Presented by Natalie Lamberjack, CFRE, Senior Consultant, The - PowerPoint PPT Presentation

Developing Annual and Long-Range Fundraising Plans Presented by Natalie Lamberjack, CFRE, Senior Consultant, The Collins Group James Plourde, CFRE, Senior Consultant, The Collins Group Nonprofit Association of Oregon June 1, 2012

The Collins Group

Agenda for the Day  Context: Articulating the role of philanthropy and building a culture for successful fundraising – Short break (10:15-10:30 am)  Crafting the plan: Goal setting, donor constituencies, gift charts and fundraising strategies – Lunch (12:00-1:00 pm)  Mapping out strategy  More planning: Calendaring, roles, budget – Short break (2:45-3:00 pm)  Working the plan: Evaluating programs, reporting, getting it done

Role of Philanthropy

Successful and Sustainable Fund Development Organizational Planning Development Culture of Infrastructure Philanthropy Mission Fulfillment Marketing & Board & Communications Volunteers Donor Development Management & Program Stewardship Activities

Culture of Philanthropy Everyone Understands What Philanthropy Makes Possible Everyone Development Understands is Donor- Their Role in Centered Development Development is Engaged in Direction-Setting

Organizational Planning  What kinds of planning are necessary for fundraising success?  What is the purpose of the development plan?  Who should help craft it? Who should understand it?

Philanthropic Case for Support Why do you exist? Why are you worthy of donor dollars?  Relevance and context for your work – What are the current/emerging external needs you are addressing?  Leadership in your program/service area  The need for philanthropy – and how contributed income is used  This year’s focus – Are priorities or programs need changing, expanding, starting up?  Community benefit – your outcomes, impact, success

Building Your Case Words of wisdom “ Donors do not give to organizations because organizations have needs; they give because organizations meet needs.” - Kay Sprinkel Grace, “Beyond Fundraising” “People give money to solve problems. And the problem is never that your organization needs more money.” - Granstmanship training, Jan. 1992

Building Your Case The BIG question: How are you making the world (or your state, city, neighborhood) a better place?  What is the problem your non-profit is addressing  How will the money raised be used to impact/improve the problem.  Tie dollars to outcomes  Be bold, but don’t over -reach.

Building Your Case What is the relevance of your organization from a potential donor’s point of view?  Ask your donors why they give to you  Ask the people you serve why they come  Find emerging themes  Build those into your case  Get an outsider to read and comment

Development Plan Overview  Mission and strategic philanthropic goals  Current case for support  Development goals and expenses, FY 20XX-20XX  Assumptions

Development Plan Outline  Overview and goals  Fundraising plan by constituency  Calendar of activities  Roles and responsibilities  Supporting pieces  Alternative ways of building your plan

Fundraising Plan by Constituency  Who are your most likely supporters?  Board, Foundations, Businesses, Individuals and Major Donors, others?  Why are they invested? What are their motivators?

Fundraising Plan by Constituency  Goals – Improve upon prior years’ performance – Look for opportunities for growth  Gift Chart  Strategies and activities

Gift Charts Board of Directors Annual Fundraising Goals FY ’ 09 FY ’ 10 FY ’ 11 Cumulative Cumulative Cumulative # of gifts # of gifts # of gifts Total Total Total $50,000 $35,000 $25,000 1 $25,000 1 $25,000 $15,000 2 $30,000 1 $15,000 2 $30,000 $10,000 1 $10,000 2 $20,000 2 $20,000 $5,000 3 $15,000 3 $15,000 4 $20,000 $1,000 5 $5,000 5 $5,000 5 $5,000 Total: 11 $60,000 12 $80,000 14 $100,000

Strategies the Donor Cycle Who are our best prospects? How do we find them? Identify How do donors wish to be recognized? (Acquire) How do they find us? What information do donors want? What special experiences we provide? Meaningful Steward Cultivate (Recognize and (Engage and Engagement Communicate) Inform) How can we connect donors to our work and our successes? What else can we do to get prospects engaged? Solicit What methods should we use for asking? (Invite Support) How can people make gifts? What are we asking people to support?

Acquisition  Identification, qualification, prioritization  Collecting contacts from board, staff, and other supporters  Reviewing donor lists of similar organizations  Friendraiser events; introductory tours  Buying and trading lists for direct mail  Others?

How to Identify  L inkage (personal connections to staff/volunteers)  I nterest (affinity for mission)  A bility (financial capacity)  Think of concentric circles: start with those closest to you

How to Prioritize High Oprah Winfrey Major Gifts Ability Annual Gifts Planned Gifts Low Interest High Low

Cultivation Mission touch-points  Special events  Tours  Engagement with clients or staff  “Pet the whale” opportunities

Cultivation In one-on-one encounters with donors  Ask why they support your cause  Ask what other causes they support  Ask them about themselves  Then….. Listen Listen Listen!

Solicitation Major Gift Prospect:  Natural Partner  Weave in knowledge of donor’s interests  Vision orientation  Project orientation  Amount-specific or range  Acknowledgment/naming opportunities

Solicitation Annual Giving  Mass appeal  Direct mail/phone  Many gifts at smaller levels  Donor acquisition  Beginning or maintaining the relationship  Compelling case still vital!

Solicitation Strategies Establish giving protocol. Strategies to consider:  All or nothing?  To designate or to not designate. Pros and cons. Cons –  Additional layer of record-keeping  Additional layer of accountability  Can you deliver on your promise?

Solicitation Strategies Pros –  More donor-focused  Educates on various components of your service  Tags donors’ interest for future projects (but you’ve gotta keep track!) One important caveat!  Designation categories<Budget Categories

Stewardship

Stewardship The art of the Thank-you  Personal notes/calls from board members  Show don’t tell how gift has been used  Openings/reveals of how gift used  Preparation for the next gift  A step on the journey; not the destination

Sample Stewardship Matrix Under $1000 $1000 - $4,999 $5,000 + Founder/Sustainer Circles Goals Thank you letter Thank you letter Thank you letter Thank you letter w/in 2 w/in 5 business w/in 2 business w/in 2 business business days of receipt Acknowledge days of receipt days of receipt days of receipt Thank you call (for Thank you call from Thank you call Thank you call from new $500+) from VP Resource from VP President and/or Board Acknowledge Development Development or Leadership Gifts or Member Associate Board Member Board Member (new gifts) Annual Report Annual Report Listing Listing w/hand w/hand written Recognize written President President notes notes Report/inform Newsletter Newsletter Newsletter Newsletter Tour Invites from Tour invites from Tour invites from Tour invites from Cultivate Annual Fund Annual Fund VP- Leadership President – combined Manager as Manager as Gifts with lunch or coffee appropriate appropriate

Mapping Out Board Strategies  Use the worksheet to set goals  Use a gift chart to understand what is needed to reach your goals  Develop strategies to engage and invite larger investments

Calendar Major Gifts Activities Calendar Activities January February March April May June July August September October November December ACQUISITION Invitations to special events/cultivation events Speakers' bureau events/workplace giving events CULTIVATION Table Captain/Sponorship event prior to Breakfast or Lunch events Cultivation events Ongoing cultivation meetings SOLICITATION Seattle Breakfast event Mother's Day Appeal Year end appeal Ongoing donor solicitation meetings STEWARDSHIP Delivering annual glass hearts Special communications to Major Donors Ongoing special thank you calls to major donors

Roles Fundraising Roles and Executive Board of Director of Development “Program” Staff Responsibilities Director Directors Development Assistant Planning Planning and Strategy Primary Key player Approve goals Input Development management Implementation Foundation/Corporate Relations: Identification, Key player Oversight Support Support Management, Grantwriting, Reporting Primary Major-Donor Management Oversight Support manager Primary Personal Meetings and manager; Key player Participate Solicitations key player Online, E-mail and Oversight Oversight Support Support Membership appeals Donor Stewardship and Primary Key player Support Key player Communications manager