Click the link below to watch the video:

http://www.501videos.com/mm2009/10/mm_2_pledges.html?awt_l=DH1HV&awt_m=1ZjoVgwZ1mSBtP

1) Advocate for a multi-faceted organizational response to the crisis that doesn’t depend solely upon fundraising. Donors are reluctant to fund band-aid solutions to systemic problems, but may be more receptive to increasing their support in the short-term if it is part of a plan for achieving increased long-term sustainability. Coming to the table with lots of good ideas will make it easier to make the case for a multi-faceted response. For more ideas see this link to the Wall Street Journal article, “Helping Themselves”: http://online.wsj.com/article/SB124025204612335931.html

2) Set realistic expectations by assessing the giving potential of your donor base just as you would for a capital campaign or other major gift effort. Donors who have reduced their giving due to their own financial concerns or prospects who have never given before are unlikely to be the saviors you are looking for. However, other funders remain eager to offer assistance in response to challenges faced by the nonprofit community. An example of what at least one foundation is doing is illustrated on the Meyer Memorial Trust blog posting “The View from Now”: http://www.mmt.org/weblog/archives/the_view_from_now.php

3) Determine what fundraising strategies will be most effective. Best practices don’t change just because you are facing a crisis. The majority of dollars are still likely to come from the small minority of donors with the highest giving capacity and interest in your organization. Don’t be afraid to ask for what you need if additional human or financial resources are necessary to achieve your goals. For more ideas about strategies and resources follow this link to TCG’s free resources page on our website: http://www.collinsgroup.com/pages/events_news_resources.html#resources

4) Act quickly to recruit, train, and mobilize staff and volunteers who are feeling anxious about the future so they can channel that energy into helping with fundraising. This can turn finger-pointers into allies and will enhance your fundraising program even after the crisis is over. For more on this see Barb Maduell’s recent posting on the TCG blog: http://www.collinsgroup.com/blog/2009/09/29/why-do-development-directors-dress-up/

5) Craft a case for support that focuses on the impact of the crisis within the broader community rather than just within your organization. Donors will respond more favorably to a call to action to save vulnerable populations or community resources, than they will to save a shaky program or organization. A good outline to use can be found on the TCG website at: http://www.collinsgroup.com/documents/annual_case_for_support.pdf 

6) Reach out to other fundraising professionals and volunteers to share support, ideas, and lessons learned. If your organization is facing a financial crisis, take comfort in the fact that you are not alone. Check out the inspiring story of Oregon Ballet Theater’s efforts to raise the emergency funds it needed to keep the doors open this past June: http://www.obt.org/news_features.html

While talking with my wife (who diligently opens all of her mail) about my behavior, it occurred to me that many nonprofits might make the same assumption about their donors – with the newsletters, invitations on Facebook, direct mail appeal letters, etc. that their donors are all engaged investors. 

So, while there are people like my wife, who you can count on to read their mail – there are also many who you simply cannot count on.  What does this mean to your organization?  In short – it demonstrates that there is nothing quite as important as opportunities for face-to-face interactions with your donors.  It also underscores the value of your fundraising volunteers leveraging their personal connections to invite donors to events, briefings, etc.  Only with that personal connection, can your organization be brought to the top of the priority list.

Fundraising expert Penelope Burk as much as confirmed this with hard data in her blog entry “A Fundraising Catch 22” http://www.cygresearch.com/burksblog/?p=205 It’s a must read for your volunteer fundraisers.

So, what are the keys to securing maximum gifts from donors? 

• Sharing your vision so that it becomes your donor’s vision, too
• Hands-on engagement and up close understanding of the factors that drive your success and how philanthropy makes a difference
• Confidence that the positive outcomes for the community are significant and will have a lasting impact

Let me share a recent example of this.  For the past five years our firm has been honored to serve as campaign counsel for Wellspring Family Services, a human service organization well respected for providing valuable services to the Seattle community for over 100 years, but also an organization with a limited fundraising program and no facilities it could call its own – until this year. About a decade ago the organization started its investments in donor relations and building a sustainable fundraising program, and committed in 2006 to move ahead with its first ever capital campaign.  The vision of their experienced CEO, Ruthann Howell, and dedicated board was well articulated. Over a period of months, their vision for expanding services to provide permanent solutions to homelessness for 5,000 families was embraced by others, who decided to join them in creating a new home for the organization. Seattle Rotary selected the new center as its Centennial project, and Rotarians donated over $4 million dollars. With another $1 million from board members and the “extended family”, and investments from local and regional individuals, foundations and corporations, Wellspring Family Services is very close to surpassing its $12.5 million campaign goal. The vast majority of donors made their first ever gift to the organization through this campaign. And, during the past 4 years, the number of donors and total of annual giving has increased each year. Wellspring Family Services was successful at achieving each of the keys listed above. 

Successful fundraising is not achieved merely by having a compelling vision. The effort to engage prospective donors in learning about your vision and making it their own can result in significant commitment to making the vision a reality.

The role of social media in nonprofits is getting an enormous amount of attention these days. Without a doubt networking tools enable your organization to build a level of awareness previously unimaginable (and prohibitively expensive). However, just like the ability to “friend” hundreds of people in our personal lives can blur the boundaries of deep vs. casual relationships, too much focus on social media can risk shifting your efforts away from personal, face-to-face meetings with donors who have the capacity to further your mission and vision.  In other words, when it comes to the foundation of a strong development program, it still is – and will always be – about major gifts.

So what does it take to build a major gifts program that can create a strong foundation for operational sustainability or to prepare for a special campaign that will take your organization to the next level?  

Think peapods.  Yes, peapods.  Like a peapod, every successful major gifts program – regardless of the sector you serve – has several “P’s”:
 
Planning:  At the organizational level, donors want to know how you are thinking strategically about the future, what you’re thinking about, and why. They also want to see a business plan, based on realistic projections, that shows how you’ll pay for that future. Within your development department, sound annual and multi-year plans should map out the role fundraising will play in getting you there.
 
People:  You can’t build relationships without them! Professional staff creates a culture of philanthropy, holds or brokers relationships with donors, and choreographs ongoing stewardship that demonstrates accountability, transparency, and impact. Volunteer peers open doors, often step inside, and ask others to join them in the essential work of your mission.  
 
Policies:  Whether you’re setting investment strategy, clarifying the kinds of gifts you accept, protecting donor confidentiality, or determining who has access to prospect research, clear policies lend integrity to the relationships you are growing. Your board should craft them carefully and review them regularly. 

Procedures:  Like all relationships, those with donors and prospects are based on trust and follow-through. Clear processes to manage, track, prioritize, and monitor prospects ensure that you have the time to do what matters most: inform, listen, engage, and act.
 
Performance:  Developing a mature major gifts program takes time. Because the return on investment ultimately will be high, measuring success to sustain momentum during what is an ongoing journey requires both qualitative and quantitative evaluation and benchmarks.
 
Positioning:  Strong key messages bring your unique market niche and purpose to life. You’ll want to respond to a donor’s specific motivations and interests by sharing the many chapters of your organization’s story, simply and compellingly.
 
At the end (and beginning!) of each day, having the patience to build upon the relationship-based work you are already doing or are committed to start will create a base of loyal, engaged donors eager to partner with you and your dreams.

Movie Mondays: How to Get Donors to Make You Their Top Charity

Like what you saw?  Visit www.501videos.com to subscribe to Movie Mondays (it’s free!).  Each weekly video features a development professional giving tips on how to overcome the unique challenges faced by nonprofit organizations.

1.  Will significant change be required in order to achieve your fundraising goals? Counsel can be extremely helpful when trying to shift staff, systems, or a board of directors in new directions, particularly when time is of the essence due to budgetary requirements or other strategic needs. Even the most accomplished fundraising professional can benefit from additional support to plan for and implement fundraising goals that are beyond “business as usual.”

2.  Does your organization have the bandwidth to absorb counsel? In other words, are staff and volunteers prepared to make the financial and time investments that are required for success? With consulting, you get what you pay for. The most effective fundraising counsel is outcomes-based, which means you should begin with a frank conversation up front about what actions are required by both you and your consulting team to accomplish your goals.

3.  Would you be better off hiring permanent staff?  Like Mary Poppins, a fundraising consultant will eventually leave you, but a good one will make sure you are in a position to take care of yourself long after they are gone. Some tasks, such as cultivating new donors, making an ask, or closing a gift are better done by permanent staff or committed volunteers. Counsel may coach you or even go along on these calls, but someone who’s sticking around needs to be involved as well.  

My friend nodded and considered what I said.  She’ll think about it and talk with her executive director and board chair to decide what they really need – or don’t.

http://www.charitablegift.org/docs/Gender-Study-Executive-Summary.pdf

http://www.givingforum.org/s_forum/bin.asp?CID=611&DID=25090&DOC=FILE.PDF

The first, from the Fidelity Charitable Gift Fund, found that fully half of women donors surveyed reported that they make the philanthropic decisions in their households, including the amount to give and the charities to support. Furthermore, 92% of male respondents identified their wives as significant influencers of charitable gift making decisions. The second, The Impact of Giving Together, documents the rising importance of giving circles. How do the two connect? Both remind us to take another look at giving circles—groups of donors who pool their funds to support various organizations and causes—who happen to attract more female donors than male.

The Forum of Regional Associations of Grantmakers estimates the number of giving circles around the nation doubled between 2004 and 2006 and currently stands at approximately 800. Giving circles have raised an estimated $100 million since 2004, generating significant impact. All five of the states served by The Collins Group have giving circles in at least one community.

Largely grassroots, these organizations attract a diversity of donors in terms of age, gender, and ethnicity—the “hidden” pools of donors that nonprofits want to reach. Giving circles appeal especially to women, individuals younger than 50, and members of various ethnic and cultural communities who may feel traditional philanthropy does not match their values or meet their interests. The Impact of Giving study showed that giving circle members give more and more strategically; give to a more diverse group of nonprofits; and tend to have a deeper knowledge of philanthropy and nonprofit structure, operations and issues.

In other words, in a challenging fundraising environment, giving circles offer nonprofits another way to expand the philanthropic pie by providing access to new donors and strategies.

For more information on giving circles and to locate one in your region, visit the Forum of Regional Associations of Grantmakers website at:

http://www.givingforum.org/s_forum/index.asp

We hope you enjoy our new endeavor!