Yes, science, technology and skill sets are necessary to be
successful as a fundraiser for nonprofit organizations. However, there
are also several very basic axioms which, if followed, will greatly
increase your success.
You don’t get – if you don’t ask
Being good at providing services and programs does not automatically
bring in contributions. It’s relatively easy to identify prospects who
care about your mission, have great capacity and are knowledgeable about
your organization. However, they are not going to become donors until
they are asked. Asking can be in many forms. For major gifts, a personal
“face to face” request to a prospect, to consider a suggested gift
amount, provides the best return on investment. However, grants, group
meetings with a general request for donations, events and direct mail,
can also be utilized as a method to make an ask.
Connect to hearts and minds before you connect to wallets
People are not going to make significant contributions to an
organization that is of no interest and about which they have no
personal connection or feelings. The ability to secure a gift and the
size of the gift will be enhanced if the donor is educated about the
organization, “feels” the importance of what is being accomplished and
has a relationship (directly or indirectly) with the organization,
solicitor, project or program. Cultivation of those relationships
provides added value to the donor and organization.
Fundraising is both art and science. Success requires both.
There are definite processes, sequential steps, ethics, legal
guidelines, tax laws, accounting and other requirements that need to be
followed to be successful within a nonprofit engaged in fundraising.
This is the science of fundraising. Just, if not more important, is the
art of fundraising which focuses on relationships, personality,
leadership, engagement and follow through.
The 80/20 rule is now 90/10 and applies to fundraising.
80% to 90% of funds raised typically comes from 10%-20% of donors.
Most nonprofits obtain the largest share of their philanthropic income
from major gift donors. Time spent on major gift solicitation provides
the greatest return on investment of nonprofit resources both human and
financial.
The quality of a gift is directly related to the quality of the relationship between the solicitor and prospect
Major prospects deserve personal attention. People give to people.
Your relationship to the prospect has a direct impact on their gift. The
more they know and trust the solicitor, the more comfortable they will
be making a major gift. They need to know that they are getting
accurate, current and reliable information about the organization and
the impact of their giving. They also will be more comfortable knowing
that the solicitor, with whom they have a relationship, is likely to be
more familiar with their background, interests and abilities than would a
stranger.
Avoid the ready, fire, aim temptation
Too often the desire – need to raise funds creates a sense of urgency
which translates into volunteers and staff wanting to get started and
solicit as many people as they can, as broadly and quickly as possible.
Fundraising without a plan, organization, and discipline is an
invitation to failure. There needs to be proper organization,
leadership, communications, marketing, budgeting, back office systems
and a well defined case for support. A campaign fundraising plan is
critical and should be integrated within the overall business plan of
the nonprofit. Fundraising should be conducted sequentially (top down
and inside out). Initially the campaign should focus on the largest
potential gifts and existing leadership of the organization. Events,
group meetings and mass appeals should not be utilized until major gift
solicitations have been addressed.
Leadership sets the example.
Before making their commitments, many major donors, corporations and
foundations want to know that the leadership of the organization has
demonstrated its fiduciary responsibilities, not only through
stewardship of funds and budgets but also as donors. Early in any
fundraising effort, Boards and leadership within the organization should
be asked to participate as donors, to the best of their abilities. Full
participation is as important, if not more so, than the total dollars
raised from leadership.
You can never thank a donor, volunteer or staff member too often. They are your keys to success.
Whether it be stewardship, public recognition, ongoing communication,
personal thank yous, gifts, member benefits, etc………the more you are in
touch with donors, volunteers and staff in a way that demonstrates your
appreciation, the more likely they will be there for you when you need
them in the future.
Donors expect and deserve a good return on their charitable gifts/investments
Treat your donors as if they were major stockholders. They deserve to
know how their investments in your organization are working and if the
funds they have donated have accomplished the purposes for which they
were given. The more you can demonstrate a good return on their
investment, the more likely they will contribute in the future, and be a
positive advocate for your organization in the community you serve.
Don’t do anything that you wouldn’t want to read about on the front page of the newspaper.
Nonprofits must conduct themselves ethically and appropriately if
they are to maintain the trust and confidence of their supporters and
those they serve. When faced with difficult decisions, nonprofits should
take the moral high ground and work diligently to ensure that a culture
is established that promotes ethical behavior at every level within the
organization. Challenges will occur. Whether related to gift acceptance
issues, donor requests for special treatment, financial management,
reporting, disclosures, personality conflicts or other issues, every
nonprofit will have to confront delicate and potentially controversial
problems. How problems and challenges are addressed is a true test an
organization’s strength and effectiveness.
