Blackbaud and PayPal Offer New, Low-Cost Web Tools for Nonprofits

Blackbaud, Inc. (Nasdaq: BLKB), the leading global provider of software and services designed specifically for nonprofit organizations, and PayPal, a leading global online payment service, today announced the availability of BlackbaudNow^™, an affordable solution to help new and growing nonprofits reach their fundraising goals. BlackbaudNow offers nonprofits a point-and-click website builder with secure donation processing and the ability to send emails and record donors’ giving histories.

In celebration of the launch, Blackbaud and PayPal are inviting nonprofits to participate in the BlackbaudNow Donation Sweepstakes. From March 30 to June 30, 2009, nonprofits that sign up for BlackbaudNow will be automatically entered in the sweepstakes. The first place contest winner will receive a matching donation of up to $2,500 and 20 additional nonprofits will receive matching donations of up to $500.

"Built on Blackbaud’s proven technology platform with secure payment processing through PayPal, BlackbaudNow provides a simple tool to help nonprofits quickly grow their supporter bases, accept donations and payments, and communicate their missions online,” said Marc Chardon, Blackbaud’s chief executive officer. "This template-driven solution is ideal for new and growing nonprofits that need instant access to basic web tools.”

BlackbaudNow is specifically designed for nonprofits, with features such as:

• WebNow—to create online presence and enable online fundraising, with point-and-click site design, and donations securely processed with PayPal
• DonorNow—to track donor giving history and communications
• EmailNow—to support email messages, e-newsletters and appeals

With this affordable solution, nonprofits do not pay any setup or monthly fees. Instead, nonprofits only pay fees on a per-transaction basis.

"We welcome the addition of BlackbaudNow to the marketplace and applaud both Blackbaud and PayPal for their efforts to provide the nonprofit sector an easy, cost-effective and secure way to take their fundraising and communications efforts online,” said Rebecca Masisak Co-CEO of TechSoup Global, a nonprofit specializing in technology assistance for community-based organizations in 23 countries.

"More than 100,000 nonprofits already use PayPal for payment processing,” said Glenn Lim, general manager of alliances and non-retail payments for PayPal. "We know that our work with Blackbaud, a trusted partner of nonprofits, will allow us to better serve our nonprofit customers and help them achieve their fundraising goals.”

Nonprofits can visit www.blackbaudnow.com to sign up for BlackbaudNow and receive instant access to WebNow, DonorNow, EmailNow and PayPal. Nonprofits that sign up will also have access to a nonprofit community with the information, knowledge, and resources to ensure their success.

About Blackbaud

Blackbaud is the leading global provider of software and services designed specifically for nonprofit organizations, enabling them to improve operational efficiency, build strong relationships, and raise more money to support their missions. Approximately 22,000 organizations — including University of Arizona Foundation, American Red Cross, Cancer Research UK, The Taft School, Lincoln Center, InTouch Ministries, Tulsa Community Foundation, Ursinus College, Earthjustice, International Fund for Animal Welfare, and the WGBH Educational Foundation — use one or more Blackbaud products and services for fundraising, constituent relationship management, financial management, website management, direct marketing, education administration, ticketing, business intelligence, prospect research, consulting, and analytics. Since 1981, Blackbaud’s sole focus and expertise has been partnering with nonprofits and providing them the solutions they need to make a difference in their local communities and worldwide. Headquartered in the United States, Blackbaud also has operations in Canada, the United Kingdom, and Australia. For more information, visit www.blackbaud.com.

About PayPal

PayPal is the faster, safer way to pay and get paid online. The service allows members to send money without sharing financial information, with the flexibility to pay using their account balances, bank accounts, credit cards or promotional financing. With more than 70 million active accounts in 190 markets and 19 currencies around the world, PayPal enables global ecommerce. PayPal is an eBay company and is made up of three leading online payment services: the PayPal global payments platform, the Payflow Gateway, and Bill Me Later. More information about the company can be found at https://www.paypal.com.

Forward-looking Statements

Except for historical information, all of the statements, expectations, and assumptions contained in this news release are forward-looking statements that involve a number of risks and uncertainties. Although Blackbaud attempts to be accurate in making these forward-looking statements, it is possible that future circumstances might differ from the assumptions on which such statements are based. In addition, other important factors that could cause results to differ materially include the following: general economic risks; uncertainty regarding increased business and renewals from existing customers; continued success in sales growth; management of integration of acquired companies and other risks associated with acquisitions; risks associated with successful implementation of multiple integrated software products; the ability to attract and retain key personnel; risks related to our dividend policy and share repurchase program, including potential limitations on our ability to grow and the possibility that we might discontinue payment of dividends; risks relating to restrictions imposed by the credit facility; risks associated with management of growth; lengthy sales and implementation cycles, particularly in larger organization; technological changes that make our products and services less competitive; and the other risk factors set forth from time to time in the SEC filings for Blackbaud, copies of which are available free of charge at the SEC’s website at www.sec.gov or upon request from Blackbaud's investor relations department. All Blackbaud product names appearing herein are trademarks or registered trademarks of Blackbaud, Inc.