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More donors restricting gifts

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More and more donors are requesting that their gifts be used for a particular purpose or project, a new survey of contributors says.

The survey, “2nd Annual State of the Nonprofit Sector,” conducted by Blackbaud, Charleston-based software and services provider, analyzed responses from more than 1,000 nonprofit professionals.

Almost half of the nonprofits surveyed say they have seen an increase in restricted donations, the report says, and four in 10 say their personal connection to a nonprofit is behind their giving.

Restricted donations are up due to increased disaster-relief funding and heightened concern about accountability and transparency, the report says, so nonprofits must maintain donors’ trust by being good stewards of donations.

More than half of responding nonprofits say high-income donors are more likely to restrict their gifts, as are seven in 10 middle-aged or older donors, and one in three first-time donors, the study says.

At the same time, almost half of the responding groups have stepped up their efforts to raise unrestricted funds.

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