Will AI Financing Affect Your Fundraising?

In this episode of The First Day from The Fund Raising School, host Bill Stanczykiewicz, Ed.D., digs into the booming world of artificial intelligence and what its rapid rise might mean for your fundraising future. Bill highlights the many ways AI is already helping fundraisers: writing donor letters, prepping for meetings, and identifying potential major donors; all with greater efficiency and effectiveness. He shares real-life examples from colleagues like Travis Tester and Andy Price, who are saving hours of prep time each week, allowing them to meet with significantly more donors and deepen relationships. But while the AI-powered present looks promising, Bill turns our gaze toward a looming challenge: the potential financial instability behind AI’s rapid expansion. Drawing on historical parallels like the railroad boom, the 1929 crash, the dot-com bubble, and the housing crisis, Bill warns that the current pattern of over-investment in AI, particularly in data centers and tech infrastructure, could lead to another economic downturn. High debt, investor expectations, and revenue shortfalls are forming a familiar and risky cocktail. And if AI financing collapses, the ripple effect could reach nonprofits everywhere. What does this mean for fundraisers? Bill reminds us that recessions tend to dampen charitable giving, not dramatically on average, but enough to warrant strategic planning. Different sectors feel the impact differently: human services often hold steady or rise, while the arts may see sharp declines. He encourages organizations to review their operating reserves and endowments, consult with financial advisors, and engage their boards in proactive scenario planning. Whether the market soars, stalls, or stumbles, it pays to be ready. As always, Bill centers the core truth: giving is driven by donor values and passion. But the “wealth effect,” how much and when people give, is shaped by the broader economy. So yes, keep watching those economic indicators, but don’t lose sight of your mission.