Assuring the Special in Special Events

Not all nonprofits are in love with the concept of special event fundraising. For larger nonprofits with "significant" staff (including a fundraiser and a communications specialist) and a development committee that works from a well thought out plan, events can be pretty great revenue sources for your organization. All nonprofts, great and small, can make events work.
And it does start with a plan.

• The event should fit the mission: it should be clear to participants what the money is for, how it's going to be used, and the NPO gratitude for hard work to raise $$ for mission.
• There should be a mini-business plan with a timeline, job assignments, and a budget. Members of the event committee should know their assignments and commit to get them done to keep things moving along the agreed-to timeline.
• If it's a run or walk or bicycle deal, building in a pledge component will leverage your $-raising capacity significantly. If you've got an event that's been going a few years, it's hard to convert it to pledges if it hasn't been. Time to think of a new event.
• Expect to earn a few net dollars the first year, but realize that the best events grow because the committee is smart, it learns-by-doing, and is committed to continuous improvement: how are we going to make this better?

Events can be a great source of substantial net dollars for your nonprofit mission. In the 1980's, we (American Lung Association of NH) morphed a canoe event that raised $10,000 to a bike trek that raised $80,000 in the third year. How did it happen? The stars and moon were aligned: we were lucky we hired a great event planner, and we were first NPO out the gate in NH with a big time bicycle event. Over time, MS and others caught up with us.

Strike while the iron is hot! Interested in a conversation on how we could work together to make an event work for you? The conversation only costs a cup of coffee. s.p.99smith@gmail.com.

Catching the Boomer Wave

I've written here about how nonprofit boards of directors can engage their networks to benefit the mission of their organization. And I've offered recommendations on how to put a system in place to convert donor prospects into donors, and the value of focusedcommunication with your donors and your prospects.
Today I want to zero in on trends you can apply to your approach to more effectively raise money to advance the mission near and dear to your heart.
in the Chronicle of Philanthropy (Vol. XXII, #10, April 8, 2010) Holly Hall writes about big demographic changes on the horizon that will impact how development staff and board members need to prepare for the wave of Baby Boomers who will reach age 65 in 2011. And that wave will only grow as the number of Americans 65+ will double in the next two decades. At the same time, the number of Americans in their 50's will decline. Generally, folks in their 50's are in the prime of disposable income capacity.
What can the nonprofit do to prepare for the Boomer wave to retirement?

• Sharpen up the Database. Can leaders get useful reports on trends that respect individual donor confidentiality? Don't have a relational database? Search sources to recommend one for you. Start with Nonprofit Tech Network http://bitly/9kOFBA to learn about Open Source Donor Management Systems. Proprietary systems can be costly, but check them out, too. Without useful data to drive development decisions, you're guessing.
• Add Tech Savvy People to Team. Every nonprofit needs a staff member and/or volunteer up-to-snuff on application of current technology. Thought leaders in development are saying the art of the schmooze is not enough in building donor relationships. Beyond managing the database, there's also potential in social media, particularly Facebook and Twitter.
• Board Adopts a Development Plan. Outline a road map indicating where you need to go to successfully raise the $$ to deliver the mission. The map should include "how:" direct response, special events, annual campaign, major gifts. And "who:" role of development committee, role of board in giving and getting. And "what:" data that will be used in decision-making.

It's spring, and summer is just weeks away. If your pace slows down a bit in the summer months, this can be a good time to do some research on database options, and to begin outlining a development plan. Get ready for action in fall so when you're annual appeal gets underway (most often November-December in the nonprofit world) you've got your tools in place to elevate your approach to fundraising.

Need some help addressing these needs? I'm just a phone call or e-mail message away.

Steve Smith is Principal of It's The Results, a consulting company specializing in board development, strategic planning, fundraising. s.p.99smith@gmail.com. 781-334-4915.

Effective Fundraising Through Relationship Building

"Asking someone you know for money in person is the most effective way to raise funds." Kim Klein, author of Fundraising for Social Change, 5th Ed., leads off her chapter on "Getting Comfortable with Asking for Money" with this sentence. Right on target. Ms. Klein captures the essence of fundraising effectiveness: Knowing the person you're asking is more than half the battle in raising money for a community benefit nonprofit organization.
Board members and other volunteers will frequently tell the executive director or development director that they just can't bring themselves to "make the ask." Why? I believe it's primarily due to fear of rejection. But it's also about concern with invading another person's pocket book. When it comes right down to it, "What right do I have to ask another person to fork over some cash?"
Well, friends, this is how we successfully advance the mission of a cause that's near and dear to us. If we don't ask, we likely won't get. It takes an ask, and there's no one better to ask than a person who knows the donor prospect.
And getting into that comfort zone starts right at home: at the board of directors. We need to get members of the board thinking about investing money to accompany the very generous contribution of time these individuals already are giving. And the person to ask one board member to give is another board member. One who knows the person to be asked. There's a relationship there. This connection makes the ask easier. It also makes the decision to give for the first time easier.
I experienced this situation first hand when I was executive director of the American Lung Association of New Hampshire. Until we launched our first major gift campaign, few of the twelve board members donated. There was not a sense of urgency, nor a sense of importance of investment. Leaders of the board, however, were clear about the need. They decided they wanted their colleagues on the board to get some training, to "get" the concepts of urgency and investment. That if those closest to the community benefit organization didn't feel the urgency of needed funds to advance the mission (in this case, to get No Butts About It into elementary classrooms) how would they sell others on this program's importance?
We recruited a volunteer, experienced in Republican party fundraising, to chair the Development Committee. I knew her well, as our paths crossed (even though our politics were different) in work we were doing on smoking prevention and clean air advocacy. And for the honor of leading our campaign, the chairperson made a lead gift of $5,000. That step by that friend of the Lung Association's mission made the campaign happen. And made the campaign a success.
Ken Burnett writes in Relationship Fundraising (Jossey-Bass, 2002) that the #1 essential to effective fundraising is grasping the concept that it's about "people giving to people." When we get the message, when the focus of the nonprofit mission becomes embedded in each individual on the board, and as board members grow more comfortable with bringing in money to make the mission that they believe in happen, the dollars come.
It's clear that these are simple concepts. As they say, "it's not rocket science." But: it's hard work nonetheless. Getting board members to buy in, and getting a nucleus of board members to work at asking after they have made their gift, the snowball becomes an avalanche. But over time.
Relationship Fundraising starts with two people. And it grows from there, if we thoughtfully invest in starting to roll that snowball down the hill. Soon, it gathers momentum. And before we know it, we have effective fundraising happening because the relationships we build make it happen.

Success at Succession Planning: Board Leadership

Think Tanks are worry-warting over the next wave of nonprofit executives to take CEO positions when the current crop of Baby Boomers all retire. Worrying over this is not time or energy well spent. Board search committees will not have to look very far to find competent, capable leaders in the X and Y Generations. They are right there in front of our eyes. They may think differently, they definitely are coming from different experience, but they are bright, insightful, full of beans and ready to go when given the chance. I see a number of these younger folks in my graduate level marketing and fundraising classes at Northeastern University in Boston. I read the tweets and blogs of the X-ers and Y'ers on the Internet.
Look out world, here they come.
I am more concerned with what I see on boards of directors of these same nonprofits, worrying over executive succession. They have a leadership vacuum right on the board. They keep asking the same volunteer to serve "just one more year" (how much is too much?). There are things that can be done to remedy this situation. It takes some work. So lets look at some steps nonprofit boards can take to get folks moving up the leadership track to chair or preside over the board of directors.

• Term limits. I recommend two or three three-year terms of service on a board. This creates a continuous rotation (with a set number of members rotating off each year) of members leaving, new members arriving. If the same group of guys (some boards still have some work to do on gender and race diversity) are sitting on the board for ten, twenty years, the nonprofit runs out of capable leaders prepared to take charge.
• Leader orientation. The nonprofit CEO works with current board leadership to design an orientation for newly elected leaders, so they get the lay of the land. So they understand the parameters of leadership. So they are clear on the CEO role and how that is different fom the board chair role.
• Active working committees. The finance, progam, development, marketing & communication committees (perhaps one or two more) have real work assignments from the board, meet regularly (but not too often), and stay in touch so agreed-to work gets done. The committees are great proving ground for up-and-comers. And they consist of some community members who are not on the board, grooming for membership down the road.

Staff and volunteer leaders can see leadership potential in new board members within the first six months, or year at most. These are people eager to take an assignment...well, willing if not really eager. They get their work done on time, they have thougtful comments at meetings, they don't try to take the nonprofit down a road it's not ready or capable to travel.

So. If you're finding yourself in a maze, wondering "where oh where will the next board chair be?" it's time to put some practices in place that'll get a smooth flow of energy moving through your organization.

In my experience as a nonprofit executive with the American Lung Association, and in my consulting work currently, I see clearly how these steps work advantageously. For more detailed references, some tools to help, feel free to contact me at s.p.99smith@gmail.com.

Attending to succession planning for the nonprofit board of directors is time and energy well spent.

Steve Smith is Principal of It's The Results, LLC. This practice focuses on board development, strategic planning, and fundraising.

2- 4- 6- 8: How We Gonna Communicate?

I hope you've de-soggified from last weekend's torrential rains (particularly if you live and work in the mid-Atlantic States or New England). The sun has been good to us, we've mostly dried out. Some folks still don't have their power back, and some towns are still bailing out. I and my readers wish you all well. Hope you are finding help. Let us know if particular nonprofits stepped up in your community and deserve a special shout-out.
If you tweet on Twitter, give those great helping NPO's a #CharityTuesday hashtag. Regular contributors/followers on Twitter know about this, and look each week for a nonprofit to support based on tweets they receive. This is why every nonprofit should be working Twitter, Facebook, You Tube....various social media to extend out your network.
This week, I want to talk with you about the newsletter.
1. Use social media.
2. Communicate with a newsletter.
On a regular basis, let your followers know what's cooking at your nonprofit. How your primary customers are finding your service, employing your service, benefiting from your service. Some newsletter tips just for you, because you are special:

• Publish regularly: monthly is good. Your volunteers, primary customers (those who use your service), donors like to know what's up. Most of those people feel a sense of relationship with you, with an employee, with a board member. They feel the connection. They appreciate your effort of staying in touch.
• Highlight upcoming events. Your readers are interested in meetings, special speakers, special events. Repeat these each issue. Those who follow you, who make the link, will get the information on their calendars.
• Print or e-mail? Use e-mail. Use Constant Contact: the newsletter is embedded in the message. No attachments to mess with. Nice graphic design, if you like. Some of your followers, perhaps donors and/or primary customers over age 60 prefer snail mail. Limit the amount of snail mail. It's a green thing (that carbon footprint thing).
• Ask for letters, short articles. Print occasional pieces from your readers. Ask for photos. Link these to your website so folks can find back issues, point friends to your website to read their stories, see their photos.

While you're doing your newsletter thing, you're also building community in your nonprofit. Making the communication two-way, making the newsletter interactive, you're building your network, reaching new people.

Share your comments on this blog if you like. Or if you seek private contact, you can reach me directly at s.p.99smith@gmail.com, check my website www.itstheresults.com, tweet me @STEVENETWORK.

A Shot of Red Bull for the Board Meeting

Here we are, counting down to the first day of spring, looking for that energy boost to get spring cleaning underway.
Coming out of our winter hibernation, it's a good idea to check in on the energy level for our board. Are meetings lacking some zip? Are our financial numbers not quite where we'd like to see them, but in need of some constructive attention?
It's tough. Rumor has it we're moving out of recession and recovery is just around the corner.
Right.
For the moment, we have some work to do, some tough decisions to make and, we're struggling to find the energy...to get all members of the board out, at the meeting, coming ready to engage in what can work for us to get us over the hump.
Cans of Red Bull probably aren't really what will do the trick.
But what the heck. Maybe have a few cans on the refreshment table to perk some interest, get a chuckle, maybe provoke a lecture on healthy diet from the board scold.
Here are some tips that can provoke a needed jolt:

• Put a story on the agenda. Ask a person or volunteer who benefits from the service you provide, share a story about the value you deliver.
• Shake up the line-up. Oral reports at the board meeting? Keep these at a minimum. But if there's one or two that will be requiring board action, ask the committee chair to designate a member on the board to give the report, or augment the report. Engage more members in the process of the meeting!
• Sweeten Up the refreshments. Ask a member if they'd bake or pick up from a bakery a special treat for the members to enjoy. A bit of sugar can add energy. Something special can add a smile, share some appreciation.
• Allow for some "Generative" time. Set aside a fifteen-to-thirty minute discussion time. No Roberts Rules. A conversation around something real happening in the community or the economy that'll be good for all to know, that impacts decisions, adds to the board's knowledge base. Get into the habit of asking different members of the board to come prepared to lead discussion time.
• Did someone say fundraising? What can the board do to stimulate revenue? It can't always be about cutting expenses. There needs to be some creative, new effort by members to devise a way they can add to the treasury. Will someone step up, propose an idea with some forethought/planning, and solicit members to pitch in?

So, let's find some energy sources to stir things up a bit, leave members thinking as they head for the door following adjournment, "Now that was a good meeting!"

An Act of Inspiration

I don't know where you were Super Bowl Sunday about 9:00 when CBS Sunday Morning came on. It's among my two or three appointment TV times. On that Sunday, I was blown away by a segment entitled, "Selling Your Home for Charity." Yes, you read that right. The Selwen family of Atlanta, Georgia sold their home and donated $800,000 of the proceeds to charity.
Hannah is the daughter in this family, and she couldn't reconcile seeing homeless, hungry people around her while living in the lap of luxury. So, she got the ball in motion.
Americans are generous. On average, we give 2.2% of what we earn to charities of our choice, including our church, synagogue, mosque...wherever you may go to worship. In 2008, our charity accounted for $307 billion (Giving USA, 2009).
The Selwen family has written a book, "The Power of Half." They took half the proceeds from the sale of their home and donated it to the Hunger Project; specifically, to build a mill in a town in Ghana. They used the other half to buy a home for themselves a few blocks away from where they once lived that occupies about half the footprint of their first home. In their book, they describe how the came to this act that goes beyond our understanding of "generosity." A twist on the saying, "build it, and they will come."
This Act of Inspiration came from a personal experience. Hannah Selwen had a philanthropic urge, and recruited her family to act on it. I wonder if there was some deep-seated sense for doing the right thing that drove her to act.
Stories like the Selwen's are good to hear.
I advocate nonprofits I work with to find their stories. How the program services they provide have changed peoples' lives for the better. How, if they could do a bit more, they could reach and serve a few more people. So the mission and the services provided can tap into the philanthropic spirit that lies within each of us. Well, at least 75% of us.
Henry David Thoreau said, "What is the use of a house if you haven't got a tolerable planet to put it on?" Indeed.
In the same segment, CBS also interviewed Willie Mae Dorsey, a checkout clerk at an Atlanta supermarket. Willie Mae told CBS she makes $25,000 a year and gives 10% of what she makes to charity.
Willie Mae is an inspiration.
We have lots of inspiring stories. Find them. Tell them. They bring out the best in people. They give people good reason to want to join you in making a difference in the lives of people you serve.
Use this link to see the CBS Sunday Morning segment: http://bit.ly/bx1eHd.
To check out my consulting practice: www.itstheresults.com.
To follow me on Twitter: @STEVENETWORK.
e-mail: s.p.99smith@gmail.com