In the wake of recent foreign aid cuts, many nonprofits — particularly those working in international development, humanitarian response, and global health — are experiencing serious financial strain. Organizations that once depended on government grants and international assistance are now facing significant funding shortfalls and have been forced to scale back essential programs and reduce staff.  

Yet, amid these challenges lies an opportunity: By reimagining traditional funding models, nonprofits can emerge stronger and more sustainable. While immediate survival has understandably been the focus, now is the time to pivot toward long-term financial resilience. Here are eight strategic approaches to help make that shift. 

1. Develop earned income ventures
Consider how your organization’s expertise, services, or products can generate sustainable revenue. This could include: 

  • Consulting services related to your area of expertise 
  • Training programs or educational offerings such as workshops or webinars on best practices  
  • Social enterprises that align with your mission 

2. Build a robust individual giving program
Individual donors, especially those making recurring gifts, can provide flexible, unrestricted funding. To maximize this opportunity: 

  • Prioritize donor retention over acquisition (studies show acquiring a new donor costs 5-10 times more than retaining an existing one) 
  • Implement monthly giving programs to create predictable revenue streams  
  • Invest in major gifts and planned giving strategies 
  • Design compelling digital fundraising campaigns 
  • Engage donors through personalized outreach and consistent stewardship 

Additionally, nonprofits should ensure they are set up to receive contributions from donor-advised funds (DAFs), a $250 billion and growing pool of charitable assets. Make it easy to give via DAFs, include them in your donation options, and focus on cultivating direct relationships with DAF holders. 

3. Forge meaningful corporate partnerships
Beyond traditional corporate sponsorships, nonprofits should explore deeper partnerships that deliver mutual benefits such as: 

  • Cause marketing initiatives that align values 
  • Employee engagement and workplace giving campaigns. See how we helped Islamic Relief USA raise more than $4 million by engaging private sector and workplace donors here! 
  • Skills-based volunteering that leverages corporate expertise 

4. Explore innovative funding mechanisms
New financial tools are opening opportunities for nonprofits to attract mission-aligned capital, such as: 

  • Program-related investments (PRIs)  
  • Recoverable grants that return to the donor if outcomes are achieved, ideal for bridging timing gaps or scaling impact-generating programs 
  • Social impact bonds and mission-aligned funds 
  • Community development financial institutions (CDFIs) 

Nonprofits should also consider updating their gift acceptance policies to accommodate new forms of giving, such as recoverable grants and non-cash gifts like real estate or business interests. 

5. Leverage technology for fundraising
The digital revolution has transformed how nonprofits engage with donors and raise funds. In the wake of funding cuts, embracing technology like the list below can expand reach and deepen connection: 

  • Crowdfunding platforms like GoFundMe and Kickstarter 
  • Online giving portals with multiple donation options (monthly, one-time, text-to-give)  
  • Social media campaigns that build awareness, share stories, and mobilize support  

6. Strengthen community engagement
Local partnerships can provide essential revenue and trust, such as: 

  • Partnering with local businesses and community-based organizations 
  • Launching peer-to-peer fundraising campaigns 
  • Hosting community events that double as both awareness-raising and fundraising opportunities 

Building strong local support increases sustainability and fosters greater community ownership of your mission.  

7. Invest in internal capacity for sustainability
A sustainable revenue model requires internal readiness, including: 

  • Financial management – Move beyond basic budgeting to long-term financial modeling. Use customized reserve strategies based on revenue predictability, flexibility of expenses, and timing mismatches. 
  • Data and impact measurement – Demonstrate outcomes with transparency. Funders want to see results. 
  • Staff Development – Invest in ongoing training in fundraising, marketing, and technology. Research shows that organizations investing in professional development enjoy 34% higher employee retention rates and greater effectiveness.  

At Global Impact, we created Fundraising Essentials to support nonprofits with practical guidance and strategic tools. Our structured, affordable approach helps organizations build confidence, capacity, and real fundraising results.  

8. Embrace collaboration and strategic partnerships
In an era of funding constraints, nonprofit mergers and shared services like the below are emerging as viable strategies: 

  • Mergers and acquisitions (M&A) can improve efficiency and expand impact but require external support for legal, financial, and cultural integration. 
  • Pooled funds offer speed and flexibility for funders and implementers alike. Our sister organization, Geneva Global, is a recognized leader in establishing and supporting high-impact donor collaboratives. Learn more about their work here. 

Nonprofits should assess whether back-office functions could be combined, or whether collaborative funding models could enable faster innovation and resource sharing. 

The path forward
Transitioning from survival to sustainability isn’t just about finding new funding — it’s about transforming how your nonprofit operates, evolves, and engages. By diversifying revenue, building internal capacity, and embracing innovation, nonprofits can chart a more stable, scalable, and impactful future.  

At Global Impact, our mission is to inspire greater giving. We help organizations unlock their full fundraising potential by clearly communicating their unique value, developing and executing donor engagement strategies, providing tailored advisory support, and offering practical toolkits like Fundraising Essentials. Our expert team combines strategic planning with hands-on implementation to create diversified, sustainable revenue streams that build financial resilience and expand impact. See how we helped Action Against Hunger strengthen their fundraising capacity and amplify their impact. Learn how our services can help your nonprofit do the same.  

Even in uncertain times, there is a way forward. Now is the time to take bold, strategic steps, both independently and in partnership, to create lasting change.