Annual Fund

A nonprofit's ongoing, year-round effort to raise unrestricted operating support from a broad base of donors.

The annual fund is the recurring fundraising program through which a nonprofit raises general operating support each year. Unlike a one-time campaign, the annual fund runs continuously and relies on a broad base of donors giving at modest levels, typically producing unrestricted funds.

Annual fund activity often includes direct mail and email appeals, year-end giving drives, and online donation forms. It is the engine that keeps the lights on and also serves as the pipeline that identifies future major gift and planned-giving prospects.

Because the annual fund depends on bringing donors back year after year, improving donor retention and converting one-time givers into recurring donors is central to its long-term health.

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