12 Month Plan A key to success and sustainability Presented by Kathleen Kelley, CFRE Board member of AFP-NNE

A plan should be simple, straightforward, efficient, based on reality and rooted in an understanding of both your organization’s challenges and opportunities. According to Heather Yandow’s 2014 Individual Donor Benchmark Report, the secret sauce for raising more money is to have a fundraising plan. In the survey results from 87 nonprofits, the only correlation between fundraising efforts and fundraising success is whether or not the organization had a fundraising plan.

Agenda Strategies & Experience Available Resources Case(s) for support Revenue and market analysis Setting the goal Mapping Success Strategies by segment Activities, Assignments and Due Dates Costs and Estimated Revenue Evaluation and modification Development Plan Manual

Burning Question Poll Are you willing to invest 10% or more of the fundraising goal to reach it? (Yes, No, Don’t know why) Do you have at least a part-time staff person to dedicate to orchestrating the plan? (Yes, No, Don’t know why) How much more is the current fundraising goal than last years actual? (10%, 15%, 25%, 50%, 100%) What is your burning question for today?

Your History Major Donors, Individual Donors, Government Grants, Foundation Partners, Corporate Sponsors, Board Members, Planned Giving Donors, Special Event Attendees, Membership, Volunteers, Other Your History

Staff, Board Members, Fundraising Committee Members and Volunteers Donor Bill of Rights, Ethics, Letter of Good Standing, 501c3 and Gift Acceptance Policies Technology: communications, data management, records management, grant and donor research  Budget Available Resources

Something people will want to talk about Case for Support Compelling, Motivating, Informative, Relatable, Pressing, and Something people will want to talk about

Quick Poll Who does the communications and marketing for your organization? (ED, Development, Marketing, Student Intern, No One, DNK, Other) Does the CEO/ED limit access to board members? (Yes, No, DNK) How is the goal set? (ED/CEO, Board, Development Committee, CFO/Business Manager, DNK, Other) Who approves the plan? (Board, Senior Staff, no one, DNK, Other) What is the process for approval? (At annual retreat, part of budgeting process, DNK, None, Other)

Revenue Stream Analysis Earned Income Bequests Sales of Merchandise/Tickets Sponsorships Individual Gifts Major Gifts Private Foundation Grants Federal and State Grants Special Events

How and how much do competitors in your market fundraise? What have been philanthropic trends among similar organizations? For regional nonprofits generally? How many prospective donors, lapsed donors and active donors know what you do versus the number of people likely to donate to similar causes? What is the economy doing regionally and nationally? Market Analysis

Set the Goal What are the organization’s projected expenses for the next fiscal year? How do the projected expenses break down between administration versus and program costs? Are there new program ideas that can be presented as seed funding opportunities to donors or granting agencies? Do you know the 80/20 rule? Are there five donors with capacity and already in your donor data base willing (already cultivated) to make a gift of 20-30% of that goal?

Other Goals: Increasing total # of donors. Acquiring # of donors to replace those that have lapsed Launching a new fundraising strategy: giving circle, planning giving program, DAF appeal, Giving Tuesday, Peer to Peer Reducing # of lapsed donors Increasing revenue from fundraising events Retaining donors year over year at 65% or higher Other Goals:

Other goals Increase board participation and giving rates Boosting volunteer effectiveness and hours Growing the monthly or recurring giving program Upgrading current donors to a higher gift level Improving email open rates Growing direct mail response rates

Quick Poll How often do you feel the goal is out of your control? Are you a part of setting the fundraising goal? What do you do to improve the goal setting process?

Using a gift chart Right size the goal for the plan Do you know 4-5 individuals willing to contribute 10-30%? Do you know 28-30 individuals you could meet with in the next two months to pitch a gift of $15,000? These “board level leadership gifts”, require Board members willing to help secure gifts from friends and associates. Goal Amount: $200,000 Gift Range No. Gifts required No. Prospects required Subtotal Cumulative total Cumulative % $ 20,000 1 4 $ 20,000 $ 20,000 10% 15,000 35,000 18% 10,000 2 8 20,000 55,000 28% 7,000 3 12 21,000 76,000 38% 5,500 16,500 92,500 46% 4,500 5 20 22,500 115,000 58% 4,000 7 28 28,000 143,000 72% 3,000 164,000 82% 2,000 10 40 184,000 92% Under 2,000.00 16 64 16,000 200,000 100% Totals 55 220 $200,000.00

FY 20xx Income Projections Sample Budget: Income Categories FY 20xx Income Actual FY 20xx Income Projections % of Total 20xx Income Government $385,972.00* $380,851.00 62% Foundations 37,003.00 27,000.00 4% Individuals/Family Trusts 62,033.00 53,000.00 9% Service Organizations 2,045.00 2,000.00 .3% Federated Campaigns (ST, CFC, United Way) 89,692.00 107,000.00 17% Special Events 32,155.00 32,000.00 5% Other (Unsolicited Income) 17,955.00* 3,000.00 .5% Interest Income 1,800.00 2,500.00 .4% 20xx Audited Excess Revenues   10,767.00 1.8% TOTAL INCOME $628,655.00 $618,118.00 100%

Mapping Success Segmented goals Strategies Assigned tasks Deadlines Solid estimate of actual gift Solid estimate of cost to secure gift

Constituent Avatars Individual Foundation Corporation  analysis of potential by constituency and by strategy

Major donor strategies Strategy Number to be Solicited Average Gift Estimated Income Associated Expenses Net Income Completion Deadline Who is Responsible Renewing annual donors - $10000 + Renewing annual donors - $7500 +   Renewing annual donors - $5000 + Lapsed donors (Gave in previous years but not last year) Prospective annual donors - Volunteers and Prospects ED/CEO 5 phone month to major donors - ask for advise Ask for planned gift Personalized Thank you note immediately from Board Chair or CEO House parties to strengthen relationships with prospective and current donors Review current donors to determine a list for moving donors into higher donations Put widget on website for accepting donations from DAF’s Phone bank thank-a-thons for major donors Visible swag for big donors at events Annual recognition for long term, legacy, recurring and major donors Consider forming giving circles to support just your programs Make presentation to existing giving circles or religious organizations Ask a donor to "match gifts"

Individual donor strategy Number to be Solicited Average Gift Estimated Income Associated Expenses Net Income Completion Deadline Who is Responsible Renewing annual donors (Previous year totals) Personal Solicitation   Lapsed donors (Gave in previous years but not last year) Prospective annual donors (volunteers, community members) Email campaign Monthly giving House parties Annual Appeal direct mail letter Quarterly renewal effort (via email) VIP treatment Offer “donor-exclusive” volunteer opportunities Recognize volunteers Testimonials at volunteer events or mission moments Immediate Acknowledgement Thank you notes for all gifts Personal Solicitation Offer a matching gift opportunity

Date of Meeting with Liaison Grant strategy Government Grants Contact/Liaison Date of Meeting with Liaison Target Ask Amount Estimated Income Associated Expenses Net Income Application Deadline Who is Responsible   Approach 2 local banks & 3 regional foundations Submit applications specifically for grants that cover operating expenses. Set up meeting with program officer of the granting agency, or attend the overview meeting for those interested in applying for a grant Research past awards by granting agency and discuss with program officer how we fit into their goals Find 5 opportunities and submit applications for program related work

Business and private foundation strategies Business Donors/Sponsors Strategy Number to be Solicited Target Ask Amount Estimated Income Costs Net Income Proposal Deadline Who is Responsible   Corporation name $ Private Foundations Program Officer Date of Meeting with PO Associated Expenses Application Deadline Introduce sponsorship program 18 months in advance Corporations & business owners a chance to network at our site Host a Chamber after hours event Offer educational programs for employees

Special event strategy Number to be Invited Ticket Price Estimated Income Associated Expenses Net Income Completion Deadline Who is Responsible   Giving Tuesday $ Hosting special events to generate new donors Hosting special events to strengthen relationships with existing donors, Schedule Peer to Peer Campaign Schedule “Day of Giving” Campaign Raffles at events to find potential constituents email and physical address, Social media communication campaign before #Giving Tuesday Feature Mission Moments during event Highlight the work of Volunteers at event

Earned revenue strategy Point of Sale Location Item Price Estimated Income Associated Expenses Net Income Completion Deadline Staff Responsibilities T-shirts   Bumper Stickers

What strategies will you use?

What gets measured gets managed; what gets managed gets prioritized; what gets prioritized gets done Emily’s Actions Greg’s Actions Impact Evaluate, Measure, Modify "When performance is measured, performance improves. When performance is measured and reported, the rate of improvement accelerates."  -- Thomas Monson

Table of Contents for a Development Plan Introduction Situational Analysis and Challenges Goals- Revenue Targets Goals- Donor targets Objectives, Strategies, Actions Chart Priority One: Board and Staff Development Priority Two: Individual Giving Priority Three: Program-Based Partnerships Priority Four: Foundations and Corporate Donations Priority Five: Communication Plan including Social Media Priority Six: Corporate Sponsorship Priority Seven: Government Grants Priority Eight: Special Events Conclusions A: Competitive Matrix B: Board Member Job Description C: Development Committee Description D: Development Education Training Session E: Grantsmanship Presentation F: Sample Research Profiles G: Corporate Partnerships Presentation H: Marketing Advisory Committee I: Corporate Sponsorship Tools J: Major Gifts Tools K: Third Party Event Selection & Criteria

Questions