JULIA HARGREAVES

Fundraising Success

Aims

To better understand the fundraising options available and their fit with your organisation

To increase your chances of fundraising success

To share fundraising experiences

Selling your vision

Case for Support

1. Share your vision 2. Be clear about the problem/need 3. Explain what your solution is to the

problem4. Clarify the urgency 5. Explain your action plan

Our vision is a world where everyone, everywhere has safe water, sanitation and hygiene.

1. Share your vision

What would make your organisation redundant?

What does success look like?

2. Be clear about the problem

What is the wrong that you are working to right?

Who is affected by that wrong? In what way are they affected?

3. Explain your solution to the problem

What do you do? User journey…What difference do you make? Immediate and long term Provide evidence of your impact or how you

will know you’ll make a difference

Nesta Innovation In GivingUser Journey

4. Clarify the urgency

Who do we need to act now? What would happen without your solution?

5. Explain your action plan

What steps need to be taken? How much will it take to achieve success?

Give options (£) Prepare and plan

buys… –covers… –pays for… –changes… –helps… –enables…

Qualify your decision(deliverable, winnable and financially viable?)

Make it compelling – it’s a pitch

Plan your requirements well in advance

Build relationshipsPut yourself in funder’s

shoes

Top tips

Painting a picture

Simple, short sentences and active language, about the need/people, not your organisation

User journeySentences that help your audience to identify

with your project: “Well, you know how… [everyday situation that

anyone would recognise] “And you know what’s really bad about that is… “So one of the things we do is… “And what’s great about that is…”

Painting a Picture

Fundraising Options

Grants Pros: High ROI, relatively short timeframe (six months +), easy to outsource, could use

major donors to open doors Cons: Restricted, project-based income, will suit some projects over others, requires impact ROI: 10:1

Major Giving Pros: Large donations, Gift Aid, opening doors to corporate and trusts too, easy to

outsource Cons: Timescale – 2/3 years, based a lot on personality of staff, requires commitment from

CEO, founder, trustees even if outsourced ROI: 6:1

Supporters Programme Pros: Unrestricted, dependable income stream, Gift Aid, not resource-heavy Cons: Slow growth ROI: estimated 24:1

Legacies Pros: Unrestricted, large donations, little input needed, can outsource marketing materials Cons: Totally unpredictable, takes 5 to 10 years to see any promotion bear fruit ROI: 50:1 (meaningless)

Fundraising Options

Challenge Events Pros: Unrestricted, easy to trial at low-cost, not huge investment over staff time if stick to open

events, can outsource set up Cons: Need the right audience, effort needed to scale, risk of purchasing places and not “selling”

them ROI: 2:1

Community Fundraising Pros: Unrestricted, volunteer-led, grass-roots engagement Cons: Need staff to grow – which lowers ROI, 3 years to reach maturity ROI: 3:1

Special/gala events Pros: Unrestricted income, useful cultivation of major donors, can become an annual “event”, can

outsource management Cons: Costs don’t flex with tickets sold, time-heavy, requires the right audience ROI: 2:1

Corporate Engagement Pros: Large donations for a small charity, large market, variety of forms of corporate support,

could use major donors to open doors, can outsource set up and some management Cons: Staff as relationship managers are key to success, “brand” opens more doors, takes 18

months+ to see success, corporate partners can be demanding ROI: 5:1

What works for your organisation?

Grant Applications

Supporters Programme

Gala/Special Events

Donor Acquisition

Timescales vs ROI analysis

Major Giving

CorporateSupport

Legacies

Community Fundraisin

g Challenge Events

Online

Enterprise

High ROI 10+:1

Low ROI 2:1

Short timescale

Long timescale

Grant Applications

Supporters Programme

Gala/Special Events

Donor Acquisition

Risk vs ROI analysis

Major Giving

CorporateSupport

Legacies

Community Fundraisin

g

Challenge Events

Online

Enterprise

High Potential Income

Low Potential Income

Low risk of raising nothing

High risk of raising nothing

Fundraising Portfolio Analysis

Internal FitHigh Medium Low

External

Appeal

High Invest/Develop

Invest/Develop

Evaluate carefully/manage selectively

Medium

Invest/Develop

Evaluate carefully/manage selectively

Consider for drop/close

Low Evaluate carefully/manage selectively

Consider for drop/close

Consider for drop/close

What will it cost?

Type of fundraising Annual Income per FT staff*

Avg Salary per FT staff – officer level (Ldn)**

Grants 673,000 £29,500

Major Gifts 356,000 £30,000

Regular Giving 1,200,000 £29,500

Events 257,000 £26,500

Community Fundraising

257,000 £26,500

Corporate Partners 308,000 £30,000

*Institute of Fundraising survey in 2012 **Kage Partnership annual salary survey

What next?

Your Plan

About your organisation – what do you do, how much do you need and for what?

External factors – PEST, competitor analysis, market segmentation, prospecting (e.g. Prospecting for Gold)

Analysing your options Recommendations for investment areas

Useful Contacts

The Institute of Fundraising Regional & special Interest groups Code of Fundraising Practice

LinkedIn Funding Central NCVO Directory of Social Change Third Sector nfpSynergy Local library

grant directories