Why I don’t cry foul when I hear how much money sits in DAFs

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Greg Warner is CEO and Founder of MarketSmart, a revolutionary marketing software and services firm that helps nonprofits raise more for less. In 2012 Greg coined the phrase “Engagement Fundraising” to encapsulate his breakthrough fundraising formula for achieving extraordinary results. Using their own innovative strategies and technologies, MarketSmart helps fundraisers around the world zero in on the donors most ready to support their organizations and institutions with major and legacy gifts.

Al Cantor is great. He’s a tiger. He takes particular interest in what DAFs are (and are NOT) doing.
For instance, fairly recently he pointed out Fidelity Charitable’s unforgivable lack of transparency. I very much appreciate his post on that
He also writes and speaks often about the slow movement of money OUT of DAF’s into charity bank accounts. But I can only commiserate so much with him (and nonprofits) on this one because I think nonprofits share a burden here.
Charities must do a better job of inspiring and shepherding the disbursement of funds. Our clients get a growing number of DAF gifts each year because:

  • We (my firm and they) remind their donors to disperse the money (i.e.- we ask for DAF gifts)
  • We show the donors how easy it is to do
  • We make it convenient by putting a widget online
  • We remind them of the good feelings (warm glow) they’ll get Etc.

Bottom line: If charities want the DAF money they have to go get it or open up the channels so the money can flow more freely. You can get more tips on how to do that here:


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