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Takaful Association

Ethics principles in fundraising

Ethical fundraising is not a luxury — it is a condition for maintaining public trust in non-profit work in the long term.

Ethical fundraising rests on three pillars: honesty (the narrative, figures, and goals are accurate and correct), respect (beneficiaries are treated with dignity, not used as emotional tools), and accountability (the donation is spent as promised and reported transparently). Why does this matter? Because the charitable work ecosystem depends on public trust collectively — an ethical scandal in one organisation harms all. And a donor who is deceived once does not give again — not just to your organisation, but to any organisation.

  • Honesty: do not exaggerate numbers or oversimplify complex problems to solicit donation
  • Respect: do not show beneficiaries in images or narratives that violate their dignity
  • Consent: obtain explicit consent from the beneficiary before using their story or image
  • Transparency: clarify to the donor how their funds will be distributed and what their donation does not cover
  • Disclosure: report real outcomes to donors — whether what was promised or less

Conditional donations — in which the donor specifies spending in detail — are common and natural, but they carry subtle ethical responsibilities requiring clarity from the start. **First: clarity in accepting the condition.** When a donor places a condition on using their donation, you must clearly state whether you can actually fulfil it — do not accept what you cannot implement merely to avoid losing the donation. Your agreement to a condition you will not implement is pre-emptive betrayal of trust. **Second: documenting conditions.** Every condition must be documented in official correspondence or email, specifying the programme, timeline, and targets. This documentation protects the organisation, protects the donor, and facilitates any future auditing. **Third: conditions conflicting with beneficiaries' interests.** When a donor places a condition restricting a category of beneficiaries or conflicting with their best interest — the best path is understanding the donor's motive first. Sometimes the condition results from a misunderstanding of the programme, and honest dialogue corrects it. If the condition genuinely harms those who should be served, state your position honestly and propose alternatives. **Fourth: conditions that become impossible.** If circumstances change and fulfilling the condition becomes difficult — inform the donor immediately and discuss alternatives. Acting alone without informing them converts a conditional donation into a breach of agreement.

Question 1

A fundraising campaign shows images of children in torn clothing with sad captions to solicit donations. What is the ethical problem?

Question 2

A fundraising narrative says "with a hundred dollars you change a whole family's life." Is this narrative problematic?

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