Engage: How Boards Can Combine Marketing and Fund Development

1. Engage: How Boards Can Combine Marketing and Fund Development

2. Fundraising Can Be Fun!? • Many simple rules and best practices – just need to learn them • The process loses its mystery when you develop a plan each year, complete with timeline • No one needs to do everything. The Fund Development Committee should be large, composed of Board members and others, w/a diversity of talents • The Fundraising Chair is not a miracle worker, simply guides each subcommittee • And when the money starts rolling in, the celebration begins!

3. What Skills Does Your Team Have?

4. It’s In the Details . . . • Do you have a budget? • Do you have a comprehensive fund development plan?

5. Sample Budget Expenses vary from Affiliate to Affiliate. The following sample budget assumes that the day center comes rent-free. • $35,000 director • $15,000 program staff • $12,500 van driver • $ 5,200 payroll tax etc. • $ 4,000 health insurance • $ 3,100 corp. insurance • $ 1,400 telephone • $ 3,000 printing, copying • $ 2,000 postage • $ 1,000 office supplies • $ 5,000 van maintenance • $ 3,000 guest emergency fund • $ 1,420 affiliate fee • $ 1,500 professional fees TOTAL: $91,720

6. Promotion of In-Kind In-Kind Donations to the Network • Family Promise volunteers $268,291* • Meals $ 30,660 • Day Center rent $ 16,800 • Shelter rent or mortgage $ 16,800  TOTAL $332,551 Creation of a budget that includes the value of in-kind donations is a powerful tool, showing potential funders how cost effective you are. For every $1 they give you in cash, you are able to leverage $2 in in-kind donations. *should be calculated at whatever the accepted volunteer hourly rate is in your region (usually $15-$16/hr)

7. Steps to Start Fundraising • Fundraising is about connections, communication and commitment. • People want to help homeless families and their children—and you are giving them a way to do so • Because the program is built around existing community resources, the Affiliate will have raised the majority of its “funds” with the commitment of congregations to host • Hands-on work with families increases desire of volunteers to give

8. Steps to Start Fundraising • Identify the skills of members of the committee and match them up with some of the tasks below. • Plan for a balanced income stream. Don’t ever put yourself in the position of having a majority of your funds coming from only one or two sources.

9. Typical Fourth Year Funding

10. Fundraising Begins with Marketing Marketing: Two Definitions Business Function: Marketing is the • Analysis • Planning • Implementation • Control (Management) of carefully formulated programs designed to bring about mutually beneficial value exchanges with targeted market segments. Philip Kotler Marketing Management: Analysis, Planning, Implementation and Control

11. Marketing: Two Definitions In our context: Marketing is • Telling the story – our piece of God’s work on earth • Helping others become part of the story • Sustaining and expanding the story through financial resources.

12. What are we Marketing? • Goodwill • Trustworthiness • Credibility  • Integrity • Principled-Centeredness • A Demonstrated Passion For Our Part of God’s Work On Earth  

13. What is the Value? What is the value to others in partnering/engaging with Family Promise? Why bother? Value = Compelling/Engaging Mission Statement + Competent Staff & Partners who can help live into the mission statement + Assets and Infrastructure to support the staff and sustain the ministry

14. Development: Two Definitions Development is a very simple business. We have only two objectives: • To help create an understanding of the special mission, value, and accomplishments of a particular organization; and • To secure the necessary support in the form of goodwill and dollars to sustain and advance the institution. Institute for Charitable Giving

15. “When fund-raising as ministry calls people together in communion with God and with one another, it must hold out the real possibility of friendship and community. . . If we ask for money, it means that we offer a new fellowship, a new brotherhood, a new sisterhood, a new way of belonging. We have something to offer – friendship, prayer, peace, love, fidelity, affection, ministry with those in need, and these things are so valuable that people are willing to make their resources available to sustain them. Fund-raising must always aim to create new, lasting relationships.” Henri J.M. Nouwen “The Spirituality of Fund-Raising”

16. Relationships • Who are our core constituencies? • What do we want them to think? • What do we want them to feel? • How do we want them to act? • What do we want as a result?

17. Steps to Start Fundraising Committee • Is the committee formed? • Who will build the committee; who is on the committee; when does it meet? Budget • What is our budget? How much do we need to raise in cash?

18. Steps to Start Fundraising Preparation • Do we have a needs statement? • Do we have boilerplate description of the program? • Do we have an “elevator” speech? • Have we prioritized our targets for funding? • Have we created a timeline? Funding streams • As a committee member, indicate which streams you can help develop. Not every member needs to be engaged in every task. Remember to factor: amount of $ expected vs. amount of time and money spent.

19. Review Major Streams • Foundations • Corporate • Congregations/ Judicatories • Governments • Organizations • Events • Individuals

20. Foundations • Private • Family • Community • Corporate

21. Foundations • Foundation directories • Research - Targeting • Grant writing process • Cultivate/Execute/Follow Up

22. Corporate Corporate Foundations Local Community Affairs Dept Sponsorships Marketing Dept Employee Matching Funds Connections

23. Congregations Large financial supporters – believe strongly in our mission. • Line items in budget • Special Offerings • Events (spaghetti dinner, concert) • Youth Programs Personal meetings – No letters

24. Judicatories Denominational: Presbyterians - Presbytery Episcopal - Diocese Methodist – District Para-judicatorial options: Thrivent Knights of Columbus Episcopal Charities

25. Government Connections: Continuum of Care Elected Officials Sources: City/County – CDBG, County Social Services State – Dept of Social/Human Services Federal – HUD(ESG, SuperNOFA) FEMA (EFSP)

26. Organizations Friendraising + Fundraising • Rotary/Kiwanis/etc. • Junior League • United Way Hit the speaking circuit!

27. Events = Fun! • Bed Race • Cardboard Box City • Celebrity Server • Motorcyle Ride for Families • Duck Derby • Chicken Amnesty Day • Jazz & Blues Concert • Golf Ball Drop

28. Events • 2-3 events/year – focus on high yield, $10k & up! • Don’t get trapped by multiple high energy-low yield events – find others to hold the spaghetti dinners . . . • Do something different, not the same old gala or golf tournament everyone’s holding • Signature event • Sponsors can double the money • Another friend-raising activity

29. Individuals • Donor database – track your donors • Personal ask • Targeted giving through pledges • Friends of the Families programs • Letters/Annual Appeals • Small gatherings – utilizing your financial supporters

30. The Six “Rights” • Right Solicitor • Right Donor • Right Amount • Right Time • Right Way • Right Purpose

31. Cultivation Cycle 1. Identify Institute for Charitable Giving

32. Rating Our Donors High Financial Capability Low l <----------Identify ----------> l <--- Interest ---> l <-----Involve ----->l <----- Invest ----->l Low<----------------Current Interest or Involvement ---------------> High Institute for Charitable Giving

33. Next Steps What are your strengths? What are your initial steps? What are your goals?

34. Good Stewardship • Thank you calls to major donors – w/in 48 hours, from a Board member • Thank you letters w/in 2-3 weeks • Formal Reports, e.g., Annual Report • Newsletters (e-letters, hard copy, etc.) • Invitations to events