Not-for-Profit Finance Week Webinar: Funding and … Finance Week Webinar: Funding and Fundraising...
Transcript of Not-for-Profit Finance Week Webinar: Funding and … Finance Week Webinar: Funding and Fundraising...
Not-for-Profit Finance Week Webinar:
Funding and Fundraising –
How to super-charge your not-for-profit group's
fundraising
Thursday, 23rd July 2015
Your host: Patrick Moriarty, Our Community
The Session
What you need to do before you even start
looking
Developing an Annual Funding Strategy
The Fundraising Pillars
Some food for thought that we
want you to decide up front…
…who wouldn’t you take money
from?
Again – let’s see who you wouldn’t
take money from – please post in
the questions section.
• If this is the first time you’ve thought of this
maybe it’s a good point to start with
developing a policy – for a start you could
use our policy bank:
http://www.communitydirectors.com.au/icd
a/policybank/
Why do people give?
You must identify the need
You need to demonstrate the need with evidence
Prove that you can provide a better outcome.
• You need to have a clear plan
• You need to have a reason to “give”
• You need to have someone to be in charge (not a committee –
make one person responsible)
• You need an organisation template (provided to you after
today)
• You need time – you won’t get it all overnight
• You need to invest – your own resources
• You need approval from Board
Are you ready? – Before you start
The Seven Fundraising Pillars
1. Grants Government, corporate, philanthropic
2. Members, alumni and friends And other supporters
3. Donations Wills, bequests
4. Special events Sausage sizzles, festivals
5. Community–business partnerships
Schools, councils, service clubs, major/minor sponsors
6. Crowdfunding
7. Earned income Jobs, meals, maintenance
Problem/Issue/Challenge
to your organisation
How will you solve
it/what options do
you have
What steps/stages are
involved ($)
Timing
per
stage?
Over 30,000 people
ranging form the youngest
children to the oldest
grandparent will utilise our
facility for community
celebrations and will be
the hub of vitality for our
small rural community of
700 people.
WHERE IS THE
EVIDENCE
Stats –
own/ABS/Forecasts
Case Studies
Stories/Testimonials
Research
Renovate Existing
facility
WHAT YOU
WANTMONEY FOR
Plans - $8,000
Permit - $500
Excavation - $4000 (in kind)
Sand – 1000 ($500
partnership with supplier)
Supply and install -$8000
Supply an Install Equipment
– $25000 (could itemise
this too)
Safety Inspection - $1500
Launch Party – 1000
Audit of funds - $1000
Report – 600 (in kind)
6 wks
4 wks
2days
2 days
4 wks
6 wks
1 day
1 day
2 wks
2 wks
Have some forethought – what do you need
Lateral thinking about grants
Arts Education
Youth
Family Community Health Disability
Potential
Funding
For example – integration of elderly into school dance
program
Are you doing anything innovative/inclusive?
You think that the grant suits your needs
• READ the Guidelines (yep all of them)
• READ AGAIN
• Check upper and lower $ limits
• When does it close (plan to meet it)
• What is the average grant?
• What groups/programs have won the grant previously?
• What is the tone, type (i.e. hints) of the words used…
A good report should…
• Detail the stated aims of the project
• Report on how the aims were met
• Detail what worked well and what didn’t work so well
• Provide any measurements
• Provide feedback from partners, clients, supporters
• Finance report (income/exp inc in kind)
Not be the first time they have heard from you since you
got the funding
• Adult
• Senior/Junior
• Social
• Family
• Concession
• Life
• Business
• Pet?
• Gold
• Silver
• Bronze
• Platinum
Membership
Need to differentiate –
tangibly and needs to
have value for money
between them
RF: So in transferring this knowledge to the community sector,
are communication and a sense of involvement the keys to
groups retaining members?
Professor McDonald: Yes – fostering a very real feeling of
involvement is a key thing groups can do when it comes to
retaining members. In looking at football clubs we found it was
three or four times more important than on field performance in
terms of membership retention.
And you can engender this in two ways – firstly, through close
communications, and secondly by feeding back to the members
the benefits the group has obtained from the membership.
Most community organisations have a history that either through:
– Past members
– Staff
– Volunteers
– Committee members
– Donors
– Patrons
provide you with a ready made “warm” source of funds,
partnerships, mentors, employees or networks.
YOU NEED TO BUILD AND KEEP CURRENT YOUR CONTACT LIST
Think of what you need …
PAST CURRENT
Celebrities, famous sports people,
business owners/leaders, councilors, MPs,
MPs husbands
potential coaches, volunteers,
spokespeople, patrons, donors, bequests,
sponsors, partners , friends
• Give people a reason to give
• If you do not know the donor this is even more critical
• If you know the donor make the connection something
“tangible”.
• Close the loop – say thanks and demonstrate that you
have used the donation for the purpose named
What is the Reason to Give?
www.givenow.com.au
• Younger donors
• Double the amount of other donations (average $125)
• Attracting donors to the hub as well as the
organisations
• Adding to your data base
• Another source of marketing for donations
• ITS FREE – NO COMMISSION, NO FEES
The OC Giving Facility: GiveNow
Be warned: A bequest program does not and will not
provide instant returns no matter how well run
The lead-time for bequests is at least 3-5 years. People are
living longer these days, which is an objective of many not-
profits... Bequest development is a long-term strategy
But it offers an outstanding return on investment if you follow
through with it.
Bequest starts after the brochure is printed
“Tools” are important but don’t replace face-to-face
Implement a donor development strategy
Budget and resources – how to work around them to:
Identify
Build a relationship with your donors
Ask
Thank
Follow-up.
Why Events?
They satisfy a need for any or all of the following:
Fundraising
Expression of shared cultural meaning or cultural identification
Marking special occasions
Commemoration of anniversaries
Encouraging tolerance and diversity
Education
Expressing creativity
Testing sporting prowess
Corporate – promotion on goods and services
Focus on increasing visitation and tourism dollars
Having Fun!
Community Events
Community events should be fun and if the aim is
to make money, make sure that they make money…
A LOT of fundraising events LOSE money – key step is
to test the feasibility prior to starting.
Programming:
• Themes help build Programs
• Timing: Be realist about audience tolerance
• Passive and Active elements
Designing:
• Scale; Shape; Focus; Date; Build; Next
Team:
• Volunteers; Staff; Event Manager
Return:
• You need to weigh up how much return you get from your
events not just on "profit” but also against your effort.
Key Foundational Elements
• How do you ensure they don’t burnout?
• How do we demonstrate their contribution?
• e.g. (50 people *40 hours input each = 2000hrs
* $15 = $30,000)
Depending on your return, volunteers will be doing this
calculation in their mind and evaluating the rate on return
Volunteer Burnout Equation
Is a Partnership what you really want?
A partnership is not for everyone
A partnership is not for you if you:
• want a quick injection of funds for a specific event
• want a handover of cash in exchange for a branding opportunity
• don’t have the time or interest in listening to ideas and input from your
partner
• don’t want to involve your partner in the activities of your organisation
• want the funding but not a relationship with the funder
There are many valid forms of community business relationships – it doesn’t
have to be a partnership.
Funding
• Basic model of a business funding a community group to provide
a service or program
In-kind
• Animal Welfare Shelter and Pet Food Company
Sharing resources
Skills Exchange
• Life Education and Alcoa – bookkeeper and education classes
Access to new networks
• New market for the business, new group of supporters and
volunteers for community group
Partnership Models
Mentoring
• Goes both ways. Both partners will have unique skills and
experience that could help the other
Volunteerism
Business as collection point
• BAC - Links using business partners as collection points for
various NFPs
Scholarships and Awards
Work experience/employment
Don’t limit yourself to a single model – be creative and mix it up
Partnership Models
Do Your Homework
• Research them… they’ll be doing the same so update marketing
material!
• Look for natural fit and commonalities
• Do they have anything to give?
• Who do they partner with now?
• Partnership Guidelines
• Values Match
• Reference Checks
• Know Your Target
Make It Easy For Them
Provide a compelling case for the partnership
What do you want and what can you give?
•Don’t undervalue what you have to offer – cost it out
•Space in your newspaper – cost of ad in your local paper and
distribution? Similarly, website ads, signage
•Training you can offer their staff
•Access to new networks
•Exclusively selling their product – Animal Shelter
Be clear and confident
Give your contact the 30 second elevator pitch for why the partnership is
good for your organisation, their organisation, and the community.
Document, Document, Document
Formal
For many businesses this is a legal requirement
• Can be audited
• Taxation records
• Internal financial approvals
Benefits
• Protects you and your partner
• Chronicles the partnership
• A roadmap to refer to if things go wrong
• Excellent tool for succession planning – document on the premise that
you could be hit by a bus tomorrow.
• Tell a story
• Set your target
• Set your duration
• Build and audience
• Spend 3 week devising the project
• Research other projects
• Prepare for the launch
• Prepare material for social media posts
Before the Campaign
• Public acknowledgements - Facebook / Twitter, website, projections,
artworks etc.
• The product at various levels
• Exclusive invitations to launch parties / events
• Merchandise
• Volunteer opportunities
• Tours of the site
• Interactions with staff and experts
• Things not attached to the project
Rewards for Charity / NFP Projects
• No longer than 3 minutes, ideally 2 minutes
• Express the important information early on
• The goal is to evoke an emotional response from the viewer
• Doesn’t necessarily need to have high production value
Project Video
• Spend half an hour a day
• Use social media, a lot
• Post Tuesday, Wednesday and Thursday
• Don’t get disheartened in the middle
• Get creative with your content and keep people updated with progress
• Add new Rewards
• Tap into relevant networks
• Put out a press release
During the Campaign
It’s like starting a new private business
If you wouldn’t put your own money in then don’t go there.
Business Opportunities