Running a nonprofit requires people to believe in the organization enough to invest sizable amounts of money and have good faith that it will be used for a worthy cause. For those wondering how to gain trust from potential investors, it lies in gaining credibility and being thought of as trustworthy. How to become credible may be a mystery to some managers of nonprofit organizations. A recent article for Inc. magazine included a list of ideas from Randall Murphy, president of the professional development firm Acclivus, on how to gain the trust of those who can make a difference at the firm.

Use data to back up statements
Conducting the proper amount of research and gathering insights to provide information about the nonprofit can be critical when trying to improve its credibility. By using financial forecasting, the management team can demonstrate how they will use their funds to work toward the main cause of the organization. Having this information available for benefactors can prompt them to donate more money to the nonprofit. Using big data mining and business intelligence tools can also help the organization figure out ways to become more efficient and productive in the future.  

Show off the organization's personality
Very few nonprofits have consistent investors that will give money to the organization every month. This is why it's important for leaders at the nonprofit to demonstrate why people should invest in the organization. Show what the firm really stands for and the true colors of the staff as a whole. According to Murphy, being authentic is a great way to gain new investors because it will show people that they can trust the organization and the people leading it. Pretending that the nonprofit is something that it isn't will deter people from giving money to the firm.

Be flexible with processes 
Those who donate to a nonprofit may want to have some say in what the organization will do with the money. An article for Training magazine said communication is vital to achieving higher levels of credibility because people want to stay updated about the goings-on within the organization. Listening to what benefactors say and providing them with feedback about operations at the nonprofit will reassure them.

Don't worry about saving the world
Nonprofit organizations are built around a cause, but often don't have enough money to do everything that the firm has set out to do. While that may be disappointing, it's also perfectly acceptable. Being realistic about the nonprofit's capabilities will help leaders at the organization gain credibility with investors. People are more likely to believe in nonprofits that know the limitations of the organizations, and doing so will improve the reputation of the firm.

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