top of page
Search

How AI Changes the Game of Fundraising (For Good)

  • Writer: Hannah Gooding
    Hannah Gooding
  • Jan 29
  • 4 min read

Fundraising is both an art and a science. It requires precision and creativity to craft a proposal that is grounded in reality, yet invites the reader to imagine a better world – one they feel compelled to fund. Philanthropy, too, is an art and a science. It takes both rigorous analysis and optimistic faith to identify and support work that can truly influence people, systems, and outcomes for the better.


This blending of art and science is what makes the social sector the beautiful, dynamic, and often messy thing that it is. It’s also why the introduction of artificial intelligence feels so daunting, and uncertain. Which direction will it push us? Toward only science and no heart, where every funding decision is algorithmic, and creativity and human judgment disappear? Or toward only art and no fact, where funding decisions are based on what sounds prettiest on paper, and our strong ideas get lost in buzzwords?


I think the answer is simpler than we’re making it.


We decide.


Collectively, funders and fundraisers are at a vital, watershed moment—one where we get to decide, together, what AI means for the nonprofit sector and what it makes possible. I’m here to argue that AI can, and should, change the game of fundraising for the better.


For Fundraisers: It’s Not If You Use AI, It’s How

For grant writers and fundraisers, the question of AI is no longer if, but how. AI can be a powerful tool, but only when used with intention and restraint. The most important rule is this: use AI for editing, not generating. Never start from nothing. That’s how proposals and appeals begin to sound generic and cliché, flattening the distinct voices and lived realities of the organizations behind them.


Your job as a fundraiser is to represent and shape the authentic voice of your organization. AI can help with the tedious, time-consuming tasks that pull you away from that core work. It can assist with editing a program description down to an absurd amount of characters, rephrasing a vision statement for the tenth time, or tightening language to meet funder-driven requirements.


Grant writers, in particular, spend countless hours fussing over these issues, often at the expense of deeper strategy, relationship-building, and creative storytelling. 

When used thoughtfully, AI can give fundraisers time back: time to focus on what AI can’t do: building trust with funders, grounding narratives in lived experience, and translating complex human experiences into stories that are honest, dignifying, and unique.


For Funders: The Bar for Due Diligence Just Got Higher

For funders, the rise of AI comes with an even greater responsibility for fair, equitable vetting. When every application can sound polished, compelling, and technically “correct,” surface-level questions are no longer enough. The challenge, and opportunity, is to ask better questions that get at real indicators of organizational health, sustainability, and impact.


That means asking for information AI can’t generate – information that isn’t readily available on an organization’s website, or lifted from a strategic plan. 


Not just, “What need do you address?” but, “What is one concrete example that shows your model is working?” 


Not just, “What is your organization’s purpose?” but, “What are you learning from the community you serve, and how has that learning changed your approach?”


If you want to understand whether an organization is operating efficiently, ask about staff turnover, not arbitrary limits on “overhead.” If you want to understand whether an organization is resilient and positioned for long-term sustainability, ask about leadership continuity, funding diversity, and how the organization responds when something doesn’t work as planned.


For Nonprofit Leaders: Substance Will Matter More Than Ever

For nonprofit leaders, relationships, culture, and good data are about to become even more essential. In a world where every grant application and funding appeal can sound impressive, it’s substance, not style, that will set organizations apart.

That means prioritizing, tracking, and showcasing indicators that actually reflect organizational health and strength, including:

  • Staff satisfaction and retention. Low turnover is one of the strongest indicators of a healthy organizational culture and long-term viability. Every organization should be measuring this, and every board should be paying attention.

  • Client satisfaction. Beyond outputs and outcomes, leaders should assess whether clients genuinely value and trust their programs, using tools like the Net Promoter Score to measure how likely participants are to recommend services to others.

  • Diversity of funding streams. A robust mix of revenue sources is critical to long-term stability, and cultivating that mix depends on strong, authentic relationships. In this environment, relationships aren’t a “nice to have,” they’re the secret sauce.


Leaders who invest in these fundamentals will be better positioned to stand out in a funding landscape shaped by AI, because their organizations will be grounded in real-world performance, not just compelling language.


A Shared Opportunity

Ultimately, each player in the social sector will be best served resisting panic about what AI might take away, and instead imagining what it makes possible. For fundraisers, that means reclaiming time for strategy and storytelling rooted in evidence. For funders, it means raising the bar on diligence and designing processes that reward learning, transparency, and real impact. And for nonprofit leaders, it means doubling down on your organization’s culture, relationships, and community. These are the things AI can’t generate for us.


The nonprofit sector itself was born out of disruption, when communities stepped in to solve problems that existing systems failed to address. Adaptability is in our blood. If we approach AI with intention, humility, and shared responsibility, we can use this moment not to dilute the heart of our work, but to strengthen it – and to ensure that innovation works for our collective good.


For those interested in digging deeper into this conversation, we recommend this thoughtful piece on the ethics, realities, and irreplaceable human role in AI-supported grantsmanship.

 
 
 

Comments


bottom of page