The Myth of Feasibility for Small Organizations (and what works better)

Small organizations have more potential for capital campaigns than meets the eye. One organization we worked with recently comes to mind—though their story reflects many of the small, but mighty nonprofits we support. It’s a relatively new organization with a human services mission formed during the pandemic to address an urgent community need. They had zero fundraising history, but needed to raise nearly $3 million dollars within a few years for a critical community project.

On paper, they would have been rated a low likelihood of success in a traditional capital campaign feasibility study. The math simply didn’t add up. And yet, within two years of launching, they raised millions.

What they lacked in systems, staffing, and fundraising experience, they made up for with leadership grit and a powerful story of community need.

Their community understood the urgency, and rallied.

This is not an outlier. Many organizations we work with are just beginning to build their fundraising capacity, yet they can’t put community needs on hold. When facilities are beyond capacity, when demand for services is surging, or when a permanent home becomes mission-critical, organizations simply can’t wait five years for donor relationships to mature.

Why Traditional Feasibility Studies Fall Short for Small Organizations

Traditional campaign feasibility studies involve structured interviews led by consultants with potential donors, culminating in an analysis of giving capacity and a report predicting whether a campaign goal is achievable. For medium and large organizations with deep and long donor relationships, a feasibility study is a great investment in planning for the right campaign at the right time.

For small organizations with emerging fundraising programs, the result is often a highly predictable red or yellow light with limited forward momentum.

Small organizations have an often-overlooked advantage: an intimate understanding of their community. Staff and board members usually know who gives, who can give more, and who will champion the cause, even if they aren’t yet supporters of your organization.

Why We Recommend Campaign Planning Over Feasibility Studies

For small or newer fundraising organizations, we encourage prioritizing Campaign Planning rather than feasibility studies. This approach allows you to:

• Focus on momentum, not permission.

  Ask “How do we move forward with a campaign?” instead of “Should we?”

  This mindset creates momentum, even if the campaign needs to be phased over a longer period of time, or scaled down to fit a smaller budget.

  
  

  For example, we are currently working with an animal welfare nonprofit on a capital campaign to expand their space because their space is at full capacity. Together, we’re mapping a path forward by identifying the lead supporters who can unlock wider community support and get them halfway to their goal. The full endgame may not be clear yet, but we’re focused on determining the next best step forward.

• Build fundraising capacity while campaigning.

  As your organization grows operationally post-campaign, your fundraising muscle grows to match your expanded mission. We have seen several organizations accelerate out of their campaigns with expanded annual giving because their donors are engaged and excited about the ways the organization has recently transformed. This is critical as many small organizations also expand their operating budgets following a campaign.

• Break it into manageable steps.

  Start small. In our Campaign Accelerator projects, we begin by building fundraising capacity and defining the campaign scope. This aligns the board and staff before expanding to the broader community. Campaigns multiply the fundraising workload so this approach paces organizations with limited capacity to focus on the critical path forward.

• Engage supporters directly.

  Staff, board, and volunteers can initiate and cultivate donor relationships themselves without relying on consultants as intermediaries. This is more cost-effective and relationship-driven, both of which are essential to small organizations. We recently saw an Executive Director reshape her campaign strategy after deep, one-on-one conversations with prospective donors—feedback she might have dismissed had it simply appeared in a report as second-hand information from a consultant-led conversation.

Campaigns Can Transform Small Organizations

Campaigns often change everything for small organizations, or early-stage fundraising organizations. They have the ability to:

• Demonstrate proof of concept for big visions

• Forge deep community partnerships and supporter relationships

• Build long-term fundraising capacity

• Establish sustainable sources of funding

• Mint visible leaders and advocates

It is our belief that campaigns should not be reserved only for the large, established organizations. Our communities need bold solutions from nonprofits of every size, and small organizations are often closest to the need and quickest to act.

Community needs are changing faster than traditional fundraising practices can keep up, and donors are increasingly willing to invest in solutions that respond with urgency, even when the organizations behind them are small or still growing. Do not underestimate what grassroots energy and community momentum can accomplish through a campaign!

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This blog post was written by Cloudbreak Vice President and Campaign Practice Director, Julie Bianchi. Learn more about Julie here.

About Cloudbreak

Cloudbreak is a woman-owned, woman-led collective of 20+ consultants with expertise in grants, campaigns, and annual fundraising and communications. We exist to help nonprofits move forward with clarity, calm, and steady action, no matter the size of their team or the complexity of their goals.

Our collaborative structure allows us to connect organizations with the right support at the right time, ensuring leaders feel equipped rather than overextended. We often work with small organizations, offering practical, right-sized strategies to help them grow.

At the heart of our work is a simple goal: making fundraising feel less daunting and more sustainable. By tailoring our strategies to your capacity and resources, we aim to help organizations strengthen their fundraising with confidence and clarity.

Learn more about Cloudbreak's services here.