1 Donor Development and Fundraising Dr. Jacob Gordon Kansas University May 22, 2006.

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Presentation transcript:

1 Donor Development and Fundraising Dr. Jacob Gordon Kansas University May 22, 2006

2 Definition of Key Terms Fundraising: The art of generating funds through individuals and/or the philanthropic community for specific purpose/project Fundraising: The art of generating funds through individuals and/or the philanthropic community for specific purpose/project Relationship Fundraising: Strategic activities that are based on establishing relationships with potential givers/donors – individuals and/or foundations Relationship Fundraising: Strategic activities that are based on establishing relationships with potential givers/donors – individuals and/or foundations Leadership: The process of influencing others in making decisions, setting and achieving goals and concurrently, it is the process of keeping the organization together Leadership: The process of influencing others in making decisions, setting and achieving goals and concurrently, it is the process of keeping the organization together

3 What Drives Philanthropy? Three Values Three Values –Generosity: The spirit of giving –Experimentation: Desire to fund creative initiatives –Freedom: Support for the American Dream

4 Why Donor Development and Fundraising? Societal Changes (Demographic, Advancement in Science and Technology, Globalization) Societal Changes (Demographic, Advancement in Science and Technology, Globalization) Challenges (Diminishing federal discretionary funds, natural disaster, terrorist threat, social, economic, and health needs) Challenges (Diminishing federal discretionary funds, natural disaster, terrorist threat, social, economic, and health needs) Organizational Capacity-Building Organizational Capacity-Building Sustainability of Ongoing Programs/Activities Sustainability of Ongoing Programs/Activities

5 Strategies for Donor Development and Fundraising Organizational Readiness Organizational Readiness –Governance and Leadership –Needs Assessment

6 Organizational Readiness Continued… –Business Plan History and Current Position of the Organization History and Current Position of the Organization Market Research Market Research Competitive Business Strategy Competitive Business Strategy Operations Operations Forecasting Results Forecasting Results Business Controls Business Controls Writing Up Your Business Plan Writing Up Your Business Plan

7 Organizational Readiness Continued… – Implementation – Products (Results)

8 Strategies Continued… Tri-Sector Fund Development Approach Tri-Sector Fund Development Approach –Public: Government Agencies –Business Sector –Private: Philanthropy

9 Tri-Sector Fund Development Approach Public: Government Agencies Public: Government Agencies

10 Tri-Sector Fund Development Approach Private: Individual Donors and Philanthropy Private: Individual Donors and Philanthropy

11 Tri-Sector Fund Development Approach Business: Corporate and Small Business Business: Corporate and Small Business

12 Tool Box for Fund Development Donor Database Donor Database Multiple and Culturally Competent Channels of Communication Multiple and Culturally Competent Channels of Communication Foundation Database Foundation Database Federal Register Federal Register Sound Business Practice Sound Business Practice

13 Tips (Action Points) and Resources Get your house in order before embarking on fundraising Get your house in order before embarking on fundraising Don’t feel intimidated about asking for donations for your cause Don’t feel intimidated about asking for donations for your cause Develop donor database Develop donor database Practice relationship fundraising as a total philosophy Practice relationship fundraising as a total philosophy Be aware of all the research resources around and available to you Be aware of all the research resources around and available to you

14 Tips Continued … Be clear and precise about the purpose of your fundraising Be clear and precise about the purpose of your fundraising Use members of your governance and appropriate staff as part of your marketing strategy Use members of your governance and appropriate staff as part of your marketing strategy Practice sound business policies, including fiscal affairs, record keeping, and high ethical standards Practice sound business policies, including fiscal affairs, record keeping, and high ethical standards Celebrate your success Celebrate your success

15 Resources in Fundraising Resources Include: Resources Include: –University Schools of Business –Books and Monographs –Professional Journals –Foundation Directories –Software Materials –Conferences and Reports –Websites –Fund Development Consultants

16 Resources in Fundraising Examples: Examples: –Burnett, Ken. (2002) Relationship Fundraising. San Francisco: Jossey-Bass –Covey, Stephen R. (1999) The 7 Habits of Highly Effective People. New York: Free Press –Hughs, Arthur M. (2006) Strategic Database Marketing. New York: McGraw Hill –Johnson, M. (1998) The Fundraiser’s Guide to the Internet. New York: Wiley –Raymond, Susan (2004) The Future of Philanthropy: Economics, Ethics and Management. New Jersey: John, Wiley & Sons, Inc. –Salamon, Lester (1999) America’s Nonprofit Sector. New York: Foundation Center. –Warwick, M. (2001) Ten Steps to Fundraising Success: Choosing the Right Strategy for Organization. San Francisco: Jossey-Bass.

17 Indicators for Success Organizational Readiness Organizational Readiness Effective Fundraising Strategies Effective Fundraising Strategies Multiple Channels of Communication Multiple Channels of Communication Vision and Mission Statements Vision and Mission Statements Organizational Capacity Organizational Capacity Evaluation Evaluation

18 Questions & Answers You may submit questions pertaining to today’s web cast until 5:00pm EDT, Tuesday May 23, 2006, to the following address: You may submit questions pertaining to today’s web cast until 5:00pm EDT, Tuesday May 23, 2006, to the following address: Answers will be posted at tech.com/web/cbaewebcast as soon as they are available. Answers will be posted at tech.com/web/cbaewebcast as soon as they are available. tech.com/web/cbaewebcastwww.pal- tech.com/web/cbaewebcast