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When you're deciding what kind of campaign you'd like to do and how to communicate about it with donors, it's helpful to know what you're raising money for. How will the money be used? Typically, you're either raising money for a specific fund or for general organizational needs.
Donors like to know how their money will be used, so it's beneficial to raise money for a specific fund when you can. If you attach a donation to a specific need, the donation has a tangible outcome.
If a donor sees, "The funds raised from your donated vehicle will go directly toward scholarships for summer camp," that's so much more specific than just saying, "Give your care here!" Telling donors how their money will be spent creates transparency in the giving process-- and transparency is a good thing!