Session #4 New Approaches and Ways to Fund Ministry South Central District Pastor Teacher Family Conference 2010

WHAT ARE WE FUNDING?  People  Programs  Staffing  Facilities OVERVIEW OF THIS SESSION  Three-Year Appeals  Endowments  Grant Writing

“Over and above” gifts from accumulated assets

It is:  A stewardship appeal for “over and above” gifts  Centered on mission/vision of congregation  Introduced and implemented over 3 -6 months  Invites 36-months (3 years) of planned periodic giving (one-time cash gifts accepted but not encouraged)

 Brick and mortar  Remodeling, repairs and upgrades  Debt  Projects/Programs  Personnel

 Organize and orient  Recruit and train  Build awareness  Unite in prayer  Worship and Bible study  Commit  Collect and celebrate 156 weeks of sustained giving

 Stewardship Bible studies, sermons and prayer  Wide-scale lay involvement in the process  Focus on accumulated assets  Presentations of materials to small groups  Offer an opportunity for joyful generous giving – “Pray and consider” [no compulsion]  Use of formal commitment cards  Equal sacrifice, not equal gifts (e.g. gift pyramids)

 My father’s experience  My own experience

 Joyful and generous giving!  Unity in mission/vision focus  Promotes planned giving  Raises 1 ½ to 3 times of annual funds  Annual giving increases 10% to 30%

A professional consultant can…  Install confidence and support at every step  Provide sound stewardship materials  Offer expertise, training, and mentoring  Develop position descriptions, telephone scripts, letters, and program agendas  Gives oversight to leadership in developing appropriate appeal materials  Help avoid potential pitfalls and mistakes  Offer continued advice, encouragement and support through the entire process

Planned Gifts That Give “Forever”

 A permanent fund bestowed on the congregation to be used for a specific purpose.

 To establish a reserve or nest egg for the rainy day when offerings get low and bills can’t be paid... OR...  To build vision for the future ministry of the congregation?

 Our endowment funds outreach ministry  By establishing an endowment fund our congregation’s members are moved to complete their own gift plans and leave a gift from their hearts to support the Lord’s work

 75% of charitable giving comes from individuals.  87% of people who give to charity give because they were asked.  We ask for cash… but only 9% - 12% of assets are in cash.  It is estimated that $52 - $125 trillion will be transferred before 2030 from funds from one generation to the next.

 Establish  Promote  Grow  Manage

 Research endowments  Get legal advice  Form a committee/task force to establish  Incorporate as a separate 501(c)3  Set up policies and procedures for management and distribution of funds

 Distribute promotional materials (brochures, mailings, bulletin inserts, bookmarkers, newsletter articles, etc.)  Organize a planned giving society  Host an initial kickoff event – open to all  Offer seminars, workshops, etc,

Planned Giving Facts  88% of wealth is held by individuals 65+  The national average for planned gifts is about $20,000 or 20 times an annual gift  It takes 3-5 years for an endowment or planned giving program to begin showing results  80-85% of planned gifts come from bequests Source: NCPG 2002 Donor Survey

Funding for Start-Up and Programming

Types of Grants 1. Corporate 2. Foundation 3. Government OUTLINE  Research  Relationship-Building  Writing

 Know who you are  Know your community  Learn what’s available  Networking through others  Web resources

Funding Information Center 329 S. Henderson Fort Worth, TX Phone (817)

 Focus on your ministry to community needs  Letter of inquiry  Personal contact / networking  Develop a fact sheet  Ministry/outreach focus  Share updates / progress / articles  Follow up and reporting

 Cover letter  Proposal summary  Introduction to operation  Statement of problem or need  Project goal and objectives  Method and schedule  Evaluation criteria and process  Budget

 Importance of clear vision  Maximize congregational stewardship  Example of three year appeal  Plan for transition of funding  Example of Youth Haven

 Challenging and time-consuming  Typically for NEW programming  Required well-developed plan  Needs outreach/community focus  Offers unique but limited funding

   EXAMPLES OF FOUNDATIONS:  