I recently had the opportunity to share some practical tips to implement during the last two months of the year to inspire greater year-end giving as part of the Nonprofit Leadership Center’s free webinar series.
Additional year-end giving resources:
5 Board Member Actions to Boost 2020 Year-End Fundraising
7 Tips for Year End Fundraising in a Pandemic
5 Tips for Year-End Fundraising Success
“How much should our board members be required to give?”
It’s a question I receive pretty often.
The short answer, it depends on your board culture. My personal preference, as a board member and a fundraiser, is not to set an amount but ask each board member to make their best gift.
Here are two approaches to consider for your organization.
Their Best Gift
Board members should feel strongly – even passionately about your organization’s mission. Therefore, they should want to make their best gift to help you accomplish that mission. Through their perspective as a board member, they know how much money you need to save a life and their passion should translate into a gift that saves or changes the most lives possible. This also allows each board member to make their best gift based on their own financial situation.
A Gift They Care About How It is Used
Because a board member is responsible for the fiscal health (Board Source), board members who have made a personally significant gift, will feel ownership of how donated funds are used. As they monitor the fiscal activities of your organization, they will see their gift at work. This allows them to shift from an “advisory” role where they are watching over other people’s money to a “service” role where they have a stake in your progress.
A quick thought about minimum gift levels, I’m not opposed to them in all situations. Many organizations have a culture that supports that approach. If it’s working for your nonprofit, stick with it. If you have a minimum amount but most board members aren’t giving it, it’s time to reevaluate.
Board giving is a critically important topic for every nonprofit. Now is the right time to discuss it and take action to improve it.
When my children were toddlers, why was my least favorite word. I heard it a million times a day about everything… literally EVERYTHING. But now, more years than I’d like to admit removed from the constant questioning, why has become one of my favorite words.
“Why? Why? Why?” – 3 year olds everywhere
As a fundraising instructor, it is my distinct privilege to meet many nonprofit professionals and learn about their organizations. Most of them spend their days thinking about what and how but the outside world (translation: donors, funders) care about the why.
Simon Sinek has a great book, Start With Why, and TED Talk on this topic. His theories are targeted to the world at large but I think they have a very specific application to the fundraising profession. We should always aim to talk in why, not what or how.
So how do you find your why?
One way is to imagine the world without your organization. What does that look like? Who isn’t served? Who isn’t saved? Are good things gone? Do bad things happen? When I teach I call this the It’s a Wonderful Life exercise. The world without your organization is your why.
Your why may look like this:
It’s likely not a pretty picture so you can see how using the why helps donors see why giving to your organization matters. When you invite others to join you in changing the world, you are looking for people who don’t want these bad things to happen. Your organization provides them an opportunity to make a difference in the world — save animals, help children, cure diseases.
Turn Why? — the question I used to dread from my toddlers — into a powerful fundraising tool. We’re happy to work with your organization on finding your own why and how to best integrate it into your fundraising work. Contact us to learn how we can work together.
With tax season upon us, our thoughts (and probably a board meeting fundraising topic or two) turn to deductible charitable donations.
This distinction is important and should shape how you ask and how you thank donors.
Don’t lead with “we are a 501C3 organization…” Only accountants care about your tax status. When you talk about your organization, lead with how you change the world.
From your website to social media posts to fundraising letters, look for anyplace you use “tax deductible” and substitute “world changing” for a more impactful appeal. Most people give money because they are asked, not because of how it impacts their taxes.
The IRS has specific requirements donation acknowledgments. However, there are no rules saying you have to use only that language – that’s the minimum required. Go beyond that with a sincere expression of how much the donation means and how it will change lives. Don’t be boring, this acknowledgement is the first building block to your next ask. Your nonprofit is doing important work – you’re making our community a better place to live! Show the donor that their gift matters in doing just that.
Taxes are an inevitable part of our lives and certainly a consideration in our work. However, they must be kept in perspective when we communicate with our donors and remember that we are inviting people to help us change the world, not help them with their taxes.
*This blog post should not be considered legal advice, so please speak to an attorney/CPA to make sure that your communications meet the legal requirements set forth by the IRS.
One of the most important lessons we can use to improve our work: be one. Become a mystery shopper and do some field research. We’ll be sharing how you can do field research throughout your organization in upcoming posts, but today let’s focus on fund development.
If you are a fundraiser, give.
One of the most effective ways a fundraiser can expand understanding of how a donor feels is to be one – be a donor. Besides a gift to your own organization, make donations to charities you respect and see how they treat their donors. You might be surprised and learn a thing or two – on what you can add to your process, or how you can be sure to improve on their ways.
Things you can learn from your gifts:
Don’t be afraid to ask your coworkers and board members to share examples from the charities they support. This will allow you to create a library of samples – good and bad.
Because fundraising is about building relationships, you can learn things long after your gift is made and apply them to make improvements in your charity’s development efforts. Remember to be one – if you are a fundraising, give.
Keep an eye out for our next Be One post on volunteering, or you can subscribe below to get our posts straight to your inbox.
As 2020 winds down, you might be asking, ‘should I even bother to make a development plan for 2021?’
I think YES!
Now is exactly the time to make a plan for moving forward.
Here is why I think you should make a development plan:
You will set goals for more than dollars raised.
The only measurement of development is NOT dollars raised. You should also be measuring donor retention, new donors, contacts made to deepen engagement, board and volunteer involvement in fundraising. Create a development plan that addresses all of the key performance indicators you identify.
You can activate everyone on your development team: fundraising staff, CEO, board members and volunteers.
Development is a team sport and now more than ever, you need the whole team working toward the same goals. Use your development plan to confirm who is doing what and when. Include goals and activities for everyone working on raising the funds your organization needs to accomplish the mission.
You will know that things are changing and your plan can change.
Even in times of uncertainty, maybe especially in times of uncertainty, you will benefit from having a plan that provides a starting point for adjustments. Your development plan should be written down but not in permanent ink. Go into it knowing that you’ll be making changes throughout the year.
You can make hard decisions about where to focus limited resources.
This year we’ve overused the word “pivot” so we know that there will be tough choices ahead. If you are facing budget cuts, a development plan allows you to see the impact of reduction and make the best choices. A well-researched and thorough development plan addresses those changes.
You will document uncertainties.
Making a plan will allow you to note what is uncertain and set deadlines to make decisions about those. A plan doesn’t do away with unknowns but it can relieve some of the anxiety by putting them out in the open.
Now is the time to take a clear-eyed look at the future and make a 2021 development plan that will serve your organization and the people who depend on it.
How did you handle fundraising in your last global pandemic?
Author Jon Acuff recently reminded me that “this is my first global pandemic.” If you’ve been wondering how to handle fundraising for the rest of 2020 – you are not alone. No one is exactly sure how year-end fundraising will be impacted because no one has ever been here before.
But that doesn’t mean you should throw your hands up in defeat. We can figure this out.
The first question seems to be: will donors still give? The research results so far indicate yes.*
My biggest takeaway from the research: Don’t hold back on cultivating and soliciting your donors.
Here are 7 things to make your year-end fundraising successful in a global pandemic:
Hank Rosso defines fundraising as “the gentle art of teaching the joy of giving.” You might feel nervous asking in these uncertain times, but who are we to deny someone the joy of giving?
*If you’re looking for the details, here are two respected sources for research:
Association of Fundraising Professionals
IU Lilly Family School of Philanthropy
You might be asking: ‘with all of the uncertainty and chaos, has my development plan become obsolete?‘
I contend no — but it is going to require some adjustment.
When I work on a development plan with a nonprofit client we follow these steps: identify where you have been, where you are and where you want to go. Then we work on the details of how to get there. So even in these days of uncertainty, those first steps would be the same. What has changed? The details of how to get you there. That’s where adjustment is needed. Here are the places to start your adjustments:
So what do you do now that your year has been turned upside down?
Regroup and move forward.
Upon completion of a development plan, I encourage clients to put it on a shelf and never look at it again (just kidding! I threw that in to see if you were paying attention). I recommend that the development plan is a dynamic organism. The plan should be updated to reflect results and adjustments. Now is the time to put the ‘dynamic’ into your development plan.
So what do you do now that your year has been turned upside down? Regroup and move forward.
2020 defiantly put the “challenge” in Giving Challenge. Even though the year started like many others, it certainly took a turn that no one could have predicted.
As nonprofits across the region prepared for the 24-hour giving event, scheduled for April 28–29, the world around us was changing quickly and unpredictably. To respond to these unprecedented changes, the Community Foundation of Sarasota adapted plans for events around the Giving Challenge. The Patterson Foundation created a 30-day social media countdown that, shared information about the event and tips for participating nonprofits. Nonprofits were forced to think outside what had worked in the past in their approach to reaching donors. There was no playbook for pandemic lockdown community fundraising. There were a lot of people who put a lot of thought into figuring it out day-by-day.
And it worked! The 2020 Giving Challenge was a record-setting success. Over $19 million was raised by nearly 700 nonprofits from 58,947 unique donors. Feel free to re-read that last sentence and let it sink in.
It is great fun to see the nonprofits receive their checks as the wrap-up announcements are made.
But the wrap-up is just the beginning. Now the real work of being good stewards of the Giving Challenge funds begins.
Here are three reasons the Giving Challenge wrap-up is just the beginning:
All across our region, children are learning, animals are safe, families have homes, music is played, and it’s all because of us. We — donors, staff, board members, funders, and volunteers — should take a moment to savor the good feeling that comes from knowing we’ve done something to improve our community. We are all so busy, and the day already happened, so it’s easy to skip that pause to let it all sink in. Don’t skip it. Celebrate the hard work that went into making the day a success.
The nonprofits in the Giving Challenge showed adaptability and innovation at every turn. For instance, some turned their in-person events into online events. Others used mail, phone calls, and text messages to reach donors. The creativity on social media channels was phenomenal. Now that the 24-hour excitement is over, be sure to apply the lessons learned across your fundraising program. Instead of a regular event, could you hold a virtual event? Can you find ways to build excitement on social media by counting down to your next fundraising appeal? Now that the excuse of “that’s how we always did it” doesn’t apply, the innovations can be applied to every fundraising effort.
Many nonprofits received gifts from new donors during the Giving Challenge. Hooray! That’s fantastic. But, it would be even better if those first-time donors became repeat givers. The relationship should start with a thank you letter. If it hasn’t already been sent, it’s not too late, so do that right now. Then, you can move on to the important step of stewardship. As you think about cultivating donors, each nonprofit should answer the question: “How can I help you change the world?” Then share that answer with your donors – through photos, stories, and visits (virtual for now, of course). Fundraising is not all about asking for money. It’s about inviting people to join you in changing the world. Be sure that you are looking for opportunities to bring your donors along with you as you change the world.
Someone from the outside might look at the phenomenal results of the 2020 Giving Challenge and think, “not bad for a day’s work.” That doesn’t apply here because it wasn’t just a day. It was weeks, months, even years of building a philanthropic community. As we pause to celebrate the success, let’s look ahead to the bright future. And remember – it is not a wrap-up, it’s just the beginning.
A quick note: this post originally appeared on The Patterson Foundation’s blog. If you’ve never read it, you should. It’s loaded with great information.
Because I write this blog for Sara Leonard Group, I tend to notice the titles of other people’s blog posts. They often include the words tricks and secrets. Recently, those words really hit the wrong nerve and had me very annoyed.
The reason? This field doesn’t really have any tricks and I’ve never had a fundraising colleague who kept their tactics a secret.
There is no trick to what we do. It’s steady, hard work that raises money for our organizations. We are in the relationship business and building relationships takes time. I wish there were a shortcut, it would certainly make things easier and bosses and boards happier.
As far as secrets, I’ve been working in this field for a long time and I can’t think of a single time that I called a colleague with a question that they didn’t share their experience and/or expertise with me. Successful fundraisers don’t have secrets, they have hard-earned experience. Most – I’m not willing to say all because there’s an exception to every rule, right? – will help a colleague. Of course, there is a strict code of confidentiality, but we can share the things we’ve learned without sharing donor information.
Still want to get your hands on these “tricks” and “secrets?” Here are a few suggestions:
Practice
I think this is in some ways the opposite of tricks, it’s putting in the reps. For fundraising that means meeting with donors and listening to what they have to say and getting used to hearing no. It might be drafting an appeal letter and asking for feedback from a more experienced fundraising writer. It’s committing to getting better each time.
Learning
The opposite of secrets, learning the fundraising profession can take on many forms. We have a stellar professional association, Association for Fundraising Professionals, with local chapters across North America. There are great books on general fundraising and every specialty area. I’ve got a few favorites, I’m always happy to share recommendations. There are many reputable publications that provide access to up-to-date results and information on fundraising, The Chronicle of Philanthropy and Nonprofit Quarterly are a couple of my go-to resources.
Participate
This is the key to unlock the “secrets.” Get out from behind your desk and participate in our profession. I’ve been a member of AFP and participated in our Tampa Bay Chapter for over 25 years. I’ve made lasting friendships and learned an encyclopedia-sized volume of “secrets.” Local AFP chapters have various volunteer opportunities to practice new skills and learn from others.
Interact
With our modern ways of email and online learning opportunities, there’s a risk that we try to do it all from our computers. There is value in getting into your local nonprofit community. For my Tampa Bay colleagues, I recommend programs at NLC. In Florida, we have the annual Planet Philanthropy conference. Almost every community has some way to convene a group. If yours doesn’t, take it as a challenge and get a group started.
The bad news – there’s no shortcut to effective fundraising, no “tricks” and “secrets” to making you a better fundraiser.
The good news – there are lots of ways to learn to do it the right way.
Let me know if you need some help with this. A development coaching session might be the key to get you started on you way without any fake “tricks” or “secrets.”
