How to Get Money

Where We’ve Been…Where We’re Going So far this semester we have spent a lot of time discussing strategy

How to fundraise

What to think about

How to get people to donate

Today, we move to the actual tactics This discussion will be more like what we have discussed with direct mail and appeal

letters

Special Events Examples Average: Bring in $1 for ever $1.33 spent

Generate 15% of total individual contributions

NOT all about money though Raise visibility, improve relationship with public, mobilize, celebrate, thank, kickoff larger

campaign

Types of Special Events Lunches, dinners, food

Banquet fatigue

Ad books

Combo-platter events?

Auctions Silent v. live

25 people—2 people per item—need value of items to be double your fundraising goal

Create packages?

Fairs and festivals Concerts and lectures

More Types of Special Events Walkathons, tournaments, contests

Can get boring

Home and garden tours Garage sales, bake sales, used book sales

Pricing czar

Things to Think About Use your assets! Multiply time estimate by 3! Keep it green?

Special Event Budgets and Calendars Be realistic! Add 20% for unanticipated costs Do NOT be cheap in the wrong places Income should exceed expenses by a healthy margin

Run different scenarios

Start early…but not too early with volunteers Calendars must have start AND end dates

Last Thoughts Deal with risks and liabilities Delegate shamelessly if you are in charge! MUST send thank yous to EVERYONE Compare final budget to original budget…this will help so much in future

years!

Switching Gears…Business and Sales Over 50% of nonprofits are taking plunge into commercial enterprises No clear rules here regarding likelihood for success Advantage is that the money comes in with NO strings IRS involvement:

501(c)3 status is important

Activities within your mission, activities not part of an ongoing business, many exceptions as well (p. 299)

Will pay tax otherwise (even if all proceeds go back to charitable activities)

No way to tell clearly when IRS will tank your 501(c)3

Two Main Options Client-bases business

Low worker efficiency and high turnover

Difficulty in finding good managers

Conflicts in goals

Risk that business failure will harm client lives

Sales of goods and services Outside expertise of staff

Conflict in goals

Development What goods and services you can offer What customers want or need

Gaps?

Different source?

Brainstorm with others Measure our ideas with reality

Talk to owners of similar businesses

Observe customers

Survey likely customers

Research demographics

Closed businesses that are similar

Check on price and competition Three year business plan

Best, break-even, worst

Printed Communications Brochures

What do we want to include?

Why make them fairly general?

Newsletters What to include?

Do we have to do this?

Annual reports What to include?

Do we have to do this?

When to start?

Websites! Checklist on p. 407 is the key!

What do we want a website to do?

Contact info Personality Freshness

This can hurt you!!!

Content Your agency v. more general stuff

Donation info and ease is a key! Tell them how, how you have protected them, that it’s confidential, and that they don’t have

to give online!

Media What makes a good story

Must present a hook

People or animals = advantage

Presentation of stories Breaking news, features, arts/other events

Who to approach Print, Radio, TV

More Media Know those around you

Give them stories that you know fit

Background research

Have experts available

How to pitch Press release

Know where, when, and how to send

Publicity for special events

Stunts

Phone calls

Op-eds

Other Thoughts Protect yourself!!!

Lots of time for little reward?

What if the piece is unflattering?

You won’t get a copy

May be surprised by side the journalist is on

May get stuck defending your organization

Social Media Fastest growing Facebook demographics Say goodbye to control Do not be less than genuine with social media This will NOT be a replacement! Mobile text message donations