Tag Archives: nonprofit management

How board members can increase funding without asking for money

 

One of the biggest fears shared by charitable board members is the fear of asking for money. For most charities, raising funds through board members is a duty and, quite frankly, an obligation. But, when push comes to shove, few board members enjoy tapping their friends, co-workers, and fellow community leaders for financial support. Serving on several boards and directly working with many more, I can readily sense board members who dislike soliciting donations.

But why does there need to be such a fear about raising funds?

Board members are typically recruited to non-profit organizations because of their professional or community influence and affluence. They bring significant experience, knowledge, and connections…the ingredients necessary to represent, govern and generate support for the organizations they serve.

When asked about the sources of resistance, the responses I repeatedly receive include the fear of being asked to return the favor to support a different organization; or fear in receiving a negative response; or, fear of potentially impairing a relationship with a co-worker, client, or vendor. These are tough situations for a board member and, quite honestly, future board members.

Here’s my advice to board members who are hesitant or concerned about asking others for charitable donations.

Work with the charity’s staff leadership, specifically the executive and/or development director, to identify prospective donors with whom you have connections. These can be individuals, businesses, and foundations.

Take it a step further by helping them craft a solicitation strategy for each prospect. While each prospective donor may require a different approach, an appropriate amount of cultivation will advance the relationship-building process between the charity and the potential donor.

One very simple, yet effective action you can take is scheduling an initial meeting between the organization (represented by a lead staff or board member) and the prospect.

Creating the opportunity for the organization to identify and cultivate potential “investors” is what non-profit organizations would love to see from their board leaders. It’s quite possible that by taking these simple, yet effective, steps may influence the raising of more money than anticipated!

 

HealthCheck rating tool gathering attention

 

The charity rating and best practice tool, created by NPcatalyst this past January, is becoming increasingly popular with non-profit donors, volunteers, and job-seekers.

The tool was designed to address two distinct, yet critical needs. First, it’s designed to rate charities in five management and performance areas, giving organizations an objective instrument from which to guide their goals and strategies. Second, it’s used as a research mechanism, providing donors with “insider” information, which they can’t immediately or easily find online or through non-profit manuals.

“Launching a new product in a tough industry, especially a product which we created, has been both exciting and difficult,” says Pete Parker, NPcatalyst’s managing partner. It’s taken a considerable effort to educate non-profit organizations as well as business, community, and philanthropic leaders to adapt this innovative tool. “I wanted to create a tool which gives donors a true and in-depth view of non-profit organizations, enabling them to make thought out and well-researched donation decisions.”

The HealthCheck tool analyzes and applies a rating score to organizations in five different operational areas. NPcatalyst publicizes the scores on profile pages create for each charity. “To promote the HealthCheck tool, I’ve been screening the financial efficiencies for organizations located in the three locations where we’re seeing the heaviest traffic of donors and leaders,” says Parker. To date, 200 organizations have been screened and featured on the NPcatalyst website.

As a result of social media marketing, professional networking, and personal connections, visits to the NPcatalyst website have tripled in recent months. “What’s exciting is that our non-profit profile pages are seeing the greatest growth…and we put very little effort into marketing the pages”, according to Parker. The profile page of the first HealthCheck client, Sierra Nevada Journeys, has seen a 205% increase in views in the last month. “My hope, and the goal of this thing, is that Jonathan (SNJ’s executive director) tells me that they’re seeing an equally impressive spike in contributions.”

The HealthCheck tool is available to all non-profit organizations with an active 501(c)3 status. While the financial efficiencies of each may be screened due to public information found online, organizations seeking the full rating and tailored best practices guide will be charged a fee. “I wish we could offer HealthCheck at no cost, but we run a business to help strengthen our clients”, says Parker. “There’s a great deal we offer in benefits, plus we’re happy to work with businesses and foundations looking to underwrite the fees.”

For more information about NPcatalyst or its HealthCheck tool, log onto www.NPcatalyst.com, email info@NPcatalyst.com, or call 775-333-9444.