Archive for fundraising

Donor Bill of Rights

Posted in Uncategorized with tags , on May 25, 2010 by Gary

In these days of economic hardship, cultural heritage institutions are relying on their donors more than ever. It’s therefore imperative that professionals working at all levels in these institutions have training in proper donor stewardship.

Lists like the following (a one-page “donor bill of rights”) make that task fairly easy. Post it on the wall above your phone, make ticklers on your calendar, and implement processes to be sure your donors are well-cared for. Thanks to the Association of Fundraising Professionals for developing this handy reference.

1. Inform donors of the organization’s mission, of the way the organization intends to use donated resources, and of its capacity to use donations effectively for intended purposes.

2. Inform donors of the identity of those serving on the organization’s governing board, and to expect the board to exercise prudent judgment in its stewardship responsibilities.

3. Give donors access to the organization’s most recent financial statements.

4. Assure donors their gifts will be used for the purposes for which they were given.

5. Ensure donors receive appropriate acknowledgment and recognition.

6. Assure donors that information about their donations is handled with respect and with confidentiality to the extent provided by law.

7. Assure donors that all relationships with individuals representing organizations of interest to the donor will be professional in nature.

8. Inform donors whether those seeking donations are volunteers, employees of the organization, or hired solicitors.

9. Give donors the opportunity for their names to be deleted from mailing lists that an organization may intend to share.

10. Give donors the freedom to ask questions when making a donation and give them prompt, truthful, and forthright answers.

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Learning from a Pro

Posted in Uncategorized with tags on April 12, 2010 by Gary

Last night I witnessed an impressive piece of fundraising. It happened at the American Mountaineering Museum’s Hall of Mountaineering Excellence Gala, which was almost single-handedly organized and run by my colleague and museum operations manager, Sarah Wood.

The event was well-attended (about 200 people), and included names such as American mountaineer Ed Viesturs and Patagonia founder Yvon Chouinard. At the beginning of the event, Sarah welcomed everyone and engaged in other niceties with the audience. She recapped the museum’s first two years of operations.

Then Sarah moved into a discussion about the museum’s cultural significance. She discussed specifics such as how many children the museum could reach out to in a year. Then she attached actual price tags to those efforts. Then Sarah asked for money.

I was taken aback by Sarah’s approach because it was so…direct. I mean, within minutes she went from welcoming everyone to asking for money at an event that had a different overall purpose. I don’t think most people in the audience expected it. I certainly didn’t.

But Sarah was masterful in her approach with these 200 people. She never once said that anyone should give money. She simply presented a compelling argument. She nailed the emotional hook all fundraisers look for to connect with their donors. And Sarah pulled it off brilliantly.

She even had a slick video presentation. A dollar amount would appear on the screen and Sarah would say, “Who will give this amount to put a child through one of the museum’s programs?” Hands were raised. Then a new dollar amount appeared on the screen and Sarah would ask a similar question about another of the museum’s programs. More hands were raised.

I’m guessing that in about ten minutes, Sarah raised $5,000 for the museum. From an audience who (mostly) wasn’t expecting it. It was absolutely remarkable. My mouth was agape and my wine glass nearly slipped from my hand.

I’m pretty sure that if I asked Sarah, she would say that she isn’t a fundraiser. But she is, and here’s why: First of all, she runs an institution whose mission she believes in. Second, she knew what her audience’s emotional hook was. Third, she executed that hook by being respectful and by being herself. It was a slam dunk.

Sarah’s presentation reminded me again that there are many ways to raise money for museums and libraries. Leaders of these institutions have to know what it is about these places that resonates with themselves and with their donors. The rest just falls into place.

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Appeal Letters

Posted in Uncategorized with tags , on March 10, 2010 by Gary

One of the most common ways cultural institutions raise money is by writing an appeal letter. This is usually done once per year by the institution’s development officer and mailed to past donors.

Appeal letters are still one of the most effective ways to raise money. Good appeal letters have five important elements:

1. A defined project. This is your reason for writing the letter. Even if your letter’s purpose is primarily to support general operating expenses, be sure to call attention to a special concern, project, or event.

2. A personal story. Personal stories that illustrate how your institution makes a difference is a great way to draw people into reading your letter.

3. The financial challenge your institution is facing. Be clear about the costs associated with your project (see #1) and how donations can make a difference.

4. A reminder of your institution’s overall mission and how your appeal fits into it. When you ask for a contribution at the end of the letter, it will be in the spirit of asking the donor to reaffirm his or her support of the institution’s underlying mission.

5. A request for a donation. Always be direct in telling people what they can do to make your project (see #1) happen. If it’s money, ask for it. If it’s for volunteer help, ask for it. Depending on your technological capabilities, you may want to refer to the donor’s most recent contribution and ask him/her to increase it by a certain amount.

Appeal letters should be straightforward, simple, and one page in length.

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Fundraising 101: Attracting Donors to Your Site

Posted in Uncategorized with tags , , on February 26, 2010 by Gary

Pay close attention to your institution’s homepage. In less than 15 seconds, does it tell you:

  • Who you are?
  • What your institution is trying to accomplish?
  • Does it have a tagline that explicitly summarizes what your institution does?

The design and content on your homepage should address each question in a way that balances breadth and depth. Don’t overwhelm your reader with too much information. Install “read more” links that allow the reader to dive in deep should s/he decide to.

Keep your homepage content dynamic. Put a tickler on your calendar to change something significant on your homepage at least once per month. Consider using a modular or block design that allows certain features to be easily swapped out. So many of us are visual creatures, so build a library of reusable images that you can use to keep your homepage content fresh.

Simple, dynamic, and compelling content on your homepage will draw your donors in. Don’t forget to put a link to your giving page!

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Build Your Donor Base

Posted in Uncategorized with tags , on January 25, 2010 by Gary

In preparation for our upcoming annual library appeal, I happened across some interesting research. Relatively small organizations that have an established donor base will likely get the most for their fundraising buck if they leverage their existing donors to find new ones.

Rather than simply asking your donors for money, also ask your donors if they would be willing to make four phone calls to their peers on your organization’s behalf. Research shows that about one in four of those phone calls will result in a donation that’s similar in size to the one your original donor will make.

This tactic can have important ramifications to your major donor base. Major donors, besides their ability to give larger amounts of money, give the amount they do because they feel a powerful attachment to your organization’s cause. Therefore, it’s likely that most of your existing major donors will be willing to do this extra work for you.

This tactic also demonstrates the power of relationships. Your donors already have an “in” with their peers. If some of your existing donors can’t or are unwilling to make those phone calls, ask them if you can make those phone calls and mention their name.

Learn more about this simple strategy here, here, and here.

I’ll write more about this and other fundraising strategies as we enter our appeal season this spring.

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Fundraising in Five Minutes

Posted in Uncategorized with tags , on November 4, 2009 by Gary

Over the last several months, I’ve been fortunate enough to have been asked to participate in a number of panel discussions at the University of Denver. Each time the topic has been on some aspect of nonprofit fundraising. I just wanted to pass along two points I found interesting in those discussions.

1. All of the panelists (including me) agreed that cultivating new donors is a process. Those relationships are about getting to know the donor as an individual and finding if/how the donor is connected to your organization’s mission. The point is to find out if there is something about your organization that makes the donor feel good.

It is quite possible that a year or more will go by before you ask a new donor for financial support. And it may be that you won’t even have to ask the donor for money – if you’ve taken the time to build a genuine relationship, s/he may offer to fund a special project before you even ask.  Raising money without ever overtly asking for it is what I’ve found to be the most fun and interesting part about fundraising. It is certainly among the most artful ways to build support.

2. Keep your donor database updated. I cannot stress enough the importance of having a good piece of software and implementing processes with your staff to ensure the database stays updated. Record all of your interactions with donors with the greatest possible detail.

I knew a development officer at one organization who took a donor out to a nice restaurant. Turned out that the donor didn’t like nice restaurants at all. He was a pizza and beer kind of guy (peanut butter and jelly sandwiches, too). If the development officer had read the database notes left by the previous development manager about that donor, she would have avoided making an embarrassing mistake. Don’t assume anything about your donors.

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Saying “Thank You”

Posted in Uncategorized with tags , on April 20, 2009 by Gary

Writing thank you letters is probably the single most important aspect of donor relations.

I spent about half a day last week streamlining my process for getting these important pieces of mail out the door as quickly as possible. Now I have a template that’s easily customizable, in addition to a system to track letters I have sent and those I haven’t. My goal is to get them out within two days of the donation. I’m not quite there yet, but I’m close.

Whether it’s for a $10,000 gift or a single book, I spend some time thinking about why each donor might be giving to our institution and work those thoughts into my letter. Approaching correspondence in this way also gives me a point from which to start my next conversation with that person. The whole point is to build a relationship, which means taking a genuine interest in our donors. It not only ensures future gifts, but it also gives me a chance to get to know our donors as people. The latter is what I find the most meaningful and fun.

And few things are more satisfying than printing the letter on thick stock letterhead, signing my name, and dropping the envelope in the mail. There’s a tangibility to those acts that gives my day a sense of accomplishment and purpose.

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