Community Fundraising

Introduction

Fundraising is crucial to developing and sustaining a non-profit organization. In today's economy, non-profit organizations do more but operate on less. Raising capital to meet the budget requirement is a growing pressure. Developing a fundraising plan is important to the survival of the organization and will help to keep the organization from closing its doors permanently. To fundraise properly, organizations must begin a process of soliciting funds by requesting donations from community members, including for profit organizations. Fundraising activities allow organizations to collect money to sustain an organization.

The Fundraising Process

Fundraising starts with a clear action plan that includes a mission and purpose of the fundraising activity. Once the mission and purpose is established a committee must be created to lead this new business endeavor. Here are some key factors to consider when raising funds for your organization.

• Everyone on the committee must take ownership of fundraising efforts.
• Make sure you avoid taking huge risks.
• Develop options for volunteer participation and make sure volunteers have fun.
• Develop a specific timeline to complete tasks.
• Actively seek publicity by contacting the local media to promote your fundraising activity.
• Place flyers everywhere.
• Know how much money is needed to cover the costs of your fundraising goal.
• Select a committee chair of an event.
• Start meeting at least seven months before the event.
• Find out what fundraisers have been successful in your community.
• Use a goal chart to track your progress.
• Double check community calendars for conflicts.
• Make sure to control expenses.
• Always show appreciation to volunteers.
• Manage the workload by distributing individual tasks.
• Select a small committee to handle the money.
• Teamwork is the key to a successful process.

The Three Major Types of Fundraising

DONATIONS

Think Big. Organizations that used to raise a few hundred dollars a year are now raising $2-20K.

Ask for donations. Surprisingly, people like being asked to give to a worthy cause. The more you ask and the better you ask, the more successful you will be.

Raise money for specific programs. People get excited about good programs. Focus your fundraising efforts on specific projects.

Ask for specific amounts. This may be difficult, but it is an important consideration. People like to know what you are expecting. Suggest a range, such as a gift of $100 to $500.

Give your own gift first. Investing in your program by making a personal contribution sends a strong message to other potential supporters.

Ask for donations in person. Asking for a donation face-to-face is more likely to result in a donation, or an increased donation than asking in any other way.

Say "Thank you" again and again! There are many ways to say thanks, and people cannot be thanked too often. The best way to thank donors for contributions is in person.

Ask again. The best prospect you will ever have is a past donor. They may be more willing to give than you think.

GRANTS

The basic steps to obtaining and writing a grant proposal should include the following:

• Research grants that are ideal for your organization.
• Write a cover letter.
• Write a summary or abstract of the grant proposal.
• Write an introduction that describes your organization.
• Write a problem statement about what you are trying to accomplish or why you need the funds.
• Write project objectives. What are you trying to achieve.
• Write project methods and design. Provide a step-by-step plan on how you plan to achieve your objectives.
• Write a project evaluation. Determine how you plan to measure the success of your project.
• Write a project budget.

EVENTS

Develop strategies for success.

• Make sure the purpose for the special event is important enough to merit the time and expense needed to properly stage, publicize, and evaluate the event.
• Carefully match the type of event that is selected to the purpose that it serves.
• Select a working committee with broad representation.
• Target groups that have a special stake in the event, such as funders, politicians, business leaders, senior citizens, or parents.
• Start planning at least 3 to 12 months in advance.
• Develop ways to evaluate the event's success.
• Measurable event objectives may include attendance, the amount of money raised.

Make a checklist. A checklist provides a step-by-step guide to organizing and executing a special event. Your checklist might include the following items.

Create a budget. The objective is to provide event planners with a financial blueprint. The budget should be specific and include revenue opportunities such as sponsorship, ticket sales, and donations, concession sales, as well as expenses such as printing, permits, insurance, speakers, food, supplies, and security.

Consider logistics. With many activities going on simultaneously, there are many details to be checked. Major areas to consider and plan for include: size of space or building used, utility support needed, setup (tables and chairs. tents, portable toilets, parking, signage) coordination, cleanup, emergency plan, transportation, and public services such as police and fire departments.

Promote the event. Promoting a special event takes creative thinking balanced with practicality. The primary objective is to publicize the event, but secondary objectives should be considered.

• Determine if you are trying to inform, educate, or entertain your audience.
• Increase awareness or attendance of the event.
• Build a base support from a specific audience.
• Facilitate good community relations.
• Brainstorm all the available media including school newsletters, church announcements, and cable and commercial stations. Make a detailed contact list of all media sources.

Evaluate the event. Take time to evaluate right after the event while the details are fresh. You may want to consider having a questionnaire for participants to complete. Some general evaluative criteria include:

• Did the event fulfill its goals and objectives? Why or why not?
• Identify what worked and what needs fine-tuning. Which vendors should be used again?
• What items were missing on the checklist?
• Was the event well attended?
• Was informal and formal feedback about the event positive?
• Given all that went into staging, was the event worth doing?

Fundraising is important to develop and to sustain an organization today, particularly when funding is limited. But if you develop a clear action plan and determine what types of fundraising options can help you meet your objectives, then you are well on your way to having successful fundraising campaigns.

UNP-0024, June 2011, Roger A. Richardson, Ph.D., Extension Urban Economic Development Specialist, Alabama A&M University

For more information, contact your county Extension office. Visit http://www.aces.edu/counties or look in your telephone directory under your county's name to find contact information.

Published by the Alabama Cooperative Extension System (Alabama A&M University and Auburn University), an equal opportunity educator and employer.

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