Fund Raising News and Tools for Non-profits

Monday, May 31, 2010

Quick Cash for Your Athletic Team

Here is a quick idea that my daughter's softball team had much success with a few years ago. The team made it to the state finals and were in need of some cash for hotels and meals. Signs were printed, (much like election signs). The signs read, Good luck at the State Championship XYZ Team.

The idea was to get as many businesses as possible to pay $20 for the sign and display it in their window. It worked! Not only did the team sell all their signs in a matter of a few weeks but the town was in the spirit also. It was a great moral booster for the players to see their signs all over town.

Saturday, May 29, 2010

Thank You Notes

How often do you send out a thank you note? Is it only when you get a large gift? The standard practice is to thank a donor, of any size, for their gift with in 48 hours of receiving the gift.

Thank you notes should also go out to visitors for taking the time to learn about your organization. Foundation representatives that sit and talk to you about their giving guidelines also should be thanked for their time. New members of your organization should also be thanked for choosing your NPO.

A simple note will go a long way in helping the people that show an interest in your NPO, that they are appreciated and special.

Thursday, May 27, 2010

Seven Musts in Board Development

1. Clearly state expectations before a new board member agrees to volunteer. Create a board packet that states the expectations of the board. Include information about the NPO. Don’t shy away from what you need form your board members.
2. Give incoming board members a tour of your facility. This is the hook. If your prospective board member is not moved maybe they should move on. It is great to have a big name or big pocket but if you can’t engage them or your NPO is not the right fit ask this person if they could recommend someone else.
3. Present a testimonial or story about someone that benefited from your NPO’s good work. This keeps the purpose of the board in the forefront.
4. Ask board members to give their own testimonial. Why did your Chairman join the board? What moved him/her?
5. Remind current board members of the good work you are doing by showing them new programs or activities. A refresher tour or invitation to a quiet event can have a tremendous impact.
6. Make sure there is time for board members to get to know each other. Plan on extra time at the end of your board meetings for people to talk, not about board issues, but about themselves. This camaraderie will help your board member connect and work together as a team.
7. Start your requests out as small tasks and build the requests as each board member increases their comfort level. Not all board members will be ready to jump in and ask for donations. In fact most won’t be. So start them of with specific smaller tasks such as phone calls to get their “feet wet.”

Tuesday, May 25, 2010

A Really Good Board Member

A really good, dedicated board member should be passionate about your nonprofit. They should think of your organization first, not third or fourth or as they have time.
Involvement in your nonprofit should actually change your board member’s life. Ideally, they will change their schedule to make room for your nonprofit in their day. Your board members should be volunteering for more than just board meetings. They should live and breathe your nonprofit. In doing so they will tell others why the nonprofit is so great.
Being a member of two or more non-profit boards can create several conflicts of interest, especially when the two organizations have similar missions and/or serve similar constituencies, and/or compete for the same funding sources. That aside, being a good board member takes a huge time commitment. Board members need to be dedicated to your nonprofit. You do not want them to fit you in when they can.

Tuesday, May 18, 2010

501 (c) 3 status What Does It Mean

Advantages of 501 (c) 3 status:
Exempt from federal income tax
Contributions are deductible by the donors
Qualify for reduced postal rates
Exemption from Federal Unemployment Tax Act
May qualify for state sales tax and other local tax exemptions
Provides proof of eligibility to accept grants

Disadvantages of 501 (c)3 status
Prohibits Lobbying in election campaigns
allows only minor lobbying by group
Prohibits individual members from benefiting from the group's earnings
Info obtained from the AFP Chapter Resource Guide 2010

Thursday, May 13, 2010

How Do I Get My Board Members to Give?

I have been successful in urging board members and management staff to give by sending a quote from a fund raising book. in the book The Annual Campaign, Erik Daubert defends your request for board support on page 72. He states, "Members of your board of directors should recognize and be willing to support your organization through their charitable contributions. . . Why would perspective donors make a contribution if your own board members have not? If the people who are supposed to be the most committed volunteers in your organization are not willing to support it financially, why should others be expected to do so?"

I have added similar quotes in my introductory letters to board and staff with positive results. Think about it, as an employee if I don't support and believe in the organization I work for, why should anyone else?

Wednesday, May 12, 2010

Not another fundraiser!

Tis the season. All the spring fund raisers are coming out of the woodwork. Auctions, dinners with raffles, and golf tournaments. Oh My!
So how do you figure out the Return on Investment (ROI)? First off do not measure the success by the man hours compared to the dollars earned. It is a rare case that you will end up ahead of the game.
Instead use your special event as a public relations tool. Promote visibility by using your non-profit status to advertise (GIK) the event. Be sure to tell your target audience how the money will be used.
Cultivate new prospects and current donors by introducing them to your organization. Create a socializing event for your family of friends and donors. Build loyalty to continue raising funds for your annual giving program. And enjoy the fruits of your special event labor for many years to come.

Monday, May 3, 2010

The Elevator Speech

The term Elevator Speech refers to the time it takes for you to enter an elevator at the ground floor until you reach your desired floor. In that time you should be able to “sell” your nonprofit to those riding the elevator with you.

This same speech can be used at chamber mixers or other networking events. Your speech should grab attention and say a lot in a few words. Tell your listener who you represent, what your NPO is interested in doing, and how you plan to accomplish your goal.

Practice your speech and be ready anytime you encounter an interested listener. The speech should sound effortless, be conversational, memorable and if possible include a hook. The hook in the speech below is “parents with young children.” The ending tells the listener the positive goal.

Xyz organization is a transitional housing program for families in crisis who are homeless. We would like to expand our capacity to eliminate our waiting list and allow families in our care enough time to find affordable housing. We plan to build an addition on our current home so our communities most vulnerable, parents with young children, can rebuild their foundation for success.

An Elevator Speech can also be used to sell your self during a job interview.

Sunday, May 2, 2010

Donor Recognition

You received the gift. Yeah! Now what? This is when you follow up with recognition. Policies should have been previously set for different levels of recognition. Below are a few samples. Remember to get the donors permission before you publicly recognize them.

1. Personally thank your donors. This can be in the form of a phone call, visit or a hand written note.
2. Hand deliver a recognition plaque or certificate.
3. Dedicate a room or prominently display their name at your organization or in your annual publication.
4. Highlight your donor’s story in your newsletter or other publication.
5. Honor your donors at a recognition lunch or dinner.