Raise More Money: Building an

Individual Donor Program

March 2015

March 20 & 27, 2015 for Second Harvest Food Bank with Stephanie Roth & Stan Yogi Klein & Roth Consulting www.kleinandroth.com

Raise More Money: Building an Individual Donor Program

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Understand the elements of successful fundraising

Learn new skills

Get more comfortable asking for money

Learn steps to conduct a fundraising campaign

Workshop Goals

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1.5 million nonprofit organizations generate:

$1.4 trillion per year in income from:

Government : 30%

Earned Income: 50%

Private Sector: 20%

Source: National Center for Charitable Statistics and Foundation Center

Sources of Funds for Nonprofits

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Why Individual Donors?

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Total Given in 2013: $335 Billion

• Individuals: $240.60 Billion (72%)

• Bequests: $27.73 Billion (8%)

• Foundations: $48.96 Billion (15%)

• Corporations: $17.88 Billion (5%)

Private Sector Funding Sources

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• 7 out of 10 adults in the U.S. give away money

• More people give away money than vote

• Middle- and lower-income donors are responsible for a significant percentage of money given

• Most people who give contribute to at least 5 groups

Who Are the People Who Give?

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• Focus on building relationships

• A clear case for support

• The right strategy

• Teamwork

Elements of Successful Fundraising

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Acquire Donors

Retain Donors

Upgrade Donors

The Final Gift (Bequest)

Fundraising is about building relationships The Purpose of Fundraising is to Build Relationships

Donor Pyramid

Donors Money 10Donors

6060%

2020%% 2020%

770%

%

20%

%

Money

10%

Goal: $10,000

# of gifts Size # of prospects

1 $ 1,000 4

2 $ 500 4

3 $ 300 12

4 $ 250 12

10 $ 100 20

15 $ 75 30

25 $ 50 50

75 $ 25 150

85 $ 10 170

220 452

Sample Gift Range Chart

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Why does your organization exist?

Why is your work important?

What are your core beliefs?

How do you manifest your beliefs?

Making a Case for Support

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Go from this:

“Please, please, please…”

Move into an “EXCHANGE” Frame

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To this: “I think you would be interested….”

Exchange Principle

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No One in Our Community Goes

Hungry

Your

Organization

Donor

(Time In - Money Out)

Ladder of Effectiveness

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Method Response Rate Face to Face Meeting 50%+ Personal Call 25% Personal Letter/E-mail 10-15% Direct Mail 0.5-1% Online 0.08% Events Varies

Who’s on the team?

• Board members

• Staff members

• Volunteers

• Donors

• Former staff, board, clients

Building a Fundraising Team

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Think about:

• Your earliest memory of money

What were you taught about money? What messages did you get about money from family, peers, the larger community?

Getting Over the Fear of Asking

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Ability

Belief

Contact

Who makes a good prospective donor?

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1. Success is asking

Tip: Track the number of ASKS made, not just how much money you raise.

Three Tips For Successful Asking

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2. Be OK with NO

“No” has nothing to do with you.

People say no because:

They have too much else on their minds

They have other giving priorities

They don’t have the money right now

Three Tips, Cont.

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3. Your belief in your cause has to be greater than your fear of asking

Three Tips, cont.

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Steps in Asking

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1. Set goals

2. Recruit team

3. Prepare campaign components

4. Identify prospects

5. Orient & train team

6. Launch & manage the campaign

7. Evaluate & celebrate

Conducting a Fundraising

Campaign

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Magazine and e-newsletter

Grassroots Fundraising Journal

www.grassrootsfundraising.org

Books

Reliable Fundraising in Unreliable Times by Kim Klein

Fundraising for Social Change by Kim Klein

Accidental Fundraiser by Stephanie Roth and Mimi Ho

Order from www.josseybass.com or your local bookstore

Helpful Resources

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Klein and Roth Consulting helps organizations build strong fundraising programs that are mission-driven. We provide practical, hands-on advice on how to build a broad base of individual donors, grounded in social justice values.

Stephanie Roth is a trainer, consultant and coach for nonprofits, with a focus on fundraising, board development and meeting facilitation. Stephanie has written widely on the topic of fundraising and organizational development, and is the co-author (with Mimi Ho) of The Accidental Fundraiser: A Step-by-Step Guide to Raising Money for Your Cause. stephanie@kleinandroth.com; 510-893-8933 x307

Stan Yogi has worked with non-profits for more than 25 years as a staff member, board member, volunteer, consultant, coach, trainer, and grantmaker. For nearly 14 years, he was Director of Planned Giving at the ACLU of Northern California, where he was also responsible for securing foundation grants and raising major annual gifts. stan@kleinandroth.com; 510-893-8933 x324

Bios & Contact Info

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