Fundamentals of Fundraising

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Fundamentals of Fundraising

• Linda Lysakowski, ACFRE
• www.cvfundraising.com

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What is Fundraising

• Development
• Advancement
• A rose by any other name. is still fundraising

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What is Involved in a Typical Development Program

• Events
• Grants
• Annual Appeal
• Major Gifts
• Capital Campaigns
• Planned Giving

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What Every Development Office Needs

• Development Plan
• Case for Support
• Policies Procedures
• Software Systems
• Staffing
• Volunteers
• Board Support
• Ethics and Integrity

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Why Plan

• Set Realistic Goals
• Keep from Getting Sidetracked
• Measure Success

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What Effects Philanthropy Philanthropy

• External Factorseconomics, uncertainty, fear
• Internal Factorshow does the organization think,
  feel and act in regards to fundraising?
• What Does it Take to Move Your Organization to
  the Next Level?

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Board Involvement

• Commitment to Fundraising
• 100 Giving
• Asking Others to Give

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Staffing

• Are the right people on the bus and in the
  right seats?
• Is the organization committed to staff
  development?

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Policies Procedures

• Gift Acceptance Policies
• Donor Software
• Office Procedures

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Accountability

• 990 Form
• State Registration
• IRS Regulations
• Ethics

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Case for Support

• Mission/Vision
• History
• Plans
• Compelling Reason to Give

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Donor Pyramid
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Moving Donors up the Donor Pyramid
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The Most Persuasive Reason To Give

• BELIEF IN THE MISSION
• OF THE
• ORGANIZATION

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Definitions

• A Qualified Prospect is a prospect who continues
  to qualify throughout a research, evaluation, and
  cultivation process as a logical source of
  support for your organization.

• A Prospect is a possible source of support whose
  philanthropic interests appear to match with your
  organization, but whose ability to give,
  interests, and linkages have not been qualified
  through research.

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Moves Management

• Define Major Gifts in your organization
• Classify each prospect by Capacity and Readiness
• Prioritize your prospects
• Develop a Cultivation Strategy and work from the
  top down
• Remember - Interest, Involve, and Invest!

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The Cultivation Cycle

• Identification who are your major gift
  prospects?
• Information learn all you can through research
• Interest further donors interest in your
  organization
• Involvement encourage meaningful interaction
• Investment ask for the investment in your
  organization

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Creating Awareness

• Public Relations
• Advertising
• PSAs and Press Releases
• Communications
• Promotion Ideas

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Creating Awareness

• Special Events
• Fund Raising or Friend Raising?
• Committees
• Staff Role
• Timelines
• Budgets
• Setting Goals

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The Annual Fund

• Grants
• Direct Mail
• Telephone Solicitation
• Personal Solicitation

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What is the Annual Fund?

• The cornerstone of your fund raising efforts
• Encompasses all levels of giving
• Shapes your entire development operation
• Educates the public about your organization
• Acquires new donors and develops the habit of
  giving

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Grants

• Government Grants
• Federal
• State
• Local
• Types of Foundations
• Private foundations
• Corporate foundations
• Community foundations
• Family foundations
• Operating foundations
• Trusts

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Proposal Writing

• Match Interests
• Follow Guidelines
• Personal Contact
• Preparing Your Budget
• Who, What, Why, When and How
• Follow Up

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Direct Mail

• Acquisition
• Have a Plan
• Your Direct Mail Package
• Strategies for Renewal Upgrading

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Telephone Fundraising

• Professionals or Volunteers?
• Segmenting Your Donors
• Preparing the Script
• The Pre-call Letter
• Timing

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Personal Solicitation

• Planning Your Strategy
• Using Volunteers/Staff
• Segmenting Your Donors
• The Business Appeal

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Pockets of Corporate Philanthropy

• Corporate contributions office
• Corporate foundation
• Marketing/Advertising budget
• Local branch management
• Research and development
• Board of Directors
• Gifts in Kind

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Special Campaigns

• Major Gifts
• Capital Campaigns
• Planned Giving

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Capital Campaigns

• Are You Ready for a Campaign?
• The Feasibility/Planning Study
• Using Consultants
• The Endowment Campaign

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Planned Giving

• The Ultimate Gift
• Planned Giving/Deferred Giving
• Types of Planned Gifts
• Starting a Planned Giving Program

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Definitions What is Planned Giving?

• Outright or Current Gift
• Often referred to as a Major Gift
• A complete transfer of cash or stock
• Deferred Gift
• Testamentary Giving or Life Income Arrangement
• To Be Realized in the Future

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Donor Attrition

• The cost of doing business poorly . . .
• Out of every 100 individuals who stop supporting
  your organization
• 4 move away or die
• 15 decide another organization better serves the
  needs they care about
• 15 are unhappy with your organization
• (each will share that news with 15 more people)
• 66 think you don't care about them

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Acknowledgment Ideas

• Thank You Letters
• Within 48 hours
• Who signs?
• Handwritten notes
• Cultivation materials
• Thank You Phone Calls
• "Major" Gifts
• by Users, Board, Staff

• Visits
• Cards
• Birthday
• Anniversary
• Holiday
• Treat all donors with RESPECT

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Recognition Ideas

• Certificates or Plaques
• Recognition events
• Nominations for Community Awards
• Media Coverage
• Giving Clubs
• Annual Report, newsletters

• Named giving opportunities
• Thank you gifts (tax considerations)
• Recognition Walls, Walkways
• Memorial, Commemorative giving
• Committees
• Website

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The Planning Process

• Creating a Development Plan
• Goals
• Objectives
• Strategies
• Timeline
• Budget
• Responsibility

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Who Needs to be Involved

• Board
• Development Committee
• Development Staff
• Other Staff
• Other Volunteers
• Consultants

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Implementing and Evaluating the Plan

• Taking Ownership
• What Happens When It Falls Apart
• Measuring Success
• Reporting Success

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Thank You

• Linda_at_cvfundraising.com
• www.cvfundraising.com