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A very brief overview to organizational fundraising.

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1 A very brief overview to organizational fundraising

2 2 Fundraising facts In 2004, Americans gave over $248 billion to charity $189 billion of that money came from living individuals; another $19.8 billion was bequeathed Foundations gave $28.8 billion Corporations, meanwhile, gave only $12 billion

3 3 Diversification of fundraising appeals A key to successful fundraising is asking for money in as many varied ways as makes sense for your organization. Appropriate fundraising strategies could include seeking gifts from:  Foundation  Corporations  Individuals  Special events & auctions or raffles  Governmental agencies  Interest & investment income

4 4 Foundations: background Foundation dollars are key to an organization’s startup and they offer great organizational support in the early years Ongoing support from Foundations is paramount to an organization’s ability to continue developing to better meet the needs of its constituents The grant cultivation, solicitation, writing, evaluating and awarding process is lengthy, often spanning 6 months or more There are many more nonprofits out there – good ones, deserving of support – than there are Foundation grants to support them

5 5 The Foundation grant process Foundation support is most effectively gained by: - Researching which Foundations make grants in your area - Getting to know the program officers in charge of the grant making area to which you’d like to apply - Submitting a letter of intent or proposal per the Foundation’s published guidelines - Following up with your program officer Start by benchmarking your organization with similar orgs to identify potential funders Talk with the development staff of similar organizations, or nonprofits that are friendly with your organization, and ask for their opinion about where you should get your money

6 6 Corporate contributions & sponsorship With American corporations currently giving less per year than the American deceased, seeking corporate dollars is generally seen as the hardest sell in nonprofit fundraising Corporations tend to support organizations where their employees volunteer or which play a public role in the community where the corporation is based Gaining corporate support, unlike Foundation support, tends to be less restricted in terms of use, and reporting processes

7 7 How do corporations give? The following are good examples of campaigns to which corporations are likely to give: - Corporate Annual Sponsorships - Employee matching gift programs - In-kind contributions - Cause-related marketing Corporations often give to organizations that provide tangible benefits to their stakeholders, or to organizations seen as vital to the community where the corporation does business Start by connecting to corporations your constituents know: where do they work, where does their spouse work, who supports their son’s little league team?

8 8 Individual giving Soliciting individuals is most often done through the following methods: - Direct mail (both by post and email) - Memberships - Special events - Online / e-solicitations - Solicitation of major donors - Planned giving Penelope Burk has an excellent book entitled Donor Centered Fundraising: How to hold on to your donors and raise much more money. This is a must read for any organization working to raise money from individuals

9 9 Fundraising is a team effort All of your organization’s staff have the power to speak about and ask for support of your organization. Remember this. It has incredible power Cultivation with an individual (and every individual is a potential donor) occurs every time you interact with them: delivering a program, answering the phone, attending an event, being at a conference, it’s all cultivation Brand recognition and strength is built each time anyone speaks about their organization: be informed, be articulate, be compelling Most nonprofits have an amazing product. One that people need. One that corporations support. One in which foundations believe. Find your story, and get it out there!

10 10 Where to go for more information The Foundation Center is a national nonprofit devoted to the practice of fundraising. They’re online at www.foundationcenter.org, and probably in a city near you. Start here www.foundationcenter.org Countless books have been and are still being written on the art of fundraising including new topics like fundraising in the virtual world (e- and web communications) and integration of more traditional sales and marketing skills into nonprofit organizational development. Start with a search at your local bookstore, or online.


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