Fundraising Requires a Strategy
Fundraising works best when it's treated like a strategy. That means asking a few direct questions before you invest time or money: What are our fundraising goals? Are we reinforcing our message? Who's likely to donate? Is the return worth the investment? And do we have a whole team approach to fundraising?
Get those questions right, and you will be well positioned for success.
Focus on goals first.
Every strategic conversation should start with your goals.
Step one is identifying what the money is for: general operating funding, an on-going program, or a time-limited project.
Step two is identifying how much money you need and the impact you can project if your efforts are fully funded. Achieving clarity on those issues is a prerequisite to addressing the next set of strategic questions.
Reinforce your organization’s message.
At the outset, make sure that your fundraising efforts are reinforcing your organization’s message.
It's tempting to write a proposal or pitch that is overly tailored to your prospective donor. But a funder should hear a consistent story from you, whether they're reading a grant proposal, sitting across from your organization’s leader, or scrolling a social post.
That story should reflect the most compelling reasons for giving you money – what you are trying to achieve, why that is important, what impact you have had thus far, how the money will increase that impact, and your current strategies for advancing your mission.
When your fundraising efforts, strategic plan, and communications contain the same messages, every proposal and pitch reinforces your goals, strengthens your brand, and makes it more likely that you will succeed in raising more money.
Invest your time and resources wisely.
Fundraising is time intensive. Many organizations try to do it all — submitting grant proposals to foundations, seeking major gifts from wealthy individuals, hosting fundraising events, competing for corporate sponsorships, asking for individual donations, and even offering services for a fee.
To increase your likelihood of success, prioritize your efforts based on your projected return on investment (or “ROI”).
A small organization with one to two development staffers or none at all may get a far better return on its investment from cultivating a handful of foundation donors than from running a major individual donor program. Another organization, however, with a well-connected Board of Directors or with a large grassroots base of supporters, may find that a fundraising event or an email and texting campaign is a wise investment.
Once you decide which type of fundraising program has the best ROI, the next strategic question is where to direct your energies. Here are two considerations that may help:
Screen for mission alignment. A donor's giving history tells you more about your odds than their wealth does.
Weigh relationships honestly. As with most things, donors who know you are more likely to give you money. An existing connection — or a realistic path to one — should determine how you prioritize your time.
Make fundraising a team effort
Treating fundraising as a strategy works when a team of people implement it. Program staff should decide how to capture and measure the impact that donors are looking for. Communications staff should figure out how to present that information in a way that reinforces the organization’s message and is compelling to donors.
In addition to directing those efforts, the leadership team, including board members, should do the pitching to donors. They should also be on a constant lookout for additional opportunities to tout the organization’s success to existing donors, reach out to new ones, and promote the organization’s work more broadly.
Conclusion
The right approach to fundraising isn't universal — but it is discoverable once you articulate your goals, determine your focus, screen for mission alignment, and weigh relationships honestly.
Ultimately, strategic fundraising isn't about working harder. It's about working smarter.
To start a conversation with us about building a fundraising strategy for your organization, fill out our form or send an email to connecting@civicaconsultants.com.