Nonprofit Q&A

A service of Jeane Vogel and Fund Raising Innovations
February 13, 2004

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Here is this week’s question:

I’m the first development director for a well-established (30 years) non-profit working to prevent child abuse and neglect in a small community.  Our fundraising to date has consisted of special events which have been well-supported in the community.  Currently I am writing a development plan (with help from boss and board) for my agency, specifically focusing on creating a donor base.  Since we have never had a membership before, how do I prepare our community supporters for this new approach when most of them have been used to giving in a different capacity (or giving goods or services rather than money)? 

I was thinking about starting a “Members Only” column in our bi-monthly newsletter thanking those who have contributed and encouraging those who haven’t.

Also, is it reasonable to conduct two membership campaigns a year?  I know they’re called annual funds, but shouldn’t it be more frequent?

Congratulations on working to develop a diversified funding base. So many organizations rely on grants, or events or some other single source of funding. When something happens to that funding – and it will – valuable programs are lost.

First, keep your events if they are successful. Revise them if needed, but keep events. Events raise friends and awareness first, money second. Obviously this is where you will go for your first set of new donors. Events also help donors feel connected to your agency and offer lots of opportunities for donor recognition. A column in your newsletter is a very good way of recognizing those contributions.

When you say you are developing a membership, do you really mean donors? Members are people who get something tangible in exchange for their membership. Usually the membership amount is low, so lots of people can be members. To get larger gifts from members you have to increase the benefits and recognition. Membership models can be difficult for some smaller groups that don’t offer much in the way of benefits. It works great for the larger cultural institutions, like a zoo or symphony, because the member gets something of value: free parking, good seats, special performances, and the like. The membership model does not work so well for human services organizations because they don’t have anything to give. The donor amount says low, and it’s harder to reach new people. 

Let’s assume that you are wanting to solicit your special events donors or attendees for unrestricted gifts. The first place to start is with your board. Get a generous gift from each one of them. (See the January 30, 2004 Nonprofit Q&A for more about this topic.) 

I don’t think you have to spend too much time “preparing” the community, but you do need to make your case. In preparing your documents (case statements, direct mail letters, solicitation packets, newsletter, etc.) you will want to say what you want to raise money for and how you are going to spend it. Focus entirely on what results you are going to get and who will benefit. Your case needs to be personal and compelling and tangible. 

The “annual” in annual fund can refer to lots of things: how often a donor gives, your annual goal for unrestricted gifts solicited from individuals individuals, that there is a “theme” every year. It doesn’t mean that you only have to ask once a year. Ask when it makes sense for your donors.  

For example: April isn’t a generally a great month for direct mail, but I do a campaign in the California desert in April every year because that’s when the snow birds are leaving. It’s their “year end” gift. It didn’t make sense to me at first, not being a California desert dweller, but it makes sense to the community, and it works. Sometimes you have to flow with the rhythms of your community, rather than the advice of the “experts.”

It’s been repeated a lot, but when asked most donors say that they don’t give to a particular cause because they haven’t been asked. So don’t be shy. Ask often. You might only do two or three direct mail letters a year, but you can ask in your newsletter and include an envelope with your annual report. Leave envelopes behind when you give talks at community groups. Include at the end of your talk a short fund raising pitch. Ask the community to join you in fulfilling your mission.

 There are lots of things that your campaign can have -- a pithy name, separate logos, flashy promotional pieces-- but it will be successful if you gather your supporters together and pitch the project on its merits.

 © 2004 by Jeane Vogel and Fund Raising Innovations

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Last modified: 09/27/07