We’re already approaching the halfway mark of 2025, and what a wild ride it has been. Political tension, tariffs, inflation, government spending cuts, and mass layoffs are fueling plenty of uncertainty. But beyond all this noise lie real consequences for individual consumers.  

These consumers are your donors, volunteers, and mission recipients, making your work as a nonprofit more valuable than ever. Of course, philanthropic organizations aren’t immune to this year’s challenges. Many charities have seen their government funding slashed and grants withdrawn, leaving them wondering how to continue their life-saving work. 

While this may feel like a shelter-in-place moment, it’s not. As previous challenges like COVID and the Great Recession have taught us, those who pull back during difficult times often don’t make it through. The bold survive, so let’s lean into this moment. 

The Struggles Are Real…  

Uncertainty could be 2025’s Word of the Year so far. So many of the issues facing nonprofits today didn’t exist this time last year. There was no way for organizations to prepare, and things are changing so quickly that they have no idea how to respond.  

These challenges are causing a make-or-break moment for nonprofits. Even worse, they’re completely beyond fundraisers’ control.  

First, new research shows that if government grants stop, more than 14,000 nonprofits could run out of money within three months. That puts nearly 2.8 million nonprofit jobs at risk, not to mention the vital services that so many Americans depend on.  

This is a national problem — one think tank dedicated to economic and policy research estimated that more than 95% of U.S. counties have at least one public charity receiving government grants. Moreover, in every state, 60–80% of nonprofits that receive government grants can’t cover their expenses if federal funding remains frozen or disappears. 

Another challenge: consumer confidence fell for the fifth consecutive month in April to its lowest reading since May 2020. Consumers typically spend less in times like these, which harms businesses and could signal a recession. Plus, the current will likely lead to higher prices and inflation.   

In times of uncertainty, it’s easy to point fingers or let emotions take over. But doing so will only distract you from your constituents’ needs. Let’s not look back or around — let’s look forward. Because while it may not seem like it, challenging moments are when creativity and innovation thrive.   

…But So Are the Opportunities  

It’s important to remember that we live in the most generous country in the world. People will continue to donate through difficult times, although they may not give as widely as they once did. Still, the opportunity is there for you to become a philanthropic priority for your supporters and reach new ones. Ask yourself these questions.
 

What Can We Do Differently? 

People can support your cause in many ways. If you can get them through the door — as a volunteer, advocate, event participant, or social media follower — then you have the potential to turn them into a donor. This is a shift in how we typically think about acquisition, focusing more on building relationships than looking for a quick gift. 

Of course, if your funding is threatened, you’ll need to find a way to compensate for the loss. Diversifying your revenue streams is vital. Just as COVID showed us the danger of over-relying on events, the sudden cancellation of government grants proves that nothing is sacred or safe.  

Find the right balance of revenue sources so you can pivot and keep the lights on if you lose one. Try envisioning a healthy, diversified revenue stream for your nonprofit, then work backward to make it happen. 

How Can We Build Trust? 

Building trust among donors is critical to earn their support through good times and bad. You can do this through authentic and transparent communication. 

Don’t be afraid to show your vulnerability, but keep the focus on those who benefit from your mission. Remember, people give to people. It’s not “We need your help” but “The people we serve need your help.” 

The blame game doesn’t work here, so keep your emotions out of your appeals. Your donors come from all walks of life and have different beliefs — you certainly don’t want to alienate anyone. Removing your emotions will keep the focus on your message and help you strike a more positive tone overall.  

Communicate consistently as well. Thank donors for their past support, then explain the challenge you’re facing. Talk about what you’re doing to ensure your meaningful work continues and give them an opportunity to donate. 

How Can We Invest in Our Brand? 

More and more consumers want to do business with brands that align with their values, and the same goes for nonprofits. The best way to communicate your values is through storytelling.  

Again, people give to people, so talk about the people you serve. Share how your mission is making a difference in their lives. Let’s face it: We all need feel-good stories right now. Gather yours through photos or videos and share them on social media. Ask your followers to like and share your posts. Just like that, your brand is associated with that story and gets amplified. 

You can use storytelling through all your channels, so invest in integrated media solutions outside of traditional acquisition. Keep direct mail, if that works for you, but add paid search, social media, connected TV, and other digital options to further your reach. 

Another way to invest in your brand is to add merchandise. A shirt or hat with a cool design or slogan can go a long way in getting your brand out there, especially with younger audiences. Even better, it’s a revenue source that connects you with a new potential donor. You now have a reason to stay in touch: “The shirt you bought is on sale — want one for your friend?” “Did you know you can support us in other ways?” “Have you thought about wearing your shirt to our upcoming event as a volunteer?” “Perhaps you’d like to donate?”  

Social media and merchandise are two small steps that can potentially get your brand and message in front of countless new supporters. They require little cost or effort.  

Lead With Purpose, Not Fear 

We get that times are frustrating, worrisome, and even scary. But you can’t let the fear of the unknown cause you to lose momentum. Your mission matters now more than ever. We’ll get through this cycle eventually, so stay the course and focus on what you can control, not who’s to blame.  

The strongest leaders can assess a situation and say, “Our mission must advance through this season of crisis, irrespective.” Objective thinking is critical: “This is the situation, this is how it will affect the people we serve, so let’s put our mission first.” Lead with purpose, not fear. 

Our team at Allegiance Group + Pursuant has decades of experience solving problems like these. We’d love to talk about how we can help you grow so you emerge stronger when these uncertain times have passed. Reach out now to start a conversation. 

This blog is based on a recent episode of the Go Beyond Fundraising podcast. Listen to the complete episode now: How Nonprofits Can Navigate Uncertainty and Emerge Stronger in 2025.