Fundraising is the process of asking for money or other support to help a charity, voluntary, or community group achieve its aims. It can include donations from the public, grants from trusts, business sponsorships, events, or selling goods and services.

Fundraising must follow legal rules and ethical standards to protect donors and maintain public trust.

Individuals

The general public remains one of the most important sources of income for UK charities. In 2019/20, it amounted to 51% of charity income. (sources: SmallCharitiesData)

• One-off donations – e.g. through appeals, charity tins, or online giving platforms like JustGiving  or Localgiving. Charity Digital list some of the best free and cheap online fundraising platforms for charities.
• Regular giving – monthly donations via Direct Debit. Gift Aid can add 25p for every £1 given. CAF do a simple guide to Gift Aid. It is possible for Unincorporated Associations to also receive Gift Aid if they register with HMRC.
• Major donors – individuals who give large amounts, often with a personal connection to the cause.
• Gifts in wills (legacies) – an essential long-term source of funding, especially for larger charities. The Chartered Institute of Fundraising Guide to Legacies is a useful place to start to find out more.

Grants from Trusts and Foundations

Many charities rely on grant funding for specific projects or core costs. Applications are considered against pre-defined criteria. Grants can be both short or long-term.

• Examples include The National Lottery Community Fund, Garfield Weston Foundation, Postcode Places Trust, or local funders including Northamptonshire Community Foundation.
• Grants often require applications with clear aims, budgets, and outcomes.

Top Tip: Match your project to the funder’s priorities. Read their guidance carefully before applying. To read out more tips, take a look at our Grants and Trusts factsheet.

Corporate Support

Businesses often support charities through partnerships, sponsorships, or staff fundraising.

• Charity of the Year schemes
• Sponsorship for events or campaigns
• In-kind support, such as free products or services
• Matched giving – where employers match what staff raise or donate

Chartered Institute of Fundraising provides a good introduction to Corporate Fundraising.

Top Tip: Approach local companies or those with a link to your group.

Community Fundraising & Events

Grassroots fundraising brings people together and builds local support.

• Sponsored walks, bake sales, raffles, quiz nights, or community fairs
• Collections in public spaces (need a permit from the local council)
• Sponsored and challenge events

Top Tip: Always follow fundraising and licensing rules. You can find out more about in the Code of Fundraising Practice on the Fundraising Regulator’s website.

Statutory Funding

This funding can either be either by:

• Grants – short-term
• Commissioned services – which are when a charity is paid by a public body—such as a local authority, the NHS, or central government—to deliver services that meet public needs. Read more about how West Northants Council handles contracts.

Top Tip: You’ll need strong governance, financial systems, and evidence of outcomes to succeed with public sector funding.

Earned Income

Earned income is often classed as Fundraising, but technically speaking it is slightly different and more generally falls under the heading of Social Enterprise. Regardless of terminology though, earning income from room hire or delivering training is an important and valuable tool in the toolkit of most Voluntary Sector organisations

• Charity shops
• Room or venue hire
• Selling services (e.g. training, consultancy, printing)

For registered Charities there are rules about trading. Guidance can be found here.

Final Thoughts: Building a Sustainable Mix

To build long-term sustainability:

• Start with what fits your charity’s capacity and strengths
• Diversify your income so you’re not reliant on a single source
• Be transparent and consistent with supporters
• Regularly review what works and adapt your approach