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How to Fund Your Community Group Without Membership Fees: 7 Creative Ideas

Writer's picture: Andy PunterAndy Punter

Running a community group, charity, or CIC is one of the most rewarding things you can do, but often, funding worries can keep us all up at night. Venue hire, event materials, website costs, even the odd cup of tea at a meetup, it all adds up. And when budgets are tight, it’s tempting to start charging members or cut services just to stay afloat.


The good news is, there are plenty of ways to fund your community group without asking members to dig into their own pockets. From overlooked grants to unexpected partnerships, here’s how you can keep your group thriving without turning it into a paid club.


📌 Quick Answer: You can fund your community group through business sponsorships, council grants, crowdfunding, partnerships, and merchandise sales. This guide explains each method in detail.

Two men shake hands in a cozy cafe with papers and coffee on the table. Smiling, warm atmosphere, soft earthy tones.
A community organizer and cafe owner share a handshake, sealing a partnership to support each other in local initiatives.




1. How Local Businesses Can Help Fund Your Community Group

Businesses—especially small, independent ones—love supporting grassroots initiatives, but many community groups don’t think to ask. Approach local businesses with a clear offer:

  • Can they sponsor an event in exchange for promotion?

  • Would they offer a meeting space for free in return for foot traffic?

  • Could they donate supplies (tea, snacks, printing services) in exchange for a shout-out?

📌 Pro Tip: Instead of a generic ‘please help us’ request, tailor your pitch to what benefits them—whether it’s visibility, customer goodwill, or even a tax-deductible expense.

💡 Real Example: The Co-op Local Community Fund has supported various grassroots initiatives, like scout groups benefiting from financial aid due to their longstanding community presence. Read more here.





2. Best UK Grants for Community Groups in 2024

Most councils offer small community grants that many organisers simply don’t apply for. These grants might cover event costs, training, or new equipment. Some even offer unrestricted funding, meaning you can use it however you see fit.

📌 Where to look:

  • Your local council website

  • Funding bodies like National Lottery Community Fund

  • Charitable foundations (many have community grant arms!)

💡 Real Example: The Greggs Foundation Community Grants Programme offers up to £20,000 to local organisations tackling community challenges. Many small groups have secured funding to enhance their community services. Find out more here.



A diverse group of people celebrating with raised hands and balloons in a colorful room, conveying a joyful and festive atmosphere.
Community members joyfully raise their hands and balloons, celebrating a significant achievement together.


3. How to Use Crowdfunding to Fund a Community Group

Crowdfunding isn’t just for tech startups—it’s a brilliant way to fund a specific community project. Instead of just asking for donations, make it engaging:

  • Offer rewards (e.g., name on a thank-you board, exclusive event access)

  • Tell a strong story—why does this matter?

  • Use video—it boosts engagement dramatically


📌 Platforms to try: Crowdfunder UK, Spacehive (for civic projects), GoFundMe

💡 Real Example: The Run for Heroes campaign in 2020 raised over £7 million for NHS Charities Together through a simple 'run 5k, donate £5, nominate 5 friends' model. Read about it here.



4. Why Partnering with Other Local Groups Can Save You Money

You don’t have to go it alone. Teaming up with another local group can open doors to shared resources, venues, and even funding pots.

  • Shared events = shared costs (and bigger audiences!)

  • Joint grant applications are stronger than solo ones

  • Skill swaps—a local tech group could design your website in exchange for a free workshop


💡 Real Example: The Onion Collective CIC in Somerset successfully transformed community spaces by partnering with local entities. Learn about their work here.



5. How to Get Listed on “Community Support” Schemes

Some supermarkets, banks, and even coffee chains offer small community sponsorships—but you have to apply! A few to check out:

  • Co-op Local Community Fund

  • Tesco Community Grants

  • Aviva Community Fund

  • National Lottery Awards for All


💡 Real Example: Supermarkets like Aldi have food redistribution programs that support community groups by donating surplus food. Learn more here.



6. Selling Merchandise Without Upfront Costs

People love showing support for causes they believe in—so why not sell branded items to raise funds? You don’t even need to print T-shirts or mugs in bulk anymore. Services like Teemill and Redbubble let you create merchandise on demand with no upfront costs.


💡 Real Example: Various environmental campaigns have raised funds selling eco-friendly products via Teemill. See case studies here.



7. How “Pay-It-Forward” Models Can Fund Your Community

Instead of charging everyone, let those who can afford it contribute extra. This can work through:


  • ‘Pay What You Can’ memberships (with a suggested donation)

  • Local business sponsorships covering memberships for others

  • ‘Gift a Membership’ schemes where supporters pay for someone else

📌 Pro Tip: Frame it as an inclusive option rather than a fee—this way, people contribute what they can without feeling pressured.



Final Thoughts: Funding Is Possible Without Fees

Charging for membership might seem like the simplest way to fund a group, but it’s not always necessary. With a little creativity whether through sponsorships, grants, crowdfunding, or collaborations you can keep your community accessible while staying financially sustainable.


Think beyond traditional fundraising. Money is out there, you just have to know where to look.


📢 What’s next in the series? If you’re interested in securing funding through grants, stay tuned for the next post: “The Grant Application Cheat Sheet for Community Organisers”—where we’ll break down how to apply for funding without the headache.



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