Making the Ask: a guide to successful Making the Ask: a guide to successful donor contributionsdonor contributions

April 30, 2015April 30, 2015

Your Presenter: Octavia Kuransky, MSPYour Presenter: Octavia Kuransky, MSP

Psychology for the Real WorldPsychology for the Real World

octavia@psychologyfortherealworld.comoctavia@psychologyfortherealworld.com

Summary from Grantwriting

• Successful grant proposals are the result of thorough research and preparation

• Successfully financial agencies have a diversified funding program

• A diversified funding program includes individual donors

Purpose of Session

To encourage nonprofit financial stability by providing the means for organizations to

access financial support from a source other than grants.

Benefits of donor-based funding

• Optimum spending discretion

at the program level

• Donor loyalty can result in funding consistency

• Accountability is often more manageable

Learning objectives for today

1Understand the components of a successful donor ask

2Identify potential contributors

3Prepare and organize for a successful donor visit

4Making the Ask

I - Components

• Clarification of request, i.e. how much and for what purpose

• Research probable contributors

• Preparation for meeting

Clarification of what you need

Not clear:

The Madison County Tech Academy needs $4000 to help young people look for a job.

Tip!Trying using the 5 W’s in your presentation of need

Who: Madison County Tech Academy

What: 10 new computers equipped with Microsoft Office

Where: The Huntsville, AL facility

When: Beginning academic school year Sept 2015

Why: Current bank of computers now require more $$ to repair than purchasing a new computer and outdated software cannot accommodate newer online application processes from employers.

Clarification of request

Better…

The Madison County Tech Academy needs 10 new computers and Microsoft Office software for its job readiness program for young adults. Three estimates show a median cost of $300 per machine and $100 for software per machine, totally $400 per unit = $4000.

Even better…

The Madison County Tech Academy needs $4000 to purchase10 new computers with Microsoft Office software for its job readiness program for young adults. Three estimates show a median cost of $300 per machine and $100 for software per machine, totally $400 per unit = $4000. The current bank of computers now require more $$ to repair than purchasing new computers and the outdated software cannot accommodate newer online application processes from employers. We need to have this equipment in place by September, 2015.

II - Research of probable donors

The Funder has Goals & Objectives

The Agency has Goals and Objectives

II: Research Probable Donors

• Look at websites of other like programs for donor list

• Collaborate with other agencies

• Read philanthropic and business journals

• Ask others in the field

Notice in your research

Giving habitsCommon acquaintancesGeographyAssess readiness of your agency

III: Approach

•Contact possible donor

•Ask for permission to send materials•Cover letter should include purpose of visit and request for appointment •Materials showing history of agency including successes

IV: Making the Ask

At the meeting:

•Review the need(s) for the community

•Present return on investment for community

•Ask for specific dollar amount and explain its use thoroughly and clearly

After the Ask

• Note thanking potential donor for their time

• Schedule follow up

The most common reported issues with making donor

requests are:

Fear/Confusion

Fear/confusion are a result of a misunderstanding about money, about the management of money and

the nature of raising money for nonprofit use.

This misunderstanding is an indicator of additional need for knowledge and preparation.

Some common myths about making donor requests

Myth #1

Fundraising is selling.

Fact:

Fundraising is a business transaction.

Myth #2

People resent being asked for money.

Fact:

People have their own reasons for giving or not giving so you may come across all kinds of reactions including people who will agree with and thank you for doing the work you do.

Myth #3

I am “bothering” people when I ask for money.

Fact:

If the agency is doing legitimate work, you are doing people a favor. It is your job to help them see this.

Q and A

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Summary

• Building a donor base is essential to a stable financial base.

• Preparation is key to successful donor recruitment

• Clarity and focus are key in preparation.

• Donor recruitment is not selling.