is funded, the person taking the charity trek on (the client) has to pay the deposit (or registration fee* as it is sometimes referred to) from their own funds.

Once that’s done, whatever’s left is the balance of the cost of the trip. The rest is best shown by example.

Let’s take a Sahara charity trek that costs £1000. The client pays a deposit of £250 leaving a balance of £750.

Whilst there is no formal guideline in place, it is an accepted practice that a client cannot benefit by more than 50% of the donations received so in order to use the £750 for the balance payment, a client would need to receive £1500 in donations.

£1000 trip cost – £250 deposit = £750 balance x 2 = £1500, which becomes the fundraising target.

In general terms, if you know the overall trip cost and the deposit required, you can apply that formula to any given trip.

You will see variations that don’t quite add up. Why? Charities would like to receive as much as they can of course so they can often raise a target in order to do so.

Can I reduce a fundraising target if it appears high? Yes, you can. By simply paying more of the trip cost from your own pocket you will reduce the target proportionately. It’s called Flexi funding. Using the same example of the Sahara costs above:

£1000 trip cost – £250 deposit – £100 additional self payment = £650 balance = £1300 fundraising target.

You will see that for every £100 extra you pay yourself, it reduces the fundraising target by £200 (double).

*Do make sure that the Registration fee forms part of the overall trip cost and is not a separate fee just to join it.

Read more >> How It All Works?

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