Board Giving: Does Corporate Giving ‘Count’?

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One question that seems to always come up when working with an organization is ‘does corporate giving count as a board members gift?’ Like most fundraising questions, the answer is it depends. Since that doesn’t help with real-life situations, let’s expand on that.

One BoardSource certified trainer I’ve worked with taught that corporate gifts don’t count for board giving. That answer seems too absolute to me. I think it comes down to two variables:

  1. How the board member was recruited.
    We often ask our large corporate donors to put someone on our board. Sometimes we get a board member who is completely committed to our mission and sometimes we get a board member who is there because they were “voluntold” (one of my least favorite made-up words). When they are recruited to represent a company, it can be unrealistic to also expect them to be personally committed and make a personal gift (with no cultivation).
  2. How expectations were articulated to them.
    If the board expectations (which should be discussed with all new board members) aren’t explicit on the difference in a personal gift and a corporate gift, we can’t determine that arbitrarily. Any changes would need to be discussed and adopted by the board as a whole (including that person).

Don’t forget, with any board member there is opportunity for cultivation. That applies to personal and corporate giving. If they represent their company and don’t give personally, it might be because they were never shown how that makes a difference and asked. Many times we just expect board members to give because they are required to do so and forget that they need to see the mission in action and be invited to invest. In some cases, board members need special cultivation because we spend so much time telling them how financially successful we are, they might not see how their support will make a difference.

By now you probably know my favorite response is it depends, because in fundraising – and most things, really – talking in absolutes should be avoided when possible. Statements like ‘Board members should always’ or ‘board members should never’ don’t allow consideration of the many factors that can impact a situation. A more diplomatic way to state it might be, ‘best practice in this area is …’ or ‘BoardSource recommends…’ then ask why that may or may not work in your specific situation.

The Secret Life of Board Gifts

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Photo by Pixabay on Pexels.com

Many times in my career I resented the money we were spending on board gifts. Looking back, that was short sighted of me. Board gifts – those little things with your organization’s logo that you can use to express gratitude for their service – actually pay a dividend to your organization.

I’ll use my favorite Yeti knockoff as an example: it was a thank you gift for my service on a board (it was actually leftover participant gifts from a golf tournament – so check the supply closet). At the time I opened the gift, I thought “oh this is nice.” But now 5 years later, it is a powerful tool that opens many conversations about the organization.

Yesterday I took it to my daughter’s high school softball game. Lest I sound like a complete nonprofit nerd, let me assure you I selected that tumbler because I can sit in the hot Florida sun and the ice won’t melt in my Diet Dr. Pepper. But, because the Young Life logo was on the tumbler, one of the other parents asked me about it (the organization, not my cold beverage). I had the chance to talk about the mission of the organization and why we support the organization. I didn’t have to bring it up – they asked me. In any fundraising book, that’s a win-win.

Here are some ideas on how your next board gift can be a win-win for your organization:

  • Do they write with your organization’s pen? Do they keep an extra on hand so when someone needs a pen they can share it?
  • Do your board members have name tags they can wear at your events? These are cheap and easy to order, so make sure it looks nice.
  • Do your board members have shirts (a collared shirt for casual Friday or golf)? Hats? Some kind of apparel that makes it apparent they are on your team?
  • Do they drink from a coffee mug or insulated cup with your logo on it? It could also be used on their desk to hold pens.

Board gifts are a valuable tool in helping board members share the mission of your organization and allows a soft introduction to the people they see when out and about.

We’d love to hear about the best board gift you have given or received – please share in the comments below or Tweet us @SaraTampa.

Don’t Say “No” for Your Prospect

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Who could say “no” to this face at Satchel’s Last Resort? 

Me: “Let’s brainstorm on who might invest in your social enterprise startup capital.

NPO: “We should ask Mrs. Brown. She’s a great prospect for this. But then again, now isn’t a good time for her because she has moved recently. And, she makes a generous gift to our golf tournament. And, she might not like this because she is passionate about our mission and this is a business enterprise. So let’s not put Mrs. Brown on the list.”

This is a common conversation when I start working with the nonprofit organizations who are part of the Margin Mission Ignition initiative of The Patterson Foundation. I guide them through the process of making a prospect list for their new social enterprise. These prospects will be cultivated and if they indicate an interest, they will be asked to make a donation to invest in the business enterprise.

Too often, the staff and volunteer members of the team come up with great prospects but then talk themselves out of cultivating them for one reason (excuse) or another. In other words, they are deciding “no” for the prospect before they’ve even talked to them about the innovative and mission-sustaining business enterprise.

It’s not our job to say no for the prospect.

So what is our job? I’m glad you asked, because I’ve got some ideas:

  • It’s our job to talk to everyone we encounter about this exciting venture. I like to borrow the concept original to Gail Perry in “Fired Up Fundraising…”: the board should be sneezing. If your organization is embarking on a business planning process for an earned income venture, you should be talking to everyone you know about it. Picture sneezing and spreading your message all around – yes, I too was grossed by the visual at first.
  • It’s our job to share our enthusiasm. Creating an earned income strategy is an exciting undertaking and that should be shared with the people inside and outside your organization. It’s an opportunity to create a mission-sustaining income stream. What supporter wouldn’t want to know the organization they love will be sustained for years to come?
  • It’s our job to cast the vision. Business planning is a forward-looking process. Your organization has given it a lot of thought and it is part of a larger vision for the future of your nonprofit. Don’t keep all that to yourselves. Share it with those who are passionate about your cause.
  • It’s our job to invite them to be a part of the life-changing work of your nonprofit. Many times we are so close to the work of our organization that we forget that every day we are saving lives, changing lives and making our communities better places to live. When we ask for an investment in the business enterprise, we are inviting the donor to be part of that life-changing work.

When we decide “no” for a prospect, two bad things happen. First the prospect misses the opportunity to be a part of the amazing work of our nonprofit. Second, our nonprofit misses out on much-needed financial support. Next time you find yourself thinking of all the reasons a prospect might not support your nonprofit – STOP. You’ll be glad you did and surprised how contagious your enthusiasm can be.

A quick note: this blog was written for The Patterson Foundation’s blog. If you’ve never read it, you should. It’s loaded with great information.

Help – Thanks – Wow

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Last month I completed my term as president of the AFP Suncoast Chapter. That milestone led me to reflect on my term and write some closing thoughts. I’m currently reading Anne Lamott’s book “Help Thanks Wow.”  Her writing inspired my thoughts about the past two years in our AFP chapter.

Help
The board members and volunteers have provided help to the fundraising professionals of Tampa Bay. The resources from AFP International have enriched the help we have provided. That help came in the form of education, advocacy, resources, scholarships and friendship. Our job board helped people find jobs and helped organizations find valuable staff members. Everything we do is to help professional fundraising colleagues and the nonprofits where you work.

Thanks
I have been honored to serve with the dedicated board members and volunteers who make this chapter work. Because our board is an operating board not a governing board, each board member worked with a committee of volunteers to make the magic happen. And it is magic! All of those people are busy professionals who find the time to give back to AFP.  Thanks to everyone on the AFP Suncoast team!

Wow
Each time I’ve stood at the podium of our chapter meetings and looked at all of you, I’ve been touched by the impact you make in our community. Wow! You – my fundraising colleagues – represent nonprofit organizations that are changing lives and saving lives. You educate children, feed hungry neighbors, shelter victims of abuse. You make the world brighter and lovelier with art, music and history. You care for the environment and animals. You work every day to improve your corner of the world. I’m glad your corner is my corner, too. Wow!

In her book, Anne Lamott calls help, thanks and wow her “three essential prayers.” For me, these are the three essentials words that express my appreciation for my colleagues and friends in the AFP Suncoast Chapter.

Help. Thanks. Wow!

Stewardship of Social Enterprise Investors

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Fish Painting at The Folk School at Florida Maritime Museum

Successful social enterprise requires capital investment. I am honored to work with the organizations participating in The Patterson Foundation’s Margin Mission Ignitioninitiative. My role is to support their capital investment fundraising efforts. Social enterprise business planning is hard work and not coincidentally, raising the capital can be hard work, too. Once the business plan is complete, the hard work of implementation begins. At this critical moment organizations can be tempted to move on full speed ahead without thinking about their donor investors. Warning: this is a terrible idea. 

Just like other types of fundraising, capital investment fundraising requires careful stewardship of donors. How should you steward them? I’m glad you asked! There are 3 major steps: Appreciate, Engage, and Listen.

Appreciate
First, make sure they know they are appreciated. This starts with an accurate, well-crafted thank you letter. Be sure to spell the donor’s name right and use their preferred title. If it’s a business, ensure that the letter is addressed to the right person so it doesn’t get lost.

But don’t stop with the letter from the organization. Look for other ways to say thank you. For instance, if a board member helped secure the gift, ask that board member to write a personal note or send an e-mail directly to the donor. You can’t really thank someone too much.

Providing updates on your capital fundraising efforts is another way to appreciate donors. When you show progress toward your capital investment fundraising, you are reassuring the donor that their investment is being joined by others. For instance, the Margin Mission Ignitionorganizations had a stated goal and were fundraising to secure matching funds by a deadline. By providing timely updates, early investors got to share in the celebration.

Engage
Second, keep them engaged. By the time you raise the gift, you’ve probably had multiple conversations with the donor about your earned income venture. Don’t go silent at that point. Update them on your business planning and implementation. They want to know that you are still making progress and likely can help in one way or another.

You can also engage donors by asking them to share their expertise. For instance, if they have a marketing background ask them to review the drafts of your new website. If they are an accountant ask for their help in creating your new accounting system. Donors like to be valued for more than just the checks they write us. Keep in mind though, only ask for their expertise if you’re willing to listen to their ideas.

When appropriate, invite donors to participate as customers. You could offer a coupon and make it comfortable for them to invite family and friends to join them. If your new enterprise includes a “soft opening,” invite donors to be a part of that. Ask for their honest critique of their experience.

Listen
Third, listen. With each of these interactions suggested above, listen to how your investors respond and act accordingly. Some questions to consider:

  • Are they investment donors and might want to do that again?  Then keep them in mind if you need additional capital investment or if you embark on another business plan.
  • Are they committed to your mission and would be likely to support other parts of your organization? Look for the next big thing that will intrigue them.
  • Do they like numbers? Keep them updated on the business plan and the adjustments you are making throughout implementation. 
  • Are they more interested in the impact on your mission? Send them stories about how the proceeds change and save lives at your organization. 

Here’s a bonus tip: as you appreciate, engage and listen – a picture is worth a thousand words. Keep the photos coming. Every communication doesn’t have to be a major design work of art. Spontaneous e-mails with photos attached can be very meaningful. When your donor investors visit you, be sure to snap and share photos. When the proceeds of your enterprise impact your mission, share photos. As an example, the photo above is from Margin Mission Ignition 2016 organization Florida Maritime Museum’s Folk School.

According to research by fundraising expert Penelope Burk, donors (and investors) are most interested in knowing that you put their money to work as they intended and don’t mind if you made some mistakes along the way as long as you can show that used those mistakes as learning opportunities. That is reassurance that their money is well spent. Taking the time to steward your social enterprise investors will be time well spent.

A quick note: this blog was written for The Patterson Foundation’s blog. If you’ve never read it, you should. It’s loaded with great information.

What Are We Doing: Fundraising or Development?

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Image credit: Jennifer Davis Dodd

Since starting my job at Lakeland Regional Medical Center Foundation more than 25 years ago, I’ve been explaining what I do. That’s natural; since my title included “development,” and many people weren’t sure what I was “developing.”

Throughout my career, my titles have included “development” and “advancement” in several iterations (associate, director of, officer). To simplify I’ve usually explained, “I’m a fundraiser.” But since I’ve been at this for a while, I’ve realized there is more to what I do than fundraising.

Let’s start with some definitions from the Association of Fundraising Professionals’ Dictionary:
Developmentnoun; the total process by which an organization increases public understanding of its mission and acquires financial support for its programs
Fundraiseverb; to seek donations from various sources for the support of an organization or a specific project
Fundraisernoun; a person, 1. paid or volunteer, who plans, manages or participates in raising assets and resources for an organization or cause. 2. an event conducted for the purpose of generating funds.
Philanthropynoun; love of humankind, usually expressed by an effort to enhance the well-being of humanity through personal acts of practical kindness or by financial support of a cause or causes

I’ve noticed that we can’t even decide what to call ourselves within our professional field. Click through these links to discover the various ways we describe ourselves:
Association of Fundraising Professionals
National Philanthropy Day
Association for Healthcare Philanthropy
Council for Advancement and Support of Education
Certified Fund Raising Executive

We can’t even decide whether we want “fundraising” to be one word or two.

What Really Matters

My dad used to say, “I don’t care what you call me, just don’t call me late for supper,” and I think that applies here. It doesn’t matter what you call it, what matters most is how you do it.

Development is about developing relationships on behalf of your organization.

Fundraising is a transaction.

If development were a line, fundraising would be a spot on that line.

Here’s what matters most: how do you treat your donors? Do you treat them as a means to a transaction? Or do you treat them like friends and family, like someone who has a relationship with your organization?

If you’re treating them like a transaction, they won’t stay.

If you build a relationship, they will stay.

So what do you call it at your organization? Development, fundraising, or some of both? And how do you approach it: like a transaction or a relationship?

No matter what your job title might be, don’t strictly fundraise. Invest your energies in developing relationships with the donors who support your organization.