The Secret to Fundraising - Don't Ask for Things

Raising Money Without Asking

• Do your board members love fundraising?
• Do you? 
• Do you want to have more fun securing the resources your organization needs?

When I say fundraising isn't about asking for money, people either slant their head and look at me confused or they give me the evil eye.  I don't mean to say you can't raise money if you ask for money; of course you can and it's done every day.  But it often feels, well, yucky (my technical term). 

Just ask your board members if they like asking people for money.  My guess is many of you feel your board members are not doing enough to open doors for your organization.  It's not that they are uncommitted; it's that their relationships are very important to them, and they don't want to put them in jeopardy.

Wouldn't it be cool if you could secure the resources you need without asking for things?  In fact, let's just be honest and admit that when we ask for money, it feels more like begging, and that feels yucky. 

There is a more genuine and spiritual approach to fundraising that feels good, and in this blog post, I'm going to tell  you exactly how to receive more by doing less asking.  This approach requires two important changes though:  FIRST, a change in how you think and what you believe; and SECOND, a change in what you do. 

Changing the Way You Think and What You Believe

There are some MISCONCEPTIONS about the world of fundraising:

• There's not enough money out there.  This just isn't true, but if you believe it, you've already put up a wall between you and all the opportunities to find the money that are out there.  There is soooooo much money out there it makes my head spin.  If you are not attracting it, YOU are the one not doing something as effectively as you could.  It doesn't matter if the economy is good or bad, whether you live in a rural community, a low-income community; there is plenty of money available for your organization. 

• We have to compete against everyone else.  This sense of competition makes me cringe.  It feels like you cannot be supportive of other organizations, because if you are, you will hurt your own.  If you think fundraising money is like a pie that has to be split among the organizations in your community, then again, you have limited yourself. 

In order for my approach to work for you, you must be an eternal optimist and believe all the resources that you  need exist - you just need to learn how to attract them to your organization.  The best athletes in the word do something very specific that gives them the edge over all the other athletes who, at that level really have the same skills.  They visualize what it feels like to cross the finish line and then they embody the feeling of what crossing the finish line feels like.

When it comes to fundraising, visualizing what it feels like to achieve the fundraising goal actually does something to your brain, causing you to become alert to the opportunities that have always been right in front of you but you didn't notice before. 

For example, you know how I love talking about Eastbrook Academy, because they put into practice a new way of thinking/believing PLUS new
behaviors.  Because of that they not only took their annual event to new heights (raising at this year's event a third of what they raised total in 15 years), but they achieved their initial goal a month before the event and then went on to double that goal and achieve that.  They were in the zone just like a professional athlete.  They could not have done this without changing the way they thought about money PLUS going about it in a way that made them feel comfortable and actually have fun. 

Changing What You Do

After you take a leap of faith and change your beliefs, what do you do next?  Well, action is required, but the right kind of action.  I've talked about these in other blog posts, so you may want to refer back to some of them on developing your story, inspiring people to become ambassadors for your organization, designing a compelling tour, etc.  

• Cultivate relationships when you DON'T NEED MONEY.  You will really strengthen your relationships with people if you change their perception that the only time you want to talk with them is when you need something. 

• Invite people in and share WITHOUT AN AGENDA.  Having an expected outcome from someone actually limits the outcome; it's like putting a wall up between you and the potential generosity of the person you're with.  That doesn't mean you don't enter the conversation prepared with things you want to share.  It means letting go of the result, and being genuinely interested in another human being.  The less you care about what happens, the more that will happen.  Caring too much about the results causes you to come across desperate, which is the opposite of inspiring.  Be truly open to the possibilities.  

• During your tour, ask your visitor questions.  His or her answers will give you clues about what really interests them, and then focus on those things.  Don't feel compelled to tell them everything - they don't usually care about everything, just certain things.  

• After the tour, sit down and share your achievements and priorities.  This is key and why you don't have to ask for money.  After you update your visitor/donor and highlight what you've been able to accomplish (thanks to them if they're already a donor), and then very clearly outline your major priorities and what you need to accomplish them.  You need to be specific, and you may even have separate one-sheets on each of the major priorities.  

• Ask these THREE MAGIC QUESTIONS in this order and then take notes.  Now it is time to stop talking and listen very carefully.  FIRST ask WHAT DO YOU THINK?  Start writing, because you are going to gain insight into what is really important to this person, as well as valuable feedback about how you are sharing your story.  SECOND ask HOW DO YOU SEE YOURSELF FITTING IN?  This question allows the person to decide for themselves where they want to have an impact, and because you were so clear on your priorities, whatever they decide will be what you need.  By not asking for a specific amount from them - but letting them know specifically what you need to achieve your priorities - you have left it wide open for them TO DECIDE FOR THEMSELVES, which often leads to a much bigger donation than you would have otherwise gotten.  Or, they could say, I'm not sure, or nothing now, to which you will answer THANK YOU! THIRD ask WHO ELSE NEEDS TO KNOW ABOUT WHAT WE'RE DOING?  If you've inspired them and been clear about your priorities, and because you didn't ask them for anything, I can almost guarantee that they will think of at least one other person or organization that may be interested in your organization's mission.  The answers to these questions represent the JUICY STUFF (another technical term) that directs your cultivation activities and leads to resources.  

• Send a hand-written thank you note within 48 hours.  No matter the result, send a thank you note. No matter what happens, you have made an impression on this person that could lead to something down the road. 

• Do your follow-up activities.  Followup is the key to success here.  If the visitor suggested someone might be interested, be sure to follow up with them about getting connected to that person, and follow up with that person and invite them for a tour.  Followup is every organization's weakness, and it's where all the results happen.

Celebrate Successes - Even the Small Ones

It's not the size of the gift that should matter when it comes to recognizing people or celebrating.  It is about understanding the path that got you there, because there is no difference in how you receive a small donation versus a large donation.  It is the same cultivation path, and you just never know who will lead you where and when.  And to help your board members build confidence, share the stories about how donations ultimately happened.  They will learn that every moment of the day is an opportunity to share the story and cultivate a relationship that might lead somewhere. 

As always, feel free to share what happens when you put these ideas to work for your organization, and please pass this information along to others who could benefit. 

Happy Spring!

To read more about how to do fundraising without asking for money, purchase my book The Secret to Fundraising; It's NOT About Asking for Money by clicking here.

Deb

 

Relationship Fundraising - Event Planning Season

3 Ways to  Make More Money on Your Event

FIRST - Spend time on the right things 

Most organizations don't come close to raising what they could through their events because they spend too much time on the wrong things.  While it's fun to pick out linens, taste the meal choices and make pretty center pieces, these things have little to do with achieving the main goal of a fundraising event, which is to maximize net income.  I think there are two reasons staff people spend too much time on these things.  First, they lack a clear understanding of strategic relationship cultivation, and second, they avoid doing the thing that is uncomfortable.  

The most important activity to spend time on leading up to a fundraising event is being intentional about who you want to sponsor and come to the event and cultivating those relationships.  Whether you have 12 months or 3 months to prepare for the event, after securing a date and location, all the other logistics can wait.  The focus needs to be on combing through all of your donors and key prospects and deciding where you think they fit in.  Before you approach them though, you will want to put together a sheet that lays out the history and the purpose of the event, along with your priorities for fundraising and all the options for getting involved.  

SECOND - Map all the ways to generate revenue 

The least effective way to raise money through your event is through attendance.  If all your revenue is tied to attendance, then that means you have to have a lot of people come to the event and you have to charge a lot of money.  What if there is a snow storm on the night of the event?  This strategy causes a lot of stress for everyone. 

The most effective way to raise money through your event is through event sponsorships that offer sponsors an opportunity to promote their company.  The amount you can secure from sponsors will depend on many factors, including history of the event, usual attendance, and the number and kind of promotion strategies you use (e.g., online, newspaper articles, invitations, flyers, partner organizations, etc.).  You will receive sponsor donations before the event, so even in the event attendance is less than you planned, you have already gotten money in the door. 

The sponsor amount is not tied to expenses.  Many small organizations feel that they can only ask sponsors to pay for specific expenses (e.g., the cost of the meal).  The sponsorship amount is whatever someone is willing to donate to you and usually depends on what you offer as far as recognition and how generous they are feeling.  

There are several other strategies in between attendance (day of event) and sponsorships (before event).  Silent auctions are something that event attendees are used to and also enjoy, because they feel that they are making a contribution, but they also get something in return.  Even a silent auction of minimally priced items can result in thousands of dollars.  Depending on who the attendees are (I'll talk about that next), a live auction of high-value items (vacation packages, suites at professional sporting events) and/or straight financial donations can result in thousands more.  If your organization's story is solid and compelling, and your priorities clear, this is a great way to inspire your attendees to give even more.  

Don't leave things to chance though.  Start with a gross revenue goal for the event as well as a net income goal - and stick with it.  For a goal of $38,000 gross, it would be appropriate to budget $8,000 for expenses (no more though).  It would be appropriate to budget $10,000 in sponsor dollars, maybe $8,000 for the silent auction, and another $6,000 for the live auction conservatively.  That leaves $12,000 to be raised through attendance, and at $75 per ticket (reasonable price), you will need 160 people to purchase tickets prior to the event.  If that attendance figure is too scary, then you will need to raise more more money in the other categories.  

THIRD - Start cultivating relationships 

Once you have this mapped out, it's time to make a list of all the people who are your prospects in each of these categories.  Now it's a matter of filling in the blanks - but not by yourself.  As I have said before, the job of the fund development director or event planner is NOT TO RAISE THE MONEY.  His or her job is to create and drive the strategy, and engage as many stakeholders as possible in implementing the strategy (e.g., board members, other staff members, key volunteers and other donors). 

Let's start with sponsors.  If this is your first event, begin by making a list of your key supporters, donors, volunteers and vendors.  Simply reach out and let them know you are doing an event and are wondering if they would like to be involved as a sponsor.  They will ask for information on the sponsor levels, and then you will follow up until you get a YES or NO.  If this isn't your first event, you will first go back to past sponsors and ask them to consider renewing their sponsorship at the same or higher level.  Be open to feedback and be creative about what you're willing to offer them as far as recognition and exposure.  


Gather a committee of 4-6 committed volunteers, including board members to take care of the silent auction.  Your board members should be willing to reach into their networks to recruit sponsors and also silent auction items.  You might also consider doing a mailing to area businesses; this seems to get good results too because offering gift cards is a way for those businesses to get new people in their doors.  

The attendance list is actually one of the most important strategies.  Typically, small organizations just send out invitations to their usual mailing list without thinking about who they want to attend the event.  If the goal of the event is truly to raise as much money as possible, then you want to focus on people who have the capacity to donate a lot of money.  This can be touchy though, because in the past you may have invited people who really couldn't afford to donate much.  In this case, if there might be hard feelings because you are changing the strategy for the event, you may want to create another event that is more about celebrating and is more financially accessible.  For this event, you wouldn't want to have the pressure of raising money.  

Spend time collecting materials from other successful events in the community to see who is sponsoring what organizations, and if their mission is similar to yours, consider reaching out to them and inviting them to your event or a tour.  Brainstorm your ideal attendance, and BE BRAVE and reach out to these folks to share your story and let them know you will be sending them an invitation.  Be sure to reach out to them first though, otherwise, your invitation will end up in the trash.  It's all about relationships.  

Ask your board members to each contribute 10 new people to the invitation list that they will ask to consider coming to the event.  You will need to provide your board members with materials and scripts and coaching to do this outreach.  Do not expect them to follow through without the support and encouragement they need. 

As always, I love to hear back from people to see how my articles have had an impact.  Good luck on your next fundraising event! 

Deb

P.S.  My latest book The Secret to Fundraising; It's NOT About Asking For Money is all about strategic relationship cultivation.  Click here to view it on Amazon.com.  

 
 




 
 

Didn't Get a Year-End Appeal Out? DON'T PANIC!

Happy Holidays

from Deb

I've always wanted to use this photo.  I'm feeling on top of the world as I go into 2015 (or at least on top of the parking garage in downtown Atlanta). 

Did you know the meaning of my company name - alinea?  It's actually a French word for the paragraph symbol, and means "The beginning of a new train of thought."  That's my mission - to get you thinking about things in a new way in order to get new results. 

What to do if you didn't get a year-end appeal out

This is what I mean by thinking about things in a new way.  If you didn't have time to get a year-end appeal out in the mail, IT'S AN OPPORTUNITY!  Why?  Because in addition to December being one of the best times to ask for support, January comes in second.  In December, people are in the spirit of giving, fulfilling their charitable goals, and maybe looking for some last-minute tax benefits (although that's the least important reason people state for giving).  In January, people have new goals for giving, feel like there's a fresh new start.  Psychologically speaking, there's a huge difference in people's attitudes about giving from December 31st to January 1st.  

So, if you're feeling bad about not being able to get a year-end appeal out, don't fret.  But be sure to get your New Year's appeal out by mid-January. 

The formula for your New Year's Appeal letter.

The first reason to use my formula is that it is based on research on how to maximize the results of an appeal letter.  The more important reason to use my formula is that it is based on a genuine relationship-based approach to inspiring people to want to help your organization.  

First, say THANK YOU!  Begin your letter by thanking people for their support. 

Second, tell people how their support has helped.  Share your successes and achievements; include images and links to videos that bring these successes to life.

Third, remind people of your mission.  

Fourth, announce your vision and your major priorities for 2015.  Be specific about what you need in order to achieve these priorities.

Fifth, include "ask strings."  An ask string is a sentence that should appear on each page of the letter that is underlined and says something like:  Your gift of $1,000, $500, $250 or any amount given as a single donation or as a monthly donation to Globall Giving helps us deliver gently used sporting equipment to children around the world, including in the U.S. 

Sixth, include a pledge card and small return envelope with return label and instructions for making a gift online (DO NOT INCLUDE POSTAGE).  Make it very easy for someone to make a gift. 

If you would like a sample year-end appeal letter (same formula as New Year appeal - I just made that name up), send me a note by clicking here.  

Good luck, and don't forget to let me know how using my formula or advice helps you achieve new and better results.  

Deb 

P.S.   If you know of a nonprofit, school (or school district) or church that could benefit by my services, please refer them.  My projects range from 12-month community engagement projects that cost $15,000 to hourly coaching at $150 per hour. 

Turn Board Members & Volunteers into SUPER AMBASSADORS

My all-time most popular blog postings are How Engaged Are Your Board Members? (click here)  and How to Create Ambassadors for Your Organization (click here).  Since it has been a couple years since I've written about these topics, I thought I'd bring a fresh perspective to the table and share some real stories.

Success Story - Eastbrook Academy

I started working with this amazing school in January.  Eastbrook Academy, a ministry of Eastbrook Church in Milwaukee, supports families from diverse backgrounds in regards to ethnicity, socio-economics, and geography, they have been ranked #1 in Wisconsin on the High School Challenge Index and 100% of their high school graduates get accepted into college and receive a significant amount of grants and scholarships.  This school has such an amazing story in my mind because families do NOT have to choose between diversity AND academic excellence - THEY GET BOTH!  

Anyway, Eastbrook Academy hired me to take their small resource development program to the next level.  Once I understood how amazing they were, I told them, "You are just shy."  There are probably lots of organizations like Eastbrook Academy that do amazing quality work and envision delivering their mission to folks regardless of financial capacity, but don't know how to secure the resources they need to achieve this vision.

In my mind it really was about teaching the organization - especially the board members - how to embrace their role as ambassador and then to provide the coaching and tools needed for them to have the confidence to share the story and cultivate the relationships that were sure to result in the resources they needed.

So we got right to work implementing my infamous formula of STORY + DIRECTION + RELATIONSHIPS.  The first step was to take the Eastbrook Academy story and articulate it in a professional case statement (click here for the first in a series of blog posts that describe how to develop your professional case statement).  The board members and a core team of other organizational staff members began to get used to sharing the story in a consistent manner.  The elevator pitch helped the core team and board members be more natural by sharing the story from the perspective of their passion (click here to read about the elevator pitch). 

Then I worked with their fabulous fund development director to develop a compelling tour that incorporated my three magic questions, the answers to which would provide amazing opportunities for relationship cultivation.  (click here to email me to get a sample compelling tour). 

Immediate and Significant Results

Well, because this organization was so open to doing things in a new way, results came fast.  We started by inviting current supporters and donors to take a compelling tour.  In the first month, the first four tours resulted in three new donations!  During the past six months, more than 10 additional tours have been conducted, resulting in more donations as well as more connections.  Twenty more tours are scheduled to take place within the next two months.  After hosting a a community session, two couples - already supporters - are making monthly donations.  By simply doing a better job of sharing their story, welcoming people in for a tour and asking three simple questions, Eastbrook Academy is taking their development program to the next level.

Where Board Members and Volunteers Fit In

BEWARE!  It is important that you realize all of this work is NOT being done solely by the fund development director.  The key to a successful development program is seeing the role of the fund development director as DRIVER AND FACILITATOR of the plan.  Ideally, the fund development director is empowering lots of other people to make connections and help cultivate relationships.  

At Eastbrook Academy, board members and other volunteers have really stepped up, but before they could do that they had to know what to do, have tools to make it easy to do and get the training and support to have the confidence to go out and make new connections.  Again, they've experienced immediate and significant results.  Now, board members and the fund development director communicate on a weekly basis regarding which board members and volunteers will accompany visitors on tours or make connections out in the community.  When it came to planning the invitation list for the community session, each board member had to contribute 10 names to the list and assign themselves to making personal invitations.  But, again, they were offered tools and and training on exactly how to do that.  The fund development director tracks all the relationships and supports the board members and volunteers.  IT'S A REAL TEAM! 

Try my approach and see what happens!  

Deb   
  

 

Relationship Fundraising - Engaging Board Members

If Your Board Members Aren't Engaged, It's Not About Commitment - It's About Building Confidence and Providing Tools 

My blog postings about engaging board members are among my most popular.  When I explain to board members that they should NOT breathe a sigh of relief because they hired a fund development manager or director they look at me a little confused.  But that's what usually happens.  Fundraising is such a YUCKY feeling thing, that when an organization gets big enough to hire someone to be in charge of fundraising, everyone in the organization tends to believe that it's that person's job to raise all the money.  THAT IS SO FAR FROM THE TRUTH!

Sorry to disappoint you, but the job of the fund development director or manager is to empower as many people as possible to become active ambassadors for the organization and to become alert to all the opportunities that exist to make an emotional connection with people.  It's the job of the fund development director to then strategize how best to cultivate those relationships.

But it's not easy as a staff person to push back against this expectation by the board members, and so pretty quickly the staff person loses his/her credibility as the driver of the fund development plan.  Instead, the staff person becomes the "doer."  The board members may feel a sense of relief because they hired someone to "fundraise," and the fund development manager or director may be able to increase results significantly for a couple years, but then the organization will hit a brick wall and become disenchanted with the staff person.

Build Credibility With the Board With Quick Results - Invite Current Donors to Come on a Compelling Tour

When the board has hired you to raise all the money, it's hard to come in and tell them that you know the truth, and the truth is that the board members and volunteers are the most powerful ambassadors for the organization.  Your first step is to build credibility by proving that you know what you're talking about, and you do this by getting results.

One of the fastest ways to get better results is to begin inviting current donors and supporters to come on a Compelling Tour.  To see a sample compelling tour document, click here to visit my website and sign up for my email list to have access to this important tool.  The purpose of the compelling tour is to share your story in a way that makes an emotional connection with someone.  The tour is NOT about geography; it's more about helping people feel the magic that happens in your school or nonprofit.  The tour is also NOT about promoting as much as it is about finding out about the other person.

When you ask questions of the visitor like, "What was your middle school experience like," you will get a juicy story.  Your visitor may feel lucky to have had very loving teachers, and they would like for other children to have the same.  On the other hand, your visitor may have felt alone and unwelcome in their own school, and now they want to make sure other children DON'T have the experience they did.  Can you see how knowing this about your visitor would be very helpful in determining what part of your story to focus on?  When you share the part of your story that really resonates emotionally with your visitor, now you are genuinely cultivating a relationship.

The compelling tour is divided into two sections:  (1) The tour; and (2) The conversation.  After the walking part of the tour, you will lead your guests into a private room where you will present a packet with your case statement, and if you haven't already, review the orgnaization's top priorities.  Then you will ask alinea's 3 magic questions.  The answers to these questions will provide many opportunities to deepen the relationship.

• What do you think?  This simple question is so important.  First, asking people what they think makes them feel important.  Second, the answer to this question provides so much valuable insight on how effective you're sharing the story.  Third, your visitor may have great ideas or expertise to contribute.  

• How do you see yourself getting involved?  Often my clients are shy about asking this, but remember, this question does not ask anyone for anything.  You haven't mentioned money, volunteering or anything.  You are simply asking how they might see themselves getting involved.  The answer could be not at all, which is absolutely fine.  With this approach, there is no such thing as rejection.  No matter what, you have made someone feel important by taking the time to provide a meaningful experience and your visitor may talk about their experience to someone else.  

• Who else needs to know about what we're doing?  If you're a school, almost everyone is interested in good schools and likely your visitor knows at least one other person who might be very interested in your organization.  You might get referrals to other potential donors, families who are looking for a new school or others looking for volunteer opportunities, or even a potential vendor needed for a project.  

What kinds of results are you likely to experience with this strategy?  Well, for one of my clients, just sending an email to a current donor inviting him for a tour and including a letter updating him on success stories and priorities resulted in the doubling of an annual gift to $10,000.  Another tour with an already involved husband and wife resulted in a brand new $3,000 gift.  These were among the first three people to be invited for a tour.  

I love introducing this to my clients.  Often, they already have so many generous supporters and donors who have never received special treatment like coming on a compelling tour.  Typically, they also haven't been given the big picture and major priorities of the organization.  Usually, they feel very special even being invited to a formal tour, and then when they are asked what they think and for their ideas and referrals, they feel important and needed.  Even if their tour does not result in a new donation or referral, the value of deepening your relationship with them will come back to benefit the organization - I promise.  

Back to the Board Members 

As you begin scheduling Compelling Tours, it is important to invite/request that a board member accompany the visitor on the tour.  Volunteer ambassadors like board members always send a stronger message than paid staff people.  This is a kind of low-risk involvement for board members.  They don't need to say anything during the tour; they can just observe and add credibility by being there as a volunteer.  During the conversation part of the Compelling Tour, they will see the magic that happens.  

As you conduct Compelling Tours, and you begin to get results like donations, referrals and other kinds of contributions, these are the results that you can share with the board members to show them how this works.  And this is just the beginning.  

With some tours and results under your belt, now I recommend creating a kind of weekly management report to share with the board members.  The report should include your organization's fund development goals, strategies and then a report on your activities, like tours, meetings, other communications, and results.  Another important heading in the management report is WHAT I NEED FROM THE BOARD MEMBERS.  Here is where you will let them know when you need someone to come on a tour or some other kind of contribution (more in another posting).  

Try It and See What Happens 

If you focus on Compelling Tours, invite board members to join you and observe, and then get some measurable results, you'll build the credibility you need to increase the engagement of your board members.  I love it when people share their results after putting an alinea strategy to work.  Feel free to share.  

Deb 

Applying alinea's approach - Success Story

Do you know . . . 

A nonprofit or school that is looking for HELP getting better results (money, enrollment, community partners, 

more awareness)?  

Options for partnering with alinea include: 

Coaching and training on strategic relationship cultivation or developing materials like case statements, compelling tour documents, elevator pitches, plan documents, proposal templates, event stratgies, and more . . . 

My gift to you:

If your referral becomes a project worth at least $2,500, you get one hour of free coaching (valued at $160) or a 

$75 Amazon gift card

Now, on to my regular blog post. 

Applying the alinea Formula - Real Success Stories

My coaching call with one of my favorite clients - South Shore Schools way up in northern Wisconsin - was so exciting, because the many successes the board chair of the South Shore Education Foundation shared all perfectly reflect the alinea philosophy and approach.

I thought sharing these specific examples of how to apply the alinea formula would help you do the same in your organization, school or church.

alinea-ism #1 - It's NOT About Asking for Money . . . or Asking for Anything 

if you've heard me say it once, you've heard me say in a million times, but I can't emphasize enough that the secret to resource development has nothing to do with "asking" people for money.  That's where the alinea formula comes in - Story + Direction + Relationships.  The reason you don't have to "ask" with my approach is because you understand the three pices of my formula.

• Story is about inspiring people with your vision for what the world looks like because of your organization (school, nonprofit, church, small business, you as a professional).  Your tool for articlating your story is the professional case statement. 

• Direction is about being very clear about what you need to accomplish in order to get closer to achieving your vision - these are your most important top three (no more) priorities.  After you've inspired someone, they CANNOT determine where they fit in if you do not explain what you need to get done in order to achieve your vision. 

• Relationships is about being genuinely interested in people without having an agenda - harder than you think.  This piece is about connecting with someone on an emotional level and then sharing your vision and priorities and then asking alinea's three magic questions:  #1 What do you think?  Listen.  #2 Where do you see yourself fitting in?  Listen.  #3 Who else needs to know about what we're doing.  Listen.  

There's no asking because if you've inspired someone and you're super clear about your priorities and what you need to achieve them, people can figure out for themselves how they fit in.  You don't have to corner them. 

Today, in my phone call with South Shore Schools Education Foundation, I learned that something magical just happened because of this approach.  South Shore Schools has a Wall of Fame, where people nominate an alumnus who they feel has achieved something significant and who they believe has made their community proud.  This particular alum wasn't even on the mailing list for the foundation, but somehow ended up receiving something from the foundation that really inspired him.  But nothing really came of it.  Until . . . this person was formally recognized and inducted onto the Wall of Fame.  The Foundation Chair had a casual conversation with this successful alumnus, after which the alumnus shared that he planned to make a significant contribution.  

There was no asking.  There was sharing of good news, vision and priorities.  Then there was this magical alignment of vision on the part of the foundation and alignment with someone who was proud to be an alumnus and saw an opportunity to give back.  

alinea-ism #2 - When vision aligns with intention to give back, a gift is received by BOTH the donor and the organization 

Contrary to what many people think, the primary motivation for charitable donations is the desire to have a positive impact, not financial considerations like tax benefits.  There are so many successful people who have a real understanding that they didn't get where they got alone.  They feel blessed and they want to give back.  These folks though aren't going to the yellow pages to find worthwhile causes.  They are responding to organizations that express interest in them.

So, back to South Shore Education Foundation.  The South Shore Schools community is blessed to have a wonderful local philanthropist who has been generous since the start of the foundation.  This philanthropist has been specifically interested in equipping students with the technology in order to connect them to anyone anywhere.  This person has been instrumental in helping the South Shore Education Foundation achieve it's most importaint priority of putting in the hands of EVERY SINGLE STUDENT K-12th grade a tablet or laptop that when they graduate they take with them.  This year, the foundation achieved this priority and this fall will be presenting kindergarten students with their own tablets.

The Foundation has been so focused on cultivating a genuine relationship with this philanthropist, and they were so clear on their next priority, which is to maintain this 1 to 1 technology intiative, that he and his wife were moved to made a significant contribution that will result in keeping the initiative going into the forseeable future.

But here's the magic.  Recently, the education foundation chair had lunch with this generous philanthropist and he tried to treat - the donor expressed gratitude to the chair on the part of he and his wife for the OPPORTUNITY TO GIVE BACK TO THEIR ALMA MATER.  The donor said THANK YOU!

All along, the South Shore Education Foundation NEVER ASKED FOR ANYTHING.  They inspired, shared success stories, were clear about their vision and priority to touch the life of every single student.  And then a major donor said "thank you for the opportunity to give back."  This is a magical moment.

In both of these examples there was NO ASKING involved, but significant gifts made.  But it didn't happen by accident.  These gifts happened because of inspiration, clarity of vision and priorites, and genuine relationship cultivation.

Try it out and see what happens!  See my other blog postings for how to develop your case statement, provide a compelling tour, be clear about your priorities and have a genuine curiosity about people.  Or buy my books - both of my books walk you through exactly how to do this.



Click here to purchase The Secret to Fundraising.











Click here to purchase The Secret to Better Schools. 










As always, I love to hear how people apply what they learn in my blog and how it leads to a new and better results.  Share here or send me an email at info@alineaconnect.com.

Deb

Fundraising - Building Your Major Donor Program

REMINDER

MY NEW BOOK IS OUT! 

The Secret to Fundraising; It's NOT About Asking For Money

“We forget when we raise funds for something, say a building, that it isn’t about the building, but the people who will occupy it.  Deb’s book is conversant, chock full of anecdotes, 

and will lead to a winning strategy of success.”

Dr. David Borst, Dean of Business Administration

Concordia University Wisconsin

Click here to purchase on Amazon

Now, on to my topic for this post, 

BUILDING YOUR MAJOR DONOR PROGRAM:

Most of my nonprofit clients have budgets of $1 million or less and fall into two camps when it comes to their funding sources.  Many of them get almost 100% of their resources from foundations, and many of them have more of a balance between foundations and events like an annual dinner.

Almost NONE of my clients have any kind of individual or major donor program.  What's really holding them back is the confidence to approach people and then knowing what to do next.  

When it comes to foundations, I personally think many of them exist on a different planet.  They often require small nonprofits to seek them out, submit very comprehensive proposals (with about a 3% chance of receiving a donation), aren’t willing to invest in operations (which is how services are delivered in most cases) and require the nonprofit to remember to send follow-up reports proving that the donation resulted in measureable outcomes.  They're also fickle, some making donations only once to an organization, others changing their guidelines from time to time and sometimes going out of business (they call it sunsetting).

The good thing about foundation donations is that they tend to be the largest donations for small nonprofits.  The bad thing about foundations is that it’s easy for a small nonprofit to become dependent on their funding and to end up in a very difficult place if one goes out of business. 

Individual Donors - Large and Small - Key to Sustainability - 
3 Steps to Getting Started

What I know for sure is that your long-term sustainability CANNOT be achieved through foundation donations.   Your most loyal supporters are regular folks who are inspired by your mission.  It’s usually personal for your individual donors, and unless you “blow it” with an individual donor, they tend to not only continue to make donations, but if you cultivate them properly, their donations tend to grow over time and often ultimately include a significant bequest through a will. 

CALLING ALL SMALL NONPROFITS!  Creating a major donor program doesn't have to be scary and intimidating, and you don't need to be a large organization to generate a significant portion of your revenue from individual donations.  Forget about all the fancy stuff, and think about building friendships with people.  

Step #1 - Get Your Act Together 

Before you begin talking to people, make sure you know how to tell your story and be clear about what you need and how people can help.  I call this "getting your act together," and you can revisit many of my blog posts to help you do this:

• Professional Case Statements - Click on these links to take you to three separate blog posts about develping your case statement - Part I, Part II, and Part III 

• Plan Document - To receive a sample of my planning template to help you define your priorities, click here to send me an email (put sample plan document in the subject line). 

Step  #2 - Start With Who You Know

What most nonprofits do is make a list of wealthy people that already get asked by everyone else.  Instead, start with people you know and who know and respect you.  You just never know what might happen.  For example, back when I was the President of The Park People Board of Directors, we decided to have a gala, and we wanted to invite Jane Kaczmarek (from Malcolm in the Middle) to be our keynote speaker.  She’s from the Milwaukee Area and she’s passionate about our parks.  While the letter we wrote to Jane was brilliant (I wrote it), that’s not why she accepted our invitation.  The mother of one of our board members played bridge with Jane’s mother who still lived in the area.  The letter was personally delivered from one bridge player to another. 

One of my awesome clients is Eastbrook Academy – recently ranked #1 in WI and in the top 10% in the nation by the High School Challenge Index.  I love this school, for many reasons, but mostly because they are strong on diversity AND rigorous academics.  One hundred percent of high school students graduate, get accepted into college, and are awarded almost $1 million in scholarships each year.  Having started 16 years ago, their first graduating class is graduating from college this year!  To learn more about Eastbrook Academy click here to visit their website. 

Anyway, the school has a basic development program that secures a modest amount amount from foundations and from individual donations mainly through their annual event.  When I sat down with the fund development director (who has never been trained to do development), and we reviewed every foundation and donor, I found a gold mine of possibilities.  They have received donations from foundations without asking.  They’ve received donations that were bigger than the amount they requested.  And they have supporter after supporter than just gives without being asked when they find out what the school needs.  Some of the donors have or had children in the school, and others just are in love with the impact Eastbrook Academy has on students and the surrounding community.  

With a little help from me to build their confidence by teaching them how to share their story, be clearer about what they need and how people can help, as well as understand it's about genuine relationship bulding, they will become a magnet for the support they need to achieve their vision!


Step #3 - Invite People in for a Compelling Experience 

Whether it's a long-time supporter or your neighbor, the first step is to invite people in to experience the essence of your mission.  My advice to Eastbrook Academy:  Reach out to all those people who have already been so generous and simply tell them that you are trying to get better at communicating your priorities and vision, and you would like to invite them to take a formal tour and share your plans.  Let them know you're looking for feedback.

A compelling tour is not a geograhical tour of your organization or school (e.g., here's the computer lab, here's the gym, etc.).  The tour is an opportunity to get to know what's important to the visitor and allow them to guide you when it comes to what to share about your organization.  A lot of thought should be given to how you conduct tours.  THERE SHOULD BE ABSOLUTELY NO EXPECTATION OF AN OUTCOME!

Nonprofits often allow people to just walk out of the building after the tour. If you do this, you have lost a great opportunity.  After spending no more than 20 or 30 minutes talking and touring with your visitor, you should find a quiet place to sit down, present a packet of information and share a little more about your vision and priorities.  But that's just the beginning.  Now, it's time to find out what's inside of your visitor's heart and mind.  The answers to three simple questions could give you enough leads and follow-up work to keep you busy for two months.  Of course, I've got tools to share with you to help on this front.

• Compelling Tour Guidelines - To receive a sample of this tool, click here to go to my website, register to recevie free information and download the Compelling Tour document. 

• alinea's 3 Magic Questions - To learn more about how to make the sit-down portion of your tour super productive, click here to view a blog post about this topic.  

The key to all of this is having NO AGENDA OR EXPECTATION!  This is where the magic comes in.  This approach is about inspiring people, making an emotional connection, providing enough information about what you need and how people can help, so people can decide for themselves if and how they’d like to get involved.  It’s an approach that feels better for everyone involved and results in some surprising and significant donations.

Step #3 – Use the Relationship Tracking Tool to Determine the Best Ways to Cultivate the Relationship

You probably realize that every moment is an opportunity to share your story and cultivate a relationship with someone that could lead to more resources.  Your challenge is usually knowing what to do after you have a great conversation with someone. 

For example, let’s say you go to an event, and you have an amazing conversation with someone who is really inspired with your mission.  You didn’t have any expectations of the conversation, you did a great job of making an emotional connection, and you even asked them alinea’s 3 magic questions.  In fact, they gave you feedback, said they were curious about one of your programs and suggested you contact another person who may be interested.

In most cases, a small nonprofit will fail to follow up on this gold mine of an opportunity, not because they mean to, but because they’re not sure exactly what to do.  Don't think so hard about it.  Send a personally hand-written thank you note, share a success story via an email four weeks later, pick up the phone and invite them to your next event.  It's about just thinking about them and giving them more opportunities to be touched by your mission. 

I’m going to give you a very simple tool to help you take advantage of these opportunities.  You just never know when one conversation could lead to an amazing donation or connection.  Use a simple excel spreadsheet and create these columns:

• Relationship and contact info – name, organization, title, phone, email, website
• Who’s in charge of the relationship – who has this relationship within the organization
• Date next step – this is when an action needs to be taken to cultivate these relationship
• Next Step – this is the actual next step (e.g., send an email sharing a success story, make a phone call to extend a personal invitation to an event)
• Progress – most current date and action on top
• Notes – a little background about the start of the relationship, any past giving, referrals to others, etc.

Every week on the same day during the time that you are going to devote to doing this work you will sort the spreadsheet by date next step so you know what your tasks are for the next week.  This seems simple, but the followup is where small and large nonprofits miss opportunities. 

As always, let me know what happens when you try this approach so others can learn. 

Deb