Six Steps Toward More Effective Philanthropic Fundraising

Every philanthropic or civic organization must face the reality that there is a need to raise revenue, if they are to effectively conduct their group’s business, as well as have the ability to ensure that their vital and vibrant mission and vision have the best chance of succeeding and moving on. However, many of the most committed philanthropists often avoid money-related issues and focus on their essential plans, as well as the real needs, priorities, and concerns they want to address. The reality is that since fundraising of some kind is a necessity, those involved in philanthropy (and related causes) need to be more effective in raising the necessary funds. With that in mind, here are my type of primer, six steps to make fundraising more effective.

1. Understand and clearly state your mission: This should be done in an interesting, brief way, where the interest of others peaks in 45 seconds (or preferably less). Learn what others care about and explain how supporting your group will address their priorities. Understand that there are many ways to raise income and many types of people, and that one’s approach must be tailored to the specific niche. Large donors may be interested in the opportunity to name a name, but regulars may be more interested in how their contributions will be used effectively, to address something that really matters to them.

2. Show how you approach it: In a transparent way and in as much detail as others are looking for, explain how you will approach the problem – and do so in a meaningful way! Those who donate money want to feel confident that they are making a good decision and that their money is being spent well, towards a good cause.

3. Indicate the benefits. needs: One of the mistakes made by many well-meaning, involved, and concerned people is that they automatically assume that other people have the same information, are so well informed, and therefore feel the same way. Those least involved generally want you to explain the benefits of supporting their cause / group and what needs are being addressed. Avoid the tendency to get bogged down in the minutiae of operations, or to be too lazy.

Four. Spend funds wisely and judicially: How well does your organization handle the money it raises? Whether it is a membership-oriented group, when due is a main source of income, or if it is a donor or event-oriented, it is essential to spend the funds judicially. In today’s digital world, potential donors have the ability to assess ratios related to how money is being spent, so doing so in a prudent and fiscally responsible manner is essential.

5. Answer clearly and convincingly, Because you?: Often there is considerable competition for funds from potential donors. Make your case compelling and show why they should select you, at least as one of the causes they support. Show the benefits provided and how you address the needs, priorities and concerns in an effective and meaningful way.

6. Close the deal: You can do the best job in the first five steps, but unless and until you ask for the money, etc., and so close, you haven’t raised the necessary funds.

It is always a fundraiser’s choice, whether to be simply well-intentioned / philosophical, or rather to raise money! It’s up to you!