Articles | Donlon Agency

Communicating Federal Funding Challenges with Transparency | Donlon Agency

Written by Felicia Williams | May 12, 2025 5:57:01 PM

At the 2025 ANA Nonprofit Conference, one of the hottest topics was how organizations should navigate federal funding cuts while maintaining donor trust. With many nonprofits facing financial uncertainty, a critical question emerged: How transparent should we be with our supporters?

The reality is donors don’t just give to campaigns —  they invest in missions that mean something to them. They want to feel connected, informed, and confident that their contributions matter. Yet, too often, nonprofit leaders make up what donors want to hear. This leads many organizations to hesitate to communicate financial challenges, fearing it might alienate donors or discourage giving. In truth, the organizations that openly share their realities, challenges, and opportunities build stronger, long-term donor relationships.

When supporters feel out of the loop, they assume the worst — or may redirect their giving. During the conference, nonprofit leaders shared how proactive communication is helping them maintain, and even grow, donor support amid potential funding cuts.