Fundraising Basics The Building Blocks of Fundraising Success
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1 Fundraising Basics The Building Blocks of Fundraising Success Sage Solutions Nonprofit Consulting, LLC Peggy M. Owens, CFRE
2 Peggy M.Owens:
3 About You What would you like to learn to make this a good use of your time?
4 Today s objectives Understand the steps in the fundraising process Learn about income sources for nonprofits Become an ambassador for your organization Draft a case statement
5 How do you feel about fundraising?
6 How do you feel when you make a gift?
7 Income Sources for Nonprofits $298 billion donated in 2011 Where did it come from? Individuals 73% Bequests: 8% Foundations: 14% Business/Corporations: 5%
8 Funding Vehicles Earned Income Foundations Businesses/Corporations Special Events Government Major Gifts Capital Campaign Planned Giving
9 Steps in Fundraising Fundraising is a Process Thank, Thank and Thank again Identify Prospects Invite, Educate and Involve Ask for Support
10 Donor Life Cycle Awareness Involvement Commitment
11 The Power of the Word Everyone is a Cheerleader!
12 Making Friends
13 Developing your Ambassador Skills
14 Fun Exercise! Develop your Personal Story
15 Make New Friends Direct Mail Events Donor Acquisition Invite/Tours Be an Ambassador Social Networking
16 Special Events Advantages Donor acquisition can target new and different audiences Community awareness Can be mission related Disadvantages Labor intensive for staff, board and volunteers May not connect people to your mission
17 Events FR or PR? Target New Audiences Be Selective What do your events say about your organization? Successful? Dire Straits?
18 It s in the Mail WHO IS YOUR DONOR? DO YOU MAKE A SPECIFIC ASK? DIRECT MAIL WHAT IS YOUR MESSAGE IS IT FUN & SIMPLE? MORE IS NOT BETTER
19 Direct Mail Why do people open mail? Personalized Mail 62% Timing of Mail 59% A free Gift 32% A special Offer 31% Dated Material 30%
20 Social Networking/Online Giving Raise money with your webpage: Donate now button should be prominent and easy to use. Donors want to give easily can be an inexpensive way to build donor relationships, send e-news, announcements, appeals Network for Good has great FREE resources Facebook is a good way to keep friends involved.
21 Receiving donations online Create a secure area on your site Use a charity portal such as Network for Good Free link available with Build Montana The goal of your website is to inform and inspire people to make a gift
22 Income Source: Foundations 13% Advantages Good for one-time expenditures, e.g. capital Mutually beneficial relationship Leveraging opportunities Disadvantages For new programs and projects Limited by interest, geography and size of grants Reporting requirements Philanthropic Divide
23 Income Source: Businesses: 5% Advantages Shows community commitment Connection for volunteers Public recognition of company good for event sponsorship Disadvantages Must be in the company s best interest (subject to change) Limitations of interest, geography and size of grants
24 Case for Support Problem Solution Benefits
25 Fun Exercise! In 10 minutes outline a case statement
26 Income Source: Individuals and Bequests 81%
27 Income Sources for Nonprofits Fundraising is a Process Thank, Thank and Thank again Identify Prospects Invite, Educate and Involve Ask for Support
28 The Giving Pyramid Spend your time at the top! Major Gifts 10% Upgraded Gifts 20% Base 70%
29 Become Best Friends with Your Major Donors IDENTIFY DONORS LUV EM UP! MAJOR GIFTS DEVELOP CAMPAIGN 3-YEAR PLEDGES GET A TEAM
30 Asking for More Know thy donor How much can they give? How much do they care? Get the Gift Renew the gift Ask for more
31 Ladder of Effectiveness Personal Solicitation Personal Letter and Phone Call Personal Letter Personal Phone Call w/follow-up letter Personal Phone Call Use personal approach for $250+
32 Why do people give?
33 Why do people give? Enthusiasm Recognition Specific Request Respond to a winning cause Relationship
34 The #1 Reason People Give They are asked!
35 Building Blocks for Success Help everyone in your organization develop their personal story Have a system (software) to keep in touch with your friends Train the board on fundraising. 100% giving Spend time with your best friends Approve a fund development plan with your budget Develop and implement a marketing plan
36 Ethics and Legalities Association of Fundraising Professionals afpnet.org IRS Compliance Guide
37 Questions? Did you get your needs meet in today s workshop? Do it NOW!
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