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March 2011

Your Fundraising Strategy. March 2011. Giving USA 2009. Giving USA Foundation. 2. Giving USA 2009. 33% - Religion 13% - Education 10% - Grantmaking Fdns 9% - Human Services 8% - Public-society benefit 7% - Health 4% - Arts/culture/humanities 3% - International affairs

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March 2011

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  1. Your Fundraising Strategy March 2011

  2. Giving USA 2009 Giving USA Foundation 2

  3. Giving USA 2009 33% - Religion 13% - Education 10% - GrantmakingFdns 9% - Human Services 8% - Public-society benefit 7% - Health 4% - Arts/culture/humanities 3% - International affairs 2% - Environmental/animals 1% - Individuals 10% - Unallocated giving

  4. The Fundraising Team

  5. Fundraising Cycle

  6. How Much Does Fundraising Cost?

  7. Grants • Strategic Goal: Secure significant gifts • Pros • High return on investment • Easier to renew and upgrade • Multi-year gifts • Requires limited stewardship • Specific guidelines • Cons • Usually funding is restricted • Funding priorities can change • Issues with mission creep • Application and reporting can be burdensome 7

  8. Direct Mail • Strategic Goal: Build a broad base of annual/regular donors for unrestricted operating funds • Pros • Able to reach a lot of people in a short amount of time with limited resources • Establish a base of annual givers • Low fundraiser to donor ratio • Cons • Not very personal • Constant need for list growth and expansion 8

  9. Monthly Giving • Strategic Goal: Regularize donations, build a group of loyal donors who might become major investors • Pros • Regular cash flow • Donor loyalty • Great prospecting for planned giving • Cons • Need a system to accept • Prompt and acknowledge monthly donations – cost of processing 9

  10. Major Gifts • Strategic Goal: Secure significant gifts • Pros • High return on investment • Very little paperwork • Develop long-term relationships • Philanthropy at its best • Cons • Difficult to get personal meetings • Longer gift cycle • Labor intensive • Need relationship managers 10

  11. Online Giving • Strategic Goal: Raise money in a cost effective manner • Pros • It’s easy for donors to give • Immediate acknowledgement with automated response • Ability to capture donor emails • Cons • Must work hard to market and drive people to your website • Credit card fees 11

  12. Special Events • Strategic Goal: Face time with donors and community building • Pros • Stewardship and cultivation of donors/prospects • Raise awareness • Showcase programs and impact • Showcase partnerships • Community building • Cons • Labor intensive • Expensive • Significant portion of proceeds go to overhead • Lost Opportunity Cost 12

  13. Special Events Examples

  14. Other Fundraising Resources • Association of Fundraising Professionals • Silicon Valley Chapter: http://afpsiliconvalley.afpnet.org/ • National Website: www.afpnet.org The Foundation Center Website: www.foundationcenter.org Compass Point Nonprofit Services Website: www.compasspoint.org 14

  15. Break-Out Discussions Step 1: Break out into groups according to the size of your agency Step 2: Introduce yourself: Name, title and organization (pass out business cards) Step 3: Each person presents a specific area of fundraising you would like advice.

  16. Recommended Reading • The Foundation Center’s Guide to Proposal Writing, 5th Edition. • Demystifying Grant Seeking: What You REALLY Need to Do to Get Grants, by Larissa Golden Brown and Martin John Brown • How to Write Successful Fundraising Letters by Mal Warwick • How to Write Fundraising Materials that Raise More Money by Tom Ahern • Open Immediately! Straight Talk on Direct Mail Fundraising: What Works, What Doesn't and Why by Stephen Hitchcock • Hidden Gold: How monthly giving will build donor loyalty, boost your organization's income, and increase financial stability by Mal Warwick • Special Events: Proven Strategies for Nonprofit Fundraising by Alan L. Wendroff • Mega Gifts: Who Gives Them, Who Gets Them? By Jerold Panas • Donor Centered Fundraising by Penelope Burk • Nonprofit Essentials: Major Gifts by Julia Ingraham Walker • Fund-Raising: Evaluating and Managing the Fund Development Process (1999), by James Greenfield 16

  17. Contact the Presenters • Alisa Tantraphol, Corporate & Foundation Relations Manager • atantraphol@shfb.org • Kelly Hardesty, Individual Giving Officer • khardesty@shfb.org 17

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