Far from being just a thank you letter, a gift acknowledgment letter is a written acknowledgment of a donor's generosity that they can keep as a formal record for their own use, such as for bookkeeping or taxes. In this article, we will discuss what gift acknowledgment letters are and how they differ from general donor thank you letters. We will also provide tips on writing a gift acknowledgment letter that your donors will love!
What is a Gift Acknowledgment Letter?
Gift acknowledgment letters are letters sent to donors that formally acknowledge their generous donation. These letters should express gratitude and appreciation while also providing the donor with a record of the donation. Gift acknowledgment letters may include the organization's name, contact information, details about the gift (including its amount), how it will be used by the organization, and any special acknowledgments or thanks from staff or board members.
How Gift Acknowledgment Letters Are Different from Donor Thank-You Letters
A gift acknowledgment letter is different from a donor thank you letter in that it serves as a formal record of the donation. Often, gift acknowledgment letters include more details than are included in a traditional donor thank you letter, such as specific details about the gift and how it will be used by the organization. Additionally, gift acknowledgment letters are typically signed by an organizational representative.
Why Gift Acknowledgement Letters Are Important to Donors
Gift acknowledgment letters provide an important record for the donor's own use, such as for bookkeeping or taxes. These letters also provide an opportunity for organizations to express appreciation and thank donors for their generosity. Additionally, these letters are an important part of building relationships with donors, as they create a formal record of the gift and demonstrate care and thoughtfulness from the organization.
5 Steps to Creating a Gift Acknowledgment Letter
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Include a Professional Salutation:
A gift acknowledgment letter should begin with a professional salutation, such as "Dear Donor" or "To Our Valued Donors." -
Add Details About the Gift:
Gift acknowledgment letters should include specific details about the donation, such as its amount and how it will be used by the organization. -
Thank the Donor for Their Generosity:
Make sure to express appreciation and gratitude for the donation and thank donors for their generosity. -
Close With an Appropriate Sign-Off:
Close with either a formal sign-off from an organizational representative (such as "Sincerely," or "Thank you for your support!") or, if it fits your organization better, a more casual sign-off (such as "Warmly," or" We are so grateful for your help."). -
Provide Contact Information:
Gift acknowledgment letters should include contact information for the organization in case the donor has any additional questions or feedback.
By following these steps, fundraising teams can create gift acknowledgment letters that their donors will appreciate and value.
3 Tips for Making Your Gift Acknowledgment Letter Great
There are many ways to tweak your donor letters to really make them stand out. Here we outline three important tips to help you craft a gift acknowledgment letter your donors will love.
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Make it Personal
Gift acknowledgment letters should be tailored to each donor and include specific details about the donation. This shows donors that their gift is truly appreciated. For example, you could mention the personal accomplishments of the donor or other ways they've been involved with your organization. -
Show Your Appreciation
A great gift acknowledgment letter expresses gratitude and thanks donors for their generosity. This is an important part of building relationships with donors and showing them the organization values them. When donors feel appreciated, they are more likely to continue their support. -
Include a Call to Action
These letters can also serve as an opportunity to include a call-to-action, such as asking donors to consider making another donation or spreading the word about the organization's mission or work through social media or other outlets.
When to Send Gift Acknowledgment Letters
Send a gift acknowledgment letter as soon as possible after the donation is made. This helps to ensure that donors feel valued and appreciated for their generosity. Gift acknowledgment letters can also be sent at any other time, such as on the donor's birthday or anniversary of making a donation.
How to Send Gift Acknowledgment Letters
You can send gift acknowledgment letters in an email, as a physical letter, or even as part of a thank you gift package. It is also a good idea to post gift acknowledgment letters online so that donors can access them anytime.
Take Your Fundraising Goals to the Next Level With FrontStream
Gift acknowledgment letters are an essential tool for any organization, as they provide important records of the donation for the donor's own use, as well as show appreciation and gratitude for their generosity. By following some simple steps and tips, you can create gift acknowledgment letters that will make donors feel valued, appreciated, and inspired to continue supporting organizations in the future.
Did you know there are now fundraising platforms and software available to help you check items off your fundraising to-do list, including crafting and sending donor thank you letters and gift acknowledgment letters? FrontStream has helped over 20,000 nonprofits and socially-minded companies like yours power their events and fundraising efforts. Request a demo today to see what FrontStream can do for you.
