Your Organization's Donation Page

How are you inviting people to invest? Offering opportunities for your group's fans to engage? Creating a chance for individuals to connect to the work. Fans are the ones who can give donations and create buzz and push a movement.

Does your donations page read something like this?

Grassroots Gifts
Participation is powerful. $10 each from 1,000 individuals becomes $10,000. Contribute what you can. Invite your family and friends to participate in Our Organization's Important Activity Fund.

Lead Gifts
Your Lead Gift of $5,000 or more will build the foundation for the Important Activity Fund. Be a Leader and please give generously to the Important Activity Fund. A Lead Gift donation will be acknowledged with a one-of-a-kind premium.

The above examples explain that donations will add up and be valuable to the organization. OK, but not exactly inspiring. Your page needs to tell us how our donations will make a difference to the problem you are working to fix!

Donors/Fans want to help fix what's not right in the world. We appreciate nonprofits because their leaders have a strategy and plan (and presumably, partners and networks and programs) to do this. Nonprofit leaders have done the hard work and all they need now is money, volunteer time, and help spreading the word. Ask us for that and show us how our contributions will make a real difference in the world.

Reflection: National Conference on Service & Volunteering

Let me just say: Chaka Khan.

Really the conference was extraordinary. The opening session, stunning. The sessions, strong. The networking, friendly. The colleagues, creative and sharp. The closing panel discussion, important, and Paul Hawken's closing comments, inspirational. Much of the action was covered live by the folks at MediaGuns.

Somehow, the planners were able to create a conference appropriate for nearly 5000 VISTA leaders, AmeriCorps members, SeniorCorps directors, nonprofit execs, foundation program officers, "capacity-builders" like me, and corporate executives. Anyone in this field for more than 2 hours could imagine how tough that would be.

What ChangeMatters will be doing a lot more of, as a result of our participation:

• Looking for more ways to connect community-based arts organizations with community service action groups;
• Collaborating with colleagues to help service organizations raise more resources, improve governance, and plan for growth;
• Adding more tools to enable us to work more effectively as a growing "new economy consulting firm" (thanks to Laura Gassner Otting for this conceptual framework);
  
• Developing a board orientation program for arts organizations;
  
• Finding fresh venues and creating new ways to just do what we do.

In addition, I'm working on the ChangeMatters soundtrack. Suggestions welcome.

Advice on How NOT to Hire Development Help

Consultant Janet Levine blogs about how __not__ to hire development staff for a nonprofit organization. She identifies real and common issues around making a good hire for these challenging roles.

Here’s are her ideas:
1. DON’T “spend a lot of time thinking about what I really wanted this person to do.”

2. DON’t expect that person to “log in the gifts, send out thank you letters, manage the annual gala and the golf tournament, make nice to board members (but don’t for pity’s sake ask them for anything), keep the files up to date, get out a newsletter, arrange for the bus to pick up….and oh yeah, in your spare time, could you make sure you close the financial gap between our revenue and expenses.”

3. DON’T develop interview “questions that will truly dig into a person’s style and beliefs. “

4. DON’T give candidates “a transparent picture of the situation.”

5. DO create a job description and DO develop “screening questions that have no connection to reality. “

Ten Survival Strategies for Arts Organizations

John R. Killacky writes the most excellent article I've seen on what to __do__ about the economic crisis in the arts. He offers ten survival --or I would say, and Thrive-al-- strategies for arts organizations. Thanks to the newsletter Blue Avocado for highlighting this.

Each strategy is so thoughtful and practical, I had a hard time deciding what to highlight. I'm going with this:

"Capitalize to mission delivery, not sustainability. Michael Kaiser from the Kennedy Center is adamant: 'We mustn't be scared into thinking smaller. Small thinking begets smaller revenue that begets smaller institutions and reduces excitement and involvement.'"

But be sure to read the whole piece.

Resource Roundup: Extreme Fundraising, Pro Bono Help, Facebook Fail?, and More.

Stepping up: Nonprofits cutting costs and raising revenue creatively.

Are your ears burning?: Charities need to track what is said about them online.

Pro Bono: How to overcome a lack of volunteer consultants.

Perspectives: 20 nonprofit & philanthropy blogs written by people of color.

What donors want: Does your website offer it? (via About.com)

Stay exempt: IRS provides online mini-course on the new 990 form for charities.

America’s next top funding models?

It takes money to make money: Nonprofits increase 'gift tax' on donors.

Say “cheese”: Free stock photos online .

Going down: Direct-response appeals suffer in the recession.

Lost “Causes”?: Is Facebook fundraising faltering?

• Response from Beth’s Blog
• Response from A. Fine Blog

Extreme fundraising: Endurance, blogging, and charity.

Merger Madness

Philanthropy News reports on the merger trend.

This can be an energizing idea--and right on strategy--for organizations that have been stuck or stagnating for the last few years...but are now confronting the economic crisis today. The idea is energizing because it's an interesting but tough idea: challenge + opportunity + strategic thinking + openness + hard work=excitement.

Because it's energizing, it is also a strategy that may be really attractive to funders (drama! innovation! cutting edge! Though of course the foundations themselves would never do it, you know, in the interest of efficiency and there being simply too many foundations! LOL).

Anyway, when funders really like an approach, they (bless their hearts) tend to recommend it to everyone. And that means, we (non-profit board members, executives, advisors) must be open, thoughtful, reasonable, "energized," but most of all both strategic and cautious. And while we should be open, we must not be overly influenced by the funding community to jump into a merger process without fully considering and then actively embracing the real cost of restructuring (in resources, time, emotion, culture, distraction).

Mission and money, together, must drive decisions about best opportunities impact (note: I did not say "survival," I said "impact").

Who is considering restructuring now, in this economic climate. What are funders saying?

Here are some excellent resources on nonprofit mergers.

And definitely, read the article by Priscilla Hung, "Time to Merge," which ran in the Jan/Feb 2009 issue of Grassroots Fundraising Journal (scroll down and click on the article to get the free download). She describes in practical terms, some of the issues and challenges, opportunities and successes of their recent merger.

Social Media for Charity? Or for Social Change?

Just posted a comment in response to Beth Kanter's provocative post on whether social media fundraising for good should actually be characterized as social media fundraising for charity, which I've edited and amended below:

So, the charity vs. social change is not a new debate. The tools have changed, and that's what opens up possibilities for doing more, better of each. Where I've always come down is the world needs both front line responsive charity and systemic solutions to tough root problems. As a good friend and trusted colleague says (about the old saying "teach a man to fish..."), "sometimes, in some communities, there is no river."

A lot of the social media fundraising has what feels like "dance for cancer" lite liveliness about it that appeals to the masses. Even when it is addressing tough and deadly serious issues. It gives me a nagging worry that some of these techniques water down the public understanding of the issues.

But I do see promise for using these new techniques and technologies to broaden (albeit shallow) participation __as well as__ deepen the relationships, connections, authentic engagement in __both__ charitable work and social change efforts.

Interesting to note: the blogging and social media folks are focused on (yes, I'll say it) social media fundraising for charity by individuals, not on fundraising/organizing/fan building for social change by nonprofit organizations.

The former is flash. The latter is potential power.

Previous posts on the subject: ROI for Social Media Fundraising and Study Misses Some Points.

We Want Serve America Act, but Without Ridiculous, Irritating, and Unnecessary Lobbying Restrictions

Letter just sent to my Maryland members of Congress (thanks to prompting by Maryland Nonprofits):

Nonprofit organizations in Maryland and across the broadly support the Serve America Act - S 277. However the House-passed "Give Act" (HR 1388)includes an amendment with problem language that would ban legislative lobbying by these public service organizations--a right that should continue to be protected.

Some of the language added by Rep. Foxx of NC, the amendment may include legitimate concerns. But significant pieces are a serious problem for service organizations:

• lobbying, even with private funds and even outside the context of National Service programs;
• participation in national service programs for organizations "co-located" on the same premises as an organization that lobbies for charitable purposes
• "Participating in, or endorsing, events or activities that are likely to include advocacy for or against ... proposed legislation."

Honestly! Charities have been through this fight before. It is not charities who are the lobbying fiends! Charitable organizations cannot do a lot of lobbying (no more than 20% of their activity, and most actually do almost none). The lobbying they do do can only be legislative (not electoral), __by existing law__.

Please oppose this language. Narrow the amendment or prevent it from being added to the Senate Bill or in any conference committee.

Thank you for your support. Amy Kincaid

Ten Nonprofit Funding Models for Giants

Stanford Social Innovation Review includes a brilliant paper that is very useful for the social enterprise/nonprofit leadership field, Ten Nonprofit Funding Models. But as usual, the Bridgespan Group researchers are looking only at the largest nonprofits. Their models were created by looking only at the relatively small group of huge nonprofit orgs (The NonProfit Times’ “Top 100” list (from 2006) and the researchers' list of 144 nonprofits founded since 1970 that have reached $50 million or greater in size).

For the vast majority of the sector's organizations, these models fit sort of, but not perfectly. The Big Bettor, for example, on a smaller scale, ofter can have a quality of, um, Vanity Project and over time doesn't tend to be sustainable without a transformation. And yet, it is a very common, and sometimes for a while quite successful model, financially. Board members and execs of the "regular-sized" organizations could use a framework of their own.

Also missing from this study (I think....and surprisingly...) are arts organizations, even major arts presenters. Wonder what Reynold Levy or Michael Kaiser have to say. And I wonder what leaders of the many local arts (and other) organizations have to say.

How do your the nonprofits you work or volunteer with fit these models?

Study Shows No Surprises, And Misses Some Points

Those of us following online fundraising (even those of us who don't specialize in it) already know that online donors give more per gift, that those first time gifts, when made online are much higher than by mail. I'm not the only person who didn't find surprising the key findings from the just-released study by Target Analytics, a Blackbaud company. Still, it's good to have these points in one place, and it could be a decent discussion topic for the next board meeting.

Allison Fine raises an interesting point that she says the study missed: online giving works differently from direct mail giving because online donors are younger and tech savvy. She questions whether they will become "lifelong members and givers to specific nonprofits" and that they are "going to come and go based on how strongly they feel about an event (e.g. a natural disaster) or a cause (e.g. hunger) at that particular moment in time."

I agree with her, about the aggregate. But in the particular? I'm not so sure. For many of us, admittedly, attention span is now measured in 140 characters. But for the few causes we really care about, I believe we have the capacity for fuller, sustainable attention. Just like in the old days. Before The Facebook.

Fundraising (or rather, movement-building and fan-building) is all about relationship (and organizing). The new tools and techniques do enable __much__ wider outreach, and quite possibly wider and higher initial gifts and more exciting contact. But the harder thing still is how to develop real, authentic, responsive relationships with a smaller group of those initial donors. That wasn't easy with direct mail. It may not be easy to do __well__ with social media.

The real promise in fundraising is that the new tools and techniques (and approaches! like "handing the megaphone to the fans," with a nod to Seth Godin) will enable nonprofits and social enterprises to develop more meaningful relationships with more (but still a select) group of (potentially long-term) fans.

I really hope (want, need) to believe that the world will continue to produce some people who will invest their hearts, minds, and money in improving the world. And I really hope (want, need) to believe that those of us who still do will learn to respond and embrace and engage in both new (technology) and old (relationship) ways. Really, I hope that the new methods enable us to better build relationships, and therefore, more effectively move forward good causes, which will seriously, finally enable us to change things on this planet for us all.

Wish I'd Written This About The Future & Business of Arts Organizations

Brilliant and important and fascinating and powerful discussion started by Allison Fine.

Her post and all the comments are worth reading and considering carefully, but the most powerful words (IMHO) are contributed by Brian Reich:

"To be successful today, you must focus on the content - the substance of what you do, and whether that provides something to the community, or audience, that is valued. Many of the arts organizations (and nonprofits) who I work with seem to believe that their offering is unique and that the audience thirsts for what they offer. But they don’t ask the audience what they want, or try to understand how to fit their work into the busy lives of the people who they seek attention from. They measure success by the amount of money raised or open rates on their email and not the inspiration they offer, people they feed, or happiness they bring. That simply won’t work. The audience is in charge (always has been, they just know it even more now). Arts groups don’t want to adapt to what the audience wants, they want the audience to come to them. And when that doesn’t happen, the arts groups often blame the media for not covering the arts or the economy for failing and leaving people without extra income to spend on things other than basics. Its not the audience’s fault. It’s not the media’s fault. It’s not the economy’s fault. Its your fault (arts groups, and everyone else). Its our fault (audience) for not demonstrating even more clearly what we want and expect from the arts and how we are willing to support it.

The reality is, people will spend time and money on things they find valuable and useful in their lives — arts organizations who are struggling to gain audience are not demonstrating their value (and I would argue in many cases are not in fact offering something all that valuable, when you consider how many other groups are doing the same thing, or something very similar). Its pretty straightforward as I see it.

How do you fix it? There is no silver bullet, no one answer. There are hundreds of ways to add value, some involving technology and some not. Launching a blog or opening a Twitter account doesn’t make what you do any more valuable — accessible maybe, but that’s it. Everything is changing - about how people get and share information, about what we see as valuable and how we spend our time. And as a result, how arts organizations (and newspapers, and everyone else) must change as well. This is not a marketing challenge. This is a structural issue. Deliver value and you will be in a position to make money. Offer people something they need, find interesting, or get a lift from and you will have ample opportunity to grow and have an impact.

Change is tough, and it will take time. You will have to experiment, and fail, and learn, and keep trying. But if you focus on the goal of delivering value to the audience (as they define it), it will seem much easier, and it will work out better for everyone."

OK, nonprofit leaders, managers, fundraisers, social entrepreneurs, capacity builders, funders, enthusiastic art appreciators, community culture leaders, artists, donors, sponsors, teaching artists: so what shall we do to enliven, enrich, engage and work these arts and info cultural assets in __all__ our communities??

Here's one modest thing. What else?

The Joe's Movement Emporium Step Team in Mt. Rainier, Maryland

Resource Roundup: Feline Fundraiser, Nonprofit Survivors, Ticked-off Donors, and More

Survivors: Characteristics of nonprofits that are staying afloat despite the recession.

Hired help: Should you hire a professional grant writer?

Can you say “thank you”?: Only 33% of nonprofits acknowledge gift in online giving experiment.

When it comes to direct mail letters, longer is better.

Beyond direct mail: Reaching Baby Boomers. (via Joanne’s Nonprofits Blog)

Not-so-great expectations: Foundation giving in 2009.

Your donor is ticked off: Now what?

It pays off: Corporate social responsibility is vital for business survival.

Drive time: The cunning genius of the public radio fundraising drive.

Prediction: One in 13 nonprofits could fold this year.

Taxing: Recession, tax plans worry donors and nonprofits.

The giver: Strengthening the legacy of black philanthropy (part 2 of 4).

Out of reach: Endowment laws mean some nonprofits can't touch their money.

Feline fundraiser: Cat raises over $3.500 for animal rescues on Twitter. Seriously.

Rules for Direct Mail

There were some questions about direct mail solicitations in the startup fundraising class last night. Here is more info, from previous Fundraising Breakthroughs posts that describe the tested "rules" and provide tips for direct mail

Improving Your Annual Appeal Letter

Fix Your Annual Appeal

Advice for Reply Slip Amounts, quotes from Fundraising for Social Change chapter on direct mail (by Kim Klein)

Stupid Direct Mail, in which I plead, "Don’t do either of these things!
• The Plain, Cheap, and Ugly Appeal
• The Embarrased and Insulting Message Appeal

Writing a Letter that Asks for Help, Honorably

One of the standby rules in invitations (or other types of) direct mail: Whenever possible, use handwritten addresses.

Aspiring Social Entrepreneurs

The class on Raising Seed Money for Nonprofit Startups last night included aspiring social entrepreneurs working on these issues:

• Income security
• Uniting schools, kids, farmers, and parents
• Cultural diplomacy, reaching youth through hip hop
• People to people exchanges in emerging democracies
• International training for professionals
• Changing the way the health system serves communities

A couple of previous posts occur to me this morning:
• The unbelievable but true things in fundraising that I find myself saying over and over again, and
• Dangerous, but all too common, ideas for people starting nonprofits.


For them and others with big ideas for impact and social change:

• You aren't alone. Here's some context describing a movement and global tribe, of sorts, and its long-standing leaders: Skoll Foundation video re social entrepreneurship.
• Ashoka
• Echoing Green
• Skoll Foundation
• Social Edge (project of Skoll Foundation)
• Change.org
• TED
• Pop! Tech

The Three Amigos on Being Stunned by Success

Another quote from that crazy movie for nonprofit-capacity builders, business advisors, and strategic planning consultants of all types. This time, a scene from what can happen after a huge success.

Subject: Plan B

Dusty Bottoms: Time for plan B. Plan A was to break into El Guapo's fortress.
Carmen: And that you have done, now what?
Dusty Bottoms: Well we really don't have a plan B. We didn't expect for the first plan to work. Sometimes you can overplan these things.