Table of Contents

Introduction 1

About This Book 2

Conventions Used in This Book 2

What You’re Not to Read 2

Foolish Assumptions 3

How This Book Is Organized 3

Icons Used in This Book 5

Where to Go from Here 6

Part I: Putting Your Fundraising Ducks in a Row 7

Chapter 1: Fundraising in a Changing Economy 9

Looking at the Stark Realities 10

Identifying cutbacks and understanding the reasons for them 12

Coping with staff reductions and shrinking budgets 12

Dealing with hard times that linger 13

Finding reliable sources 14

Finding Your Opportunity: A Crisis Is Too Good to Waste 14

Revisiting your mission 14

Paring your services (or pairing up to provide them!) 15

Nurturing the donor-agency relationship 15

Turning to cost-effective processes 16

Talking Up Your Successes and Building Relationships 16

Telling your story well 17

Engaging people who care 17

Developing relationships with key businesses and funders 18

Doing Your Best to Bring In the Dollars 18

Preparing Now for When Things Start Looking Up 19

Laying the groundwork to take advantage of an economic recovery 20

Moving forward with hope 21

Chapter 2: Identifying the Fruits of Your Fundraising Passion 23

Sparking Fundraising Action 24

Remembering why you signed on 24

Helping your donor catch the spark 25

Talking the fundraising talk 27

Building on Passion in the Nonprofit World 29

Competing for dollars 29

Keeping your organization going 30

Demonstrating Your Connection with Social Media 32

Chapter 3: Finding the Right Perspective: Fundraising Issues and Ethics 35

Inspiring or Selling: The Fundraising Debate Continues 35

Living with the stigma 36

Combining sales and ideals 38

Understanding the Ethics of Fundraising 38

Finding ethical standards organizations 39

Familiarizing yourself with the fundraiser’s credo 42

Debunking Fundraising Myths 43

Myth 1: It’s all about the money 43

Myth 2: You lie to get what you want 44

Myth 3: Your donor owes the world something 45

Myth 4: Wining and dining donors is all you do 46

Chapter 4: Writing Your Case Statement: Your Agency’s Reason to Be 47

Stating Your Case 48

Understanding what the case statement is and how you use it 48

Getting started with your case statement 48

Making the Case Compelling 50

A Step-by-Step Guide to Writing the Case Statement 52

Step 1: The mission: Why are you here? 52

Step 2: The goals: What do you want to accomplish? 55

Step 3: The objectives: How will you reach your goals? 55

Step 4: Programs: What exactly do you provide? 57

Step 5: Governance: What’s the anatomy of your board? 57

Step 6: Staff: Who are the people behind your services? 58

Step 7: Location: Where do you live and work? 58

Step 8: Finances: Is your organization financially responsible? 59

Step 9: Development: What will you do in the future? 60

Step 10: History: What successes are you building on? 61

Overhauling an Outdated Case Statement 62

Sharing Your Case Statement 63

Formatting your case 63

From paper to online posts: Putting the case statement to work 64

Chapter 5: Organizing Your Team: Board Members and Volunteers 65

Seeing the Big Picture: How Boards and Fundraising Fit Together 66

Understanding the board’s duties 66

Knowing how your role fits with the board’s work 67

Enlisting the Board to Help Advance Your Cause 68

Helping the board help you in fundraising 69

Balancing the attraction of high-profile board members 70

Walking your Board through Tough Decisions 71

Slating and prioritizing your issues 72

Knowing when to use reserved funds 73

Figuring out when to launch into unchartered waters 74

Helping your organization find clarity in challenging times 75

Discovering the True Value of Volunteers 76

Seeking volunteers 77

Establishing a productive relationship 78

Using your volunteers as fundraisers 79

Making use of baby boomers: Retirees as volunteers 80

Chapter 6: Creating a Winning Fundraising Plan 83

Drafting the Perfect Plan 83

Starting with the case statement 84

Identifying your goals 84

Building a needs statement 85

Assessing your existing resources 86

Determining what you need 87

Setting your financial targets 87

Putting the all-powerful giving pyramid to work 88

Getting started with the right methods 90

Discovering fundraising markets 91

Avoiding Plan Busters like the Plague 93

Budgeting Your Fundraising Efforts 94

Making sure you include everything in your budget but don’t overbudget 96

Figuring out the cost of raising money 97

Turning Elsewhere for Assistance 97

Knowing when to outsource 98

Using fundraising software 99

Part II: Finding — and Winning Over — Donors 101

Chapter 7: Getting the Lowdown on Your Donors 103

Finding Your Stakeholders 103

Recognizing Your Bread and Butter: Individual Donors 105

Understanding donor levels 105

Identifying possible donors 106

Doing Business with Corporate Donors 107

Finding Foundations That Care 107

Asking Your Board All the Right Questions 108

Where did you forget to expand your donor base? 108

Whom did you forget to ask? 109

Checking Out Potential Donors 111

Pursuing promising prospects 111

Finding the silver lining with unlikely prospects 111

Researching the Internet Way 112

Keeping Track of Your Donors and Their Contributions 113

Creating an effective donor information form 114

Keeping good donor records 115

Maintaining Confidence: The Issues and Ethics of Handling Personal Data 115

Chapter 8: Meeting Your Donor 117

Evaluating the Importance of a Visit 117

Preparing to Meet Potential Donors 118

Examining the Giving Relationship between the Donor and the Agency 119

Showing donors the value of their gifts 120

Getting more than money from your donors 121

Checking out what motivates giving 122

Considering Your Donor’s Context 124

Engaging donors with limited means (for now) 125

Connecting with affluent donors 126

Meeting reluctant retirees on their level 126

Cultivating the Initial Relationship 127

Chapter 9: Cultivating Major Givers 129

Seeking a Major Gift Today for Tomorrow 129

Finding the Holy Grail of Fundraising — The Major Gift 131

Planning your way to major gifts 131

Cultivating donors who have a lot to give 133

Recognizing Major Donors for Their Contributions 137

Meeting your donors’ expectations 138

Providing donor recognition 140

Chapter 10: Asking for a Major Gift 141

Pushing through the Fear by Focusing on the Greater Goal 141

Accepting that you have to talk about money 142

Understanding that no doesn’t equal failure 143

Remembering that you’re a donor, too 144

Checking Out Your Attitudes about Money 144

True or False: Money is an exchange mechanism 145

True or False: Money is the root of all evil 145

True or False: Money can’t buy happiness 145

True or False: Money talks 146

Figuring Out Who Should Ask for Money 147

Teaming up for dollars 148

Flying solo 149

Developing the Mechanics of Asking 149

Recognizing the equitable exchange 150

Using the tools of the trade 150

Knowing the donor 151

Checking out each step of “the Ask” 152

Moving Beyond No 153

Rating Your Yes-Ability 155

Following Up after “the Ask” 156

Chapter 11: Writing Winning Grant Proposals 157

Getting a Grip on Grants 158

Identifying Different Grant Givers 158

Choosing the Right Project to Get Funded 159

Starting from the ground up: Seed money 159

Expanding your reach: Program funds 160

Building for the future: Capital campaigns 161

Laying the Groundwork for Grant Seeking 161

Turning to your board for support 162

Developing a grant proposal writing strategy 162

Looking at the grant process, step by step 163

Finding the Right Funder 164

Starting your search for funders 164

Zeroing in on your fundraising category 165

Using local sources first 166

Working your way away from home 166

Digging deeper to find the right grantor 167

Inquiring about Letters of Inquiry and Grant Guidelines 168

Getting Down to Business: Writing the Proposal 169

Creating a comprehensive cover letter 170

Providing an overview with the executive summary 171

Introducing your idea 171

Stating your program’s needs 172

Outlining program goals, objectives, and evaluations 172

Detailing the program budget and budget narrative 173

Explaining your leadership, staffing, and location 173

Sharing your organization’s history 174

Including the necessary extras 174

Following Up on Your Proposal 174

Putting a Positive Spin on No 175

Seeing Your Grant as a Relationship 176

Part III: Telling Your Story and Building Your Brand 177

Chapter 12: Connecting for Profits: Sharing Your Story by Print, Mail, and Phone 179

Thinking through Your Communications Strategy 180

Evaluating your communications costs 180

Considering your communications options 182

Crafting a communications approach 183

The list! The list! Pull out your donor list! 184

Printing Only What You Need 184

Saving money on printing 186

Showing progress with an annual report 186

Taking the Direct (Mail) Approach 187

When direct mail works: Asking current donors to give again 188

When the most direct mail is e-mail 189

Figuring out what to send 190

To Call or Not to Call 191

Making your callers the good guys 191

Knowing your no-call responsibilities 192

Working the phones with a positive attitude 193

Chapter 13: Projecting Your Image in the Media 195

Getting the Media Exposure You Want 195

Realizing what the media can do for you 196

Making the first contact 198

Coming up with story ideas for the media 199

Working in Sound Bites: Public Service Announcements 200

Looking Good on Television 201

Seeking airtime on the small screen 201

Preparing for a television interview 201

Remembering on-air cues 202

Taking Advantage of Print Opportunities 203

Making yourself quotable 204

Fixing mistakes in print 204

Leveraging Online Coverage 205

Posting your story everywhere 206

Filling a need for news with news feeds and blogs 206

Crisis Control: When Media Attention Is Unwanted 206

Getting the crisis under control fast 207

Drafting a disaster control plan 208

Chapter 14: Social Networking: What’s the Connection for Your Organization? 209

Getting Started with Social Media 210

Surveying the basics of social media 210

Identifying who uses social media and what they can do for you 211

Building a Community of People Who Care 212

Feeling all a-Twitter 212

Connecting constituents with LinkedIn 214

Sharing the love on Facebook 215

Understanding What Your Social Media Users Want 217

Visibility and voice: Here we are! 218

Engagement and opportunity: Let me help 218

The freedom to choose: I want it my way 218

Taking the Plunge into Social Media 219

Making sure your messages work together 219

Tracking and evaluating results 220

Creating credibility and security in social media 221

The Big Dilemma: To Ask or Not to Ask? 222

Chapter 15: Getting the Most from E-Mail and E-Newsletters 223

Making the Case for E-Mail 223

Being Smart about E-Mail Campaigns 225

Figuring out who should receive your e-mails 225

Knowing what to say 226

Writing an e-mail that gets the results you’re looking for 229

Avoiding E-Mail Mistakes 230

Don’t use e-mail to spam 230

Don’t be a sloppy e-mailer 230

Understanding the Power of E-Newsletters 231

Catering to your donors’ interests 231

Creating your e-newsletter 231

Adding multimedia pizzazz 232

Automating e-newsletter delivery 233

Keep ’em coming back 233

Chapter 16: Ramping Up Your Web Site 235

Seeing How a Web Site Helps with Fundraising 235

Putting Your Web Site to Work for Your Organization 236

Evaluating your Web site 237

Building credibility for your organization 238

Adding Content and Keeping It Fresh 239

Putting your contact information front and center 239

Including information that saves time 240

Writing content yourself 240

Using existing materials 240

Linking to content on other Web sites 241

Considering the value of online media 242

Attracting Visitors to Your Site 242

Showing up in search engine results 243

Getting linked by other sites 244

Collecting Donations Online 244

Chapter 17: Extending Your Brand Online 247

Knowing Your Branding Basics 247

Assessing Your Brand 248

Tweaking your brand 249

Developing brand strategies 250

Blogging Your Way to Funds 250

Figuring the cost of blogs 251

Building your brand with an effective blog 252

Publishing Online to Boost Your Branding and Credibility 252

Getting published 252

Creating good online content 253

Joining Online Communities: Discussion Groups 254

Checking out nonprofi t discussion groups 254

Promoting yourself through discussion groups 255

Partnering Online through Affi nity Programs 256

Connecting with People through Association and Special-Interest Sites 257

Part IV: Engaging Your Givers with the Right Campaigns 259

Chapter 18: Organizing, Implementing, and Celebrating Your Annual Fund 261

Understanding the Basics of Annual Funds 261

Designing Your Annual Campaign 263

Setting your goals 264

Timing your annual fund 266

Assembling your team 266

Choosing your fundraising tools 268

Rating your organization 271

Putting the Plan in Place 272

Understanding your approach: Donor research and planning 272

Choosing your materials 272

Five signs your plan is falling flat (and what to do about it) 274

Evaluating (And Celebrating) Your Annual Fund Drive 275

Planning for Next Time 276

Chapter 19: Planning a Special Event 277

Seeing How a Special Event Benefits Your Organization 278

Planning, Planning, Planning! 278

Putting together the best team 279

Selecting an event 280

Deciding the when and where 281

Setting expectations 282

Budgeting for the special event 282

Setting a timeline 283

Black Tie Optional: Organizing an Online Event 284

Using Webinars to inform and persuade 284

Chatting online with celebrities 285

Following Up after the Big Event 285

Measuring goodwill 286

Evaluating the event’s outcomes 286

Saying “Thank you!” 287

Gathering event lessons for next time 288

Chapter 20: Building Buildings, Nonbuildings, and Futures:

The Capital Campaign 289

Gearing Up for the Big Campaign 290

Exploring Capital Campaign Types 291

Building bricks-and-mortar campaigns 291

Checking out endowment campaigns 291

Putting together project campaigns 292

Running combined campaigns 292

Selecting a Champion 293

Staging the Campaign 294

Testing the waters: Campaign feasibility 295

Setting your goal 297

Identifying lead gifts and challenge gifts 298

Going public 299

Following up with your capital campaign 300

Debriefing everybody 301

Chapter 21: Securing Major Gifts, Planned Gifts, and the Challenge Grant 303

Making a Perfect Match 304

Deciding on the major gift amounts for your organization 304

Getting to the heart of the major giver 305

Valuing the relationship: Stewardship in action 307

Creating a major gift strategy 308

Preparing for Planned Gifts 309

Getting the gift that keeps on giving 310

Differentiating planned giving from other types of giving 311

Timing is key: Knowing when to start 311

Gearing up for planned giving 312

Making Money Go the Extra Mile: Challenge Grants 316

Understanding how challenge grants work 318

Managing a challenge grant 319

Chapter 22: Engaging the Corporate Giver 321

Understanding the Attitudes behind Corporate Giving 321

Making a difference in the community 322

You scratch my back, I’ll scratch yours: Cause-related marketing 323

Finding the Right Corporations for Your Organization 324

Using the local community hook 325

Discovering where the CEO’s heart lies 326

Finding out what serves the company’s interests 326

Approaching a Corporate Donor 327

Researching the corporation ahead of time 327

Knowing your value to the donor 329

Putting together your presentation 329

Following up in a businesslike way 330

Chapter 23: Building and Growing Endowments 331

Endowing the Future 331

Understanding what an endowment is 332

Deciding whether you can (and should) build an endowment 333

Building an Endowment 334

Getting your board to buy in 334

Explaining the value to donors 335

Making an endowment part of your overall fundraising effort 335

Managing an Endowment 336

Providing oversight and establishing policies 336

Seeking professional help to manage endowment dollars 337

Part V: The Part of Tens 339

Chapter 24: Ten Predictions about Fundraising 341

Chapter 25: Ten (Plus One) Great Opening Lines 349

Index 353