Outrageously Funny Word Definitions :: Fundraising Math

👉 Fundraising math involves calculating the potential return on investment (ROI) from different fundraising strategies to determine which approach is most effective. It starts with estimating the total amount raised from each method, like donations or events, and then dividing that by the cost of organizing the event or campaign. The goal is to find the ratio that maximizes ROI, often using formulas like (Total Funds Raised / Total Cost)
100 to express this as a percentage. For instance, if an event costs $1,000 to organize and raises $5,000, the ROI is 500%. This metric helps fundraisers understand which strategies are most efficient and allocate resources accordingly. However, it's important to consider other factors like donor retention rates and long-term impact, as pure ROI doesn't always reflect the full value of successful fundraising efforts.

fundraising math