Fundraising and grant writing
Partnering with churches and faith communities
Working with congregations of any faith: shared space, volunteers, collections and grants, the IRS basics, and clear written agreements.
This guide is for small charities, religious or not, that want to work with local congregations: churches, mosques, synagogues, temples, gurdwaras and other faith communities. Congregations can be generous local supporters of community work. They may lend space, send volunteers, hold a special collection, or give a grant from a mission or outreach fund. After reading, you'll know the common kinds of partnership, how to approach a congregation, the few IRS basics to know, and how to keep the partnership clear and respectful on both sides.
The guide is neutral about faith. It applies whether your charity is secular, faith-based, or something in between.
Common kinds of partnership
- Space. A meeting room for your support group, a kitchen for meal prep, a parking lot for a food distribution, a hall for an event.
- Volunteers. A congregation's members may staff a shift, mentor, drive or cook, often as a regular group.
- Collections and drives. A special offering, a coat drive or a collection of school supplies for your program.
- Grants. Some congregations, and the regional or national bodies they belong to, have mission, outreach or community funds that give small grants.
- Referrals and trust. Faith leaders often know who in the community needs help, and people may trust a program their congregation recommends.
- Shared programs. A joint after-school program, a shelter rotation, or a community meal run together.
How to approach a congregation
- Start with someone you know. A board member, volunteer or donor who belongs to the congregation can make an introduction.
- Ask who to talk to. It may be the faith leader, but often it's a mission or outreach committee, a social action group or an administrator.
- Learn how they decide. Many congregations decide through a committee or board on a yearly cycle, and may need weeks or months.
- Lead with shared purpose. Explain what you do, who you serve and what you're asking for, in concrete terms. Our guide to building a donor base has tips for first conversations.
- Offer something back. A short talk to members, a volunteer day, or regular updates they can share in their newsletter.
- Respect their calendar. Avoid asking for space or volunteers on major holy days, and ask what times work.
IRS basics to know
A few federal tax points come up often:
- Churches and IRS recognition. The IRS says churches that meet the section 501(c)(3) requirements "are automatically considered tax exempt and are not required to apply for and obtain recognition of exempt status from the IRS" (Publication 1828 says the same). Many do apply anyway, because recognition "provides reliance" to leaders, members and donors. So a church that gives you a grant may not appear in the IRS's online search tools; that alone doesn't mean anything is wrong.
- Annual returns. The IRS says churches and some church-affiliated organizations are excepted from filing an annual information return (Form 990). You may not find a 990 for a congregation, and it may not ask for yours. Many still will, and you should share it gladly.
- Gifts that pass through a congregation. If members give to the congregation and it then gives to you, the members' receipts come from the congregation, because that's who they gave to. Your thank-you and, for any single gift of $250 or more, written acknowledgment go to the congregation. If members write checks directly to your charity at a collection, you receipt each donor yourself. Our guide to donor acknowledgments explains the rules.
- No campaigning. Every 501(c)(3), including congregations, is prohibited from participating in any political campaign for or against a candidate. Keep joint events, newsletters and speakers clear of candidate politics. (In a 2025 court case, National Religious Broadcasters v. Long, the IRS joined a filing saying that communications "from a house of worship to its congregation in connection with religious services through its usual channels of communication on matters of faith" don't violate the rule. That filing is about a congregation speaking to its own members during worship, not about joint events or your charity's materials, which the IRS page above still covers.) Our guide to political activity and lobbying explains the line.
If you receive government funding
If your program receives government grants, there may be rules about religious activity in the funded program. As one example, the federal Department of Health and Human Services rule at 45 CFR 87.3 says:
- faith-based organizations can compete for HHS funding on the same basis as any other organization
- explicitly religious activities (such as worship, religious instruction or proselytization) can't be part of services paid for with direct HHS funding; if an organization holds them, they "must be offered separately, in time or location," and participation "must be voluntary"
- organizations may not discriminate against the people they serve on the basis of religion, or because they don't hold or practice a religious belief
- organizations keep their religious character, and may, for example, keep religious art and symbols in their spaces
- organizations providing social services under HHS discretionary grants must give people served written notice of certain protections
Other agencies have similar rules, and your grant agreement will tell you which apply. Read it, and ask the funder if you're unsure.
Put it in writing
Even a friendly partnership needs a short written agreement. A one- or two-page memorandum of understanding (MOU) should cover:
- What each side provides: space, times, volunteers, money, publicity.
- Use of space: access, keys, cleaning, storage, what happens on days the congregation needs the room, and who to call in an emergency.
- Insurance: whether the congregation needs a certificate of insurance from you, and what each side's insurance covers. Our guide to insurance basics explains the main kinds of cover.
- Children and vulnerable adults: whose screening and safeguarding policies apply, and who supervises. Our guide to volunteer screening and safeguarding helps.
- Names and logos: how each side may describe the partnership in public.
- Religious content: whether there will be any religious activity at the program, and if so, that it's separate and voluntary for the people you serve.
- Ending the partnership: how much notice either side gives.
Our guide to partnership agreements and our memorandum of understanding template give you wording to start from.
Keep the relationship strong
- Thank them publicly and privately, in ways that suit them: a letter read at a service, a note in their newsletter, a visit from your board chair.
- Report back a few times a year: what their space, volunteers or gift made possible.
- Spread your partnerships. If you rely on one congregation for space or money, a change of leadership there can leave you stranded. Build relationships with several.
- Respect differences. Partners from different traditions may have different views. Keep the focus on the work you share.
Faith partnership checklist
Related
Guide · Programs
Partnering with another organization: MOUs and agreements
How to put a partnership with another organization in writing: what an MOU covers, when you need a contract or a lawyer, sharing data, and joint grants.
Guide · Fundraising
Building a donor base
How to find your first 50 donors, ask with confidence, keep people giving year after year, and grow toward monthly giving with a simple donor list.
Guide · People
Volunteer screening and safeguarding
How to screen volunteers fairly, follow FTC rules when you use a background check company, protect children and vulnerable adults, and report concerns.
Guide · Legal
Politics and lobbying: what charities can and can't do
Charities can never support or oppose candidates, but they can lobby on laws within limits. Here's the difference, and the 501(h) election in plain words.
Keep going
- TemplateDonor impact reportA one- or two-page report telling a donor what their gift did: the promise, what happened, honest numbers, one story, the money, and what comes next.
- TemplateDonor thank-you call scriptA short script for board members and volunteers to call donors and say thank you, with no ask, plus voicemail wording, tips and a simple call log.
- TemplateDonor thank-you letter and receiptA warm thank-you letter that also works as the written acknowledgment the IRS requires for gifts of $250 or more.
- Founder pathwayLaunching your charitySimple branding, a basic website, a first fundraising plan, thanking donors well, and your first local grant applications.
Sources
Checked on October 21, 2026. Rules and fees change, so follow the links for the current version.
- IRS: Churches, integrated auxiliaries and conventions or associations of churches
- IRS: Filing requirements for churches and religious organizations
- IRS: Publication 1828, Tax Guide for Churches and Religious Organizations (Rev. 8-2015)
- National Religious Broadcasters v. Long, No. 6:24-cv-00311 (E.D. Tex.), joint motion for entry of consent judgment, filed July 7, 2025 (Document 35)
- IRS: The restriction of political campaign intervention by section 501(c)(3) tax-exempt organizations
- 45 CFR § 87.3, Discrimination based on religion is prohibited (HHS equal treatment rule) (Cornell LII)
Was this page useful?
Need help with something specific? Ask a person.