Archive for the ‘Major Gifts’ Category

One of my favorite blogs (For Impact) is talking today about making fundraising calls.

I hear so many times how excited my friends are when they manage to actually get the appointment.

In their excitement, they forget about planning the details of the visit.

I remember years ago when I was a beginning fundraiser at Duke University. I was walking down the street with the VP for Development at Duke.  He was going to accompany me on a fundraising visit.

I was pretty excited but also nervous because he was the head honcho. And I will never forget what he asked me:  “what are your goals for this visit?”

Well, I almost swallowed my tongue! I had never given it any thought! I managed to scramble and come up with some objectives to share with him, but boy – what a jolt!

Don’t let this happen to you.

Never make a fundraising call unless you determine what you want to get out of it.

If you are clear, you’ll actually be able to achieve what you want during the conversation. If you don’t know what you want to accomplish, you can pretty much be sure that you won’t accomplish it!

The For Impact blog today talked about a particular visit, and then suggested these as possible goals:

1. Qualify the prospect. (Financial capacity and interest).
2. Have her help to identify the correct players in the city to get on board.
3. Get her help in getting to some or all of those identified in number two.

A great start!

It’s the week of Thanksgiving here in the U.S. and we are counting our blessings. As you consider what you are thankful for, perhaps you might remember your DONORS – the wonderful people who make the work of your organization possible.

I think most of us fundraisers take our donors for granted. And I think many board members and non-development staff members also feel this way.

I am doing a feasibility study for a capital campaign here in North Carolina, and I ran across a blatant example today. I was interviewing a donor who had made a major gift to the organization’s previous capital campaign. And the donor never felt adequately thanked.

He was invited to the groundbreaking with the other major donors. And he saw his name on the donor board in the lobby of the building that he contributed to. And he received a thank you letter.

But he also saw all the whoopla being made over a bank’s gift to the project. The organization made lots of fuss over some donors and none over other donors, including him.

And he felt sorta neglected.  Can you imagine that a major donor might feel neglected?  In fundraising, we consider this almost a crime.  But I bet it happens more often than not.

What happened in this case?

You guessed it: there was turnover among the development office staff. The vital link of knowledge and consistency was broken. And when the staff left, the relationship with the donor walked out the door too.  The new staff had other priorities . . . and the donor was left out in the cold.

During this season, please remember your donors – particularly your major donors. Go back to them and thank them for all they have done to make your organization successful.

How about thanking your organization’s founders?

How about all the donors to your last capital campaign?

How about former board members?

Hint: these folks are probably major donor prospects, aren’t they? So it is reasonable to invest some of your time thanking them.

Remember thanking donors is the first step to preparing them for the next solicitation.

When in doubt, love your donors!

There is one step, and one step only, that can make the largest difference in your year-end fundraising results.

And it’s not letters or email or fancy packaging or phone calls or any of that stuff.

It’s this:

Identify the top 10-15 largest donors who gave last year but have not yet given this year – and go see them. Find out what is on their minds and ask them to support you this year.

Spending your time with these funding sources is clearly the absolute best place for you to be in November and December.

So go see these wonderful donors who already believe in you and have supported you in the past. They have already voted with their pocketbooks that they are sold on your mission.

These folks are pre-sold.

You won’t need to educate them, or spend a lot of time developing a close relationship, because it already exists.  It’s the most productive place for you to put your energy – especially if you evaluate the return on your investment of time and energy.

And if you added up the amounts that these funding sources represent, I’ll bet it is a substantial part of your year-end fundraising goal. All of us fundraisers know that it is the higher dollar donors who make the most difference in our totals.

Spend your time where the pockets are the deepest, if you want to raise the money that you  need.

If you don’t do anything else in your year-end campaign, you must do this.

I’m just back from the Northeast Leadership Conference of the Boys and Girls Club of America where I spoke yesterday afternoon at their Regional Leadership Conference. (Love those BGCA folks!)

Here’s what Dovie Prather, the Senior Director of Development Club Resources for BGCA Northeast Region, shared with me about their year-end fundraising strategies.

(That’s Dovie in the picture right here along with Glen Staron, Vice President, Boys & Girls Clubs of America, Northeast Region, and me.)

Dovie spends her time coaching board volunteers and staff in the various Boys and Girls Clubs in her region – from Maine to Maryland.  She has worked with her share of reluctant board members who don’t want to go on fundraising calls.

But the staff needs the board members to help if they are going to make their goals.

And face-to-face visits are a key part of her year-end fundraising strategy recommendations for her Boys and Girls Clubs.

She’s counting on those one-on-one calls for $1k or more with key supporters to help the Clubs meet their goals. (See my earlier blog post on Focusing on Individuals to Make Your Year-End Goals). We all know that we can count on individuals this fall far more than we can count on our foundation and corporate supporters.

But most of her board members think they won’t be successful in face-to-face visits. And she doesn’t really want to send the board members out alone anyway.

So here’s her solution:

She asks board members to accompany staff on these calls. Many times all the board member has to do in the call is to tell their own personal story about why they are involved in Boys and Girls Clubs.

A board member’s personal story is a very, very powerful in-person, live testimonial. And it happens right there in the call in front of the donor. Bringing a board member along to share their story is a bit like bringing a portable live testimonial with you.

We all know that stories are more powerful than facts. And that a volunteer’s endorsement is more powerful than anything we can say or do.

Be sure you include face to face visits in your year-end fundraising strategy.  And bring board members along.

It just might make all the difference!

The recession is on everybody’s mind, right? Surely it’s on yours. Your organization has had to cut staff and reduce services. You’re in a crisis mode unlike any other time in your history.

Here you are in the time when you’ve needed your friends and donors more than you ever have needed them. And not as many of them are there for you. It’s not a pretty picture.

But, wait! You can’t talk to your donors in your year-end appeal like that.

They won’t respond to a “downer.” Tales of gloom and doom are depressing. The fact that your organization is in trouble is not inspiring.

Want to know what donors will respond to? Messaging guru Kivi Leroux Miller, in her 09 Year-End Fundraising Strategies Telesummit interview, came down squarely against talking about the recession.

“People are depressed enough,” she said. “I think people are tired of hearing about the recession. It’s really old news – and it’s over a year old now. Donors want something to be hopeful about.”

Talk Positively.

Miller recommends that you talk positively about your organization and its future. You tell your donors what you have done to re-size or “re-set” your operations, but in a very can-do manner.

You paint a picture of the terrible growing need out there, but then you tell your donors that your organization is committed to tackling the problem. Invite your donors to join in on the cause; to help tackle the problem; to take action, and to give money.

What you’re doing is presenting the need in a positive light. You’re addressing it with vigor. You believe in success. And you invite your donors to  participate.

This type of talk is a far cry from a “gloom and doom” scenario that is far more common. You can stand out this year-end fundraising season for your positive outlook and your business-like approach to solving problems.

Yes, here’s the holy grail!  A board member who is willing to ask – and is comfortable asking.  I’ve worked with a lot of board members on this topic around the country and I have heard their pain.

I’ve seen them drag themselves into trainings called “The Art of the Ask” with a heavy heart.  Yep, you can be really sure they are on fire about raising money.

And will those who just HATE it be good fundraisers? Probably not!

I just don’t believe in sending out board members to do a lot of asking.   Do you really want every single one of them out asking for money?  Some of them may just botch it or just apologize their way through it.

What I do is find the two, three or four folks on the board who can be true champions out there in the community for your cause. They actually UNDERSTAND this fundraising stuff.

And they are good at it.

The rest of my wonderful, well-meaning but nervous board members I put to work in other types of fundraising jobs:  calling donors to thank them; holding socials to introduce new friends to our cause, taking everybody they know on a tour to show them the incredible impact you are making.

That’s how I organize my board fundraising work.

Everybody’s happy. Everyone does a job they like.  And everyone gets their job done.

Now, if you have some board members who are willing to learn about “asking,” then there are ways to help them become more comfortable. You do these things (and I’ll be blogging about these in the future in more detail):

Help them understand that they are asking for “help” not money.. . Help them focus on raising friends who will then give later. . . Teach them actually how to have a conversation with a prospective donor. . .  and give them practice making a pitch. . .  Give them one compelling story to tell that can throw somebody out of their chair. . . Teach them how to talk about the impact that a gift will make out in the world.

Here’s another question I received during my webinar Six New Rules for Board Members in Changing Times. (I’m repeating the webinar on July 16 because the June session sold out.)

Many people wonder exactly what board members need to be doing in fundraising. The entire area is undefined unfortunately.  The pundits say “everybody on the board should be out there raising money.”

But the reality is quite different.  People who serve on nonprofit boards are, in fact, volunteers. That means you can’t MAKE them do anything!  You can only ask them and motivate them.

So it’s hard to say exactly how many of your board members should be fundraising. Every board is different.

I think that looking for exact percentages is tough.  If you expect a certain percentage, then you may place an unnecessary burden on yourself if your board is not performing up to some formal “standard.”

The real problem is that there are no set rules or standards for nonprofit boards.  They have some very general legal requirements set out by law. But nothing very specific. We have some informal rules of thumb and best practices that we share together.

The Rule of Threes.  From my standpoint, I usually see board members fall into groups of threes. One third of the board is action oriented, works hard, delivers results, and takes responsibility.  And often a third of the board is pretty much a waste when it comes to anything.

The middle third of the board can be swayed either way. The action-oriented group can pull them along, and the “do-nothing” crowd can also infect them with a passive attitude.

So I usually see about a third of the board willing and able to shoulder some fundraising responsibilities.

But I have to tell you that my “Easy Fundraising for Board Members” system of educating board members about fundraising really can motivate the whole board.  I just show them how to make it all about “friendraising” – and how to make it fun.

All of my blog posts and articles describe my approach. You can use these ideas too – I promise they can literally transform your board’s fundraising performance – and your life.

This question is from my last webinar “Six New Rules for Board Members in Changing Times, which I’ll be repeating on July 16 because it sold out so quickly.

This is such a typical problem for board members – and for staff.

The answer to this problem is that you move very very slowly.  It’s important that your board member doesn’t feel like you are pushing him or her.

Look at it from your board member’s point of view. They don’t want to take advantage of a friendship! That would be the same as using people – and worse, using their friends.  That kind of action is pretty low down if you ask me.

So you really do need to go slowly with your board member and help him or her look at it from another perspective.

Let’s assume that your board members is in fact passionate, and really does want to make the connection but they can’t think of a polite way to go about it.  You, as staff, could just make an appointment for a professional visit with their friend, but your board member can’t do this.

But consider these strategies to open the door in a natural way and introduce their friend to your organization.  THese don’t feel like pressure or taking advantage of anybody:

1.  SNEEZE!  The number one thing your board members should be doing is spreading the viral message about your cause all over town.  If ideas are like viruses, then they are catching!  And every single friend of your board member should be hearing great things about the cause all the time. It’s just a natural thing between friends.

2. Host a party!  You may know that my favorite motto is “when in doubt, throw a party!”  But what an easy way to introduce friends to the cause.  Your board member could host a picnic, a porch party, a social to introduce friends and contacts to your organization. The best thing is that the friends can decide to come or not.  No pressure.

3. Host a tour.  I love to see board members taking their friends on field trips to see how an organization changes the world.  Or take them on a tour of your organization with lots of different people talking about their work.  Again, the tour attendees self-select to come – they can choose not to come as well.

4. Host a table at your big event.  It’s certainly easy for your board member to invite their friend to come attend and sit at their table. And it offers you a perfect chance to meet them personally yourself.  Then you can take the ball and run with it!

This is an article by Terry Axelrod of Benevon that was printed in the Guidestar June newsletter.  I am a real fan of Terry’s and highly recommend many of her strategies. 

http://www2.guidestar.org/rxa/news/articles/2009/call-your-donors.aspx?source=jun09nwsltr

In these uncertain times, nonprofits are asking, “What do we do now? How do we survive, manage, or even thrive in this economy?” I’ve spent this week calling about 50 CEOs from some of the groups in our Five-Year Sustainable Funding Program. I called to listen, to see how each group was faring, how their fundraising was going, what more they might need. Granted, their teams have had the benefit of our training and coaching, some for several years. What I heard was heartening.

About 85 percent of the CEOs shared that 2008 had ended very well for them. They had met or exceeded their fundraising goals. For 2009, they are budgeting for no growth and managing their reserves very conservatively. The other 15 percent had experienced severe budget cuts (usually from state funds) that had nearly crippled them.

When we talked about the extent of the cuts, we started to quantify how much money it would take for them to feel that they could weather the storm. In each of those cases, once we talked through their fears, they were able to put a dollar number on the solution and design an emergency campaign to raise those funds.

In both cases—those groups that were doing well and those that were feeling the pain—when they asked for my advice about what to do now, I said those same three words: “Call your donors.”

Whether to say thank you personally for their support, to share the challenges your staff and clients are facing, or to ask for their support for an emergency bail-out campaign, if you have been engaging your donors as individuals (especially donors who make larger multi-year pledges, indicating their long-term support for your work), it is easy to pick up the phone.

Ask how things are going for them right now, let down your hair, share the real issues you are dealing with, ask for their input, include them in the life of the organization. Treat them like the loyal supporters they are.

Set aside one hour every day this week to call your donors. In one hour you ought to be able to reach and talk to 3 or 4 people. That’s 15 to 20 people this week. Right now: open your calendar, block out the time. One hour a day, pick up the phone. Call your donors!

Terry Axelrod, Benevon
© 2009, Benevon

Terry Axelrod is the founder and CEO of  Benevon (formerly Raising More Money), a Seattle-based organization that has trained and coached more than 3,000 nonprofits to build sustainable funding from individual donors.

How long should I stay when I visit a donor? You need to be sure you don’t overstay your welcome.  Ask for only 30 or 40 minutes and GET OUT when you said you would.  It’s a great strategy because then they will be highly likely to see you again.  They will know that you will be mercifully brief.  They will know that you won’t drone on and on!

Never wait until the donor makes signs that they are finished with the visit.  Always be the first one to begin the process of ending the meeting.  You NEVER want to make someone feel like you are a drain on their time.

Use your internal radar when you are in front of a donor. Your goal is to make them feel important  and interesting.  And let me be clear – to you they are without a doubt very important and you are totally interested in what is on their mind.

When should I leave? When I am making a call or visit, my internal radar is going round and round. I am carefully watching my donor for signs of boredom or distraction.

If I sense that they are becoming tired of the visit, you better believe that I get out of there quickly. The last thing I want my donor to be is impatient or bored.  I want him to remember the visit as enjoyable and interesting.

If he remembers the visit experience as boring, then all is lost. I can’t imagine how he would ever be willing to see me again if that was his experience.

When I was Director of Development of the Kenan Flagler Business School, I called on many of our crackerjack alumni on Wall Street. Most of these guys had an attention span of about t13 ½ minutes. Of course they were wheeling and dealing in millions every minute, so their time was precious.

So  my strategy was:  Ask for 15 minutes and then get out.  And I followed that rule. Now and again I would stay longer if my donor was really enjoying herself. But I would watch her carefully for signs that she was ready to end the visit and then split quickly.

Sometimes I would deliberately leave even when someone clearly wanted to keep talking.  I figured that was insurance that they would be willing to see me again – they would know for sure that I would leave when I said I would – and that they had more to say to me so they would want to visit again.