community foundations a charitable giving resource joe sorenson, manager of affiliate relations
TRANSCRIPT
Community FoundationsA Charitable Giving Resource
Joe Sorenson, Manager of Affiliate Relations
Presentation Objectives
1. Community Foundation Overview2. Endow Iowa3. County Endowment Fund Program4. Fundraising Basics
Anything else?
WHAT IS A COMMUNITY FOUNDATION?
MORE ABOUT THE COMMUNITY FOUNDATION OF GREATER DES MOINESAdministers more than 1,200 charitable funds
$300 M + in assets under management & administration
$21 million in grants in 2013
Facilitated gifts of more than $55 million in 2013
39 affiliates throughout Iowa
Transfer of Wealth in Iowa
WEALTH TRANSFER DEFINED
Wealth transferred from one generation to the next
Community Vitality Center Wealth Transfer Study based on county probate records and demographic trends
Projections for the next 50 years (study released in 2003)
THE STUDY SHOWED…
On average, Iowans transfer $4.9 billion each year and over the 50 year period, $531 billion will be transferred.
Dallas County - $74.6 millionMitchell County - $34 millionHenry County - $47.6 million
WHAT ELSE DO WE KNOW?
We know that Iowans are moving more and some may not always stay in Iowa.
We know that over 80% of people will give to charity during their life time but only _____% of people will leave a charity in their will.
How can we attract Iowans to make gifts to endowments that will support our favorite nonprofit, school and community for many years to come?
Endow Iowa
Endow IowaThen donors can be eligible for:
25% tax credit for contribution- in addition to federal deduction for the charitable gift (can carry forward for up to 5 years)
Gifts of cash, appreciated securities, real estate, grain, farmland and retirement assets are eligible to qualify
Limit each year, per taxpayer and also statewide
Endow IowaWith Endow Iowa, donations to community foundation endowments cost donors less.
$1,000Less tax benefits:Net federal tax savings -396Endow Iowa Tax Credit -250Net Cost of Gift $354
Note: Use appreciated assets subject to capital gains and the savings are even better!
County Endowment Fund Program
Background
Counties without a gambling institution receive portion of gambling tax revenue
Currently 85 counties are eligible
In 2013 each county received $132,327.4625% goes into a permanent endowment75% is to be granted out into the
community
Grants Available
Visit IowaCommunityFoundation.org
You will be able to locate the contact information for your local community foundation
Each county has its own grant timeline and guideline
Fundraising Basics
Ways to Raise Money
Sponsorships
Special Events
Bake Sale
Annual Mailings
Direct Fundraising (Proactive)
Grant Writing
Direct Fundraising (Proactive)
Three steps for making a successful ask
1. Preparation
2. The “Ask”
3. Follow-Up
Preparation for the “Ask”
Questions to ask your board/staffHow much money needs to be raised?
Who will you ask?
Who will make the ask?
Why are you asking for money?Define a case for support
Have a plan put in place Keep it simpleStick to it
Development Plan - Example
Goal $250,000 $500,000 $750,000 $1,000,000
Actual $769,425 $993,533
Goal 0 0 1 3
Actual 1 2
Goal 0 0 0 0
Actual 0 0
Goal 0 1 2 3
Actual 1 1
Goal 0 0 0 1
Actual 0 0
Add two new Charitable Investment Partners
Facilitate 10 planned giving calls
Create three Professional Advisor Committees within Affiliates
Raise $12,000,000 in total gifts
Coordinate 30 educational seminars with PA's, agencies & donors
The “Ask”Tips for a successful ask
People give to people Making the “ask” is much simpler when
you have developed a relationship with the donor
It is a fundraisers job to provide the donor the opportunity to give
There must be an actual “ask” Incorrect: It would be great if you would
make a gift to our organization. Correct: Would you please consider a gift
of a $100 to assist our organization in feeding the hungry?
Example of Messaging
Paint a picture for the donorUse statisticsQuotes from those who have been servedRelate their gift to a tangible item
Follow-UpThank your donors time and time again
Ways to thank donorsHandwritten thank you notesListing donors on newsletter/annual
reportDonor recognition eventInvite them to visit your organization
Don’t forget about themCultivate loyal donorsProvide them information of how their
gift is making an impactBe responsive
Grant Writing ResourcesThe Foundation Center – Funding Information Network
Database of all funders nationallyPublic libraries typically have a
subscriptionAbility to sort funders by grant
guidelines
County Endowment Fund ProgramIowacommunityfoundation.org
Funders typically do not fund operations Great resource for startup programs or
expansion projects
Questions?
Joe Sorenson, Manager of Affiliate RelationsCommunity Foundation of Greater Des Moines
Phone: 515-447-4210Email: [email protected]: www.desmoinesfoundation.org