Why People Choose Not to Give

It’s difficult to imagine the kind of world we would live in if people never volunteered their time, money, or services in an effort to aide others. Without the generosity of those who give, many volunteer and nonprofit groups who help millions of lives each day would likely be unable to operate. As a nation, the total amount that we donated to charitable organizations in 2015 was $373.25 billion, up nearly 25 billion from the year before, and the number is steadily rising. More and more people are choosing every day to share some of their wealth with those who are less fortunate and struggling to make ends meet. While this is certainly amazing, there are still many people who choose not to help others through donating their time and money. Here are a few of the reasons why people choose not to give to charity.

  • They feel removed from the problem.

When people hear about a tragedy happening in another area or nation, while they likely feel pity over the tragedy, it’s less likely to affect them than a tragedy close to home would. As a species, we have evolved to care the most for those who are the closest to us, so when things happen in places we’ve never been to people we’ve never met, it’s more difficult to connect to the victims. Help people see how a devastating blow to any of us can be a devastating blow to all of us and get them involved in giving to others.

  • They don’t believe their donation will make a difference.

To the average, middle class American, parting with $10 doesn’t seem like all that much, just like it doesn’t seem $10 will be able to bring about any change. However, this couldn’t be further from the truth. First and foremost, if every person who donated a small sum of money had chosen not to give, the dollars and cents lost would add up very quickly; there’s no such thing as ‘too small’ of a donation when all who donate to a particular cause are working towards the same goal. Second, the cost of necessities like food and water in areas of dire need are often far below our costs of living; for just $2 you can “provide 7 children with micronutrient fortification for 1 year” and for just $3 you can protect someone for 3-4 years from malaria.

  • They need their money for themselves.

To suggest that you should donate all or even most of the money you make to charity would be ill-advised and likely perpetuate poverty problems overtime. While you need enough money to be able to support and sustain a stable life for your family, try giving up a little so that you can give others a lot. Do you splurge every day on a high-priced coffee? Skip one day a week and donate that money instead. Find little ways that you can reduce what you use by just a little so you can help others by giving them a whole lot.

How to Target Businesses for Donations

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Fundraising can be tricky. While you may be supporting a fantastic and beneficial cause that could change lives, it can be difficult to get people to part from their hard-earned money to help it out. When looking for charitable benefactors, there are definitely right and wrong ways to go about courting donations. If you’re unsure how to even start looking for donators, check out these few tips on targeting specific businesses for donations.

  • Determine which business to target.

If you’re running a nonprofit in your local area, chances are that the businesses within the same area will be the best ones to target. If you need help knowing where to even start, visit your local Chamber of Commerce (and join if you haven’t already) where they’ll be able to provide you with lists of businesses and information surrounding them. From there, narrow down your list. Identify companies with whom you do business, and capitalize upon your already existing relationship. Determine which businesses have a history of donating or have higher ups on the boards of other nonprofits. Businesses who have a history of benevolence will be more likely to lend aid to your cause.

  • Do your research.

Just like in a job interview, finding out as much as you can about the business before you meet with them can make a literal world of difference. Having background knowledge of the business and gathering information on the people with whom you’ll be meeting can help you tailor your speech or presentation to target them individually. Also, it can be helpful to find out if the business has a history of donating to nonprofits and if any board members or executives do charity work or are involved with other organizations. Meeting with people who are already involved in the world of philanthropy and nonprofits can be a huge foot in the door and make it easier for you

  • Go in person.

The best way to get someone to donate their time or money for a cause is by humanizing your cause, and what better way to humanize something than by putting a face to it. By greeting your potential donors face to face, you allow yourself to become a spokesperson for the organization and can represent it in a personal way that an email, gift basket, or pledge drive never could. Putting a face to the cause can help you stand out in the sea of nonprofits and can make your cause more relatable.

Your Top Tips For Running A Successful Nonprofit

Matt Kupec Successful Nonprofit

Many people think that running a nonprofit organization is a breeze. All you have to do is find a way to get some money and donate it, right? Wrong. Fundraising is only one aspect of running a nonprofit organization. Nonprofits focus on finding ways to help the overall community, therefore running a nonprofit may be slightly different than running a for profit business. Running a nonprofit requires a lot of critical thinking skills, as well as the ability to deal with problems and sudden changes. Here are your top tips for running a nonprofit organization.

1. Hire People with Passion 

One of the most important aspects of running a nonprofit is teamwork. It is impossible to run an organization without people who can use their skills and abilities to contribute to the organization. It’s also important to look for people who are passionate about your organization. People that care will help make a difference in your organization which will effectively make a difference in your community.

2. Keep Records of Everything

Keeping record of all the incoming and outgoing financial flows is critical to nonprofit, especially when it comes to filing your taxes. Nonprofits have specific guidelines and exemptions when it comes to filing taxes, so it is critical to keep track of every penny spent or credited to your account. It’s important to have someone in charge of record keeping within your organization.

3. Organization Skills

A big part of running a nonprofit organization is actually staying organized. Nonprofits require a lot of planning and time-management, therefore it is essential to practice your organization skills. Planning is another aspect of running the organization therefore it is critical to know all the details of your organization. Reading books, such as 7 Habits of Highly Effective People can help you get started with organizing your thoughts so that you can apply those skills within your organization.

4. Define Your Goals and Objectives

Establishing and understanding your goals and objectives is critical for the success of your nonprofit. It’s a good idea to have weekly or monthly meetings with you team to see where you are in reaching those goals and objectives. Leadership skills are very important in initiate your organization to work towards the same goals and objectives as a team.

5. Establish Relationships

A large part of nonprofit success is dependent on networking. It’s important to establish relationships with the community and donors because funding and resources can be very scarce. Getting the word out about your organization and how it makes a difference will help establish meaningful relationships that can help make a difference in the future.

Creating Effective Fundraising Campaign Goals

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“What are your fundraising goals?” While it may sound like a simple question, especially for a nonprofit corporation, many NGO firms and charity organizations tend to struggle with the answer. In many ways, their goals go beyond the financial funding competencies where their work is simply meant to drive an overarching impact on the under-resources and under-privileged communities all around the world. As great as it is to have that longer-lasting vision, it is still incredibly broad and unhelpful within the overall operations of an organization. Like it or not, money will always play a role. Because of this, you need to have strong, well established, and well-defined tangible goals in order to see success within your fundraising campaign. Without them, the workplace can feel a bit suffocating and worrisome, especially if there is a lack of direction to help navigate your efforts in the right direction. Having a clear vision of the end-state will allow you to take the necessary steps in order to achieve success. For this to be beneficial, you need to be crystal clear idea on what you are looking to achieve at the end of every quarter.

Setting a fundraising goal is vital because it helps you establish a more collaborative mindset. While easy as it may sound, creating these fundraising goals are incredibly tough. Yes, we can all throw the goal that we want to hit a million dollars. While I will never criticize your professional ambition of hitting that top level, I will question whether or not it is plausible, especially if you’re running a small level fundraiser. When creating your fundraising goal, you want to make sure of two things. The first thing your goals should do is that it should challenge your team each and every day. Many people need that level of challenge and motivation to get them through the mundane task of the office. They need to know there is a light at the end of the tunnel and that their work is steering the train. Now, as much as you want to shoot for the stars, you also want to be tangible about your goals. This brings us to the second requirement when establishing your fundraiser goals. While it is always fun to think about hitting those fundraising makers, you have to live in the realm of reality. Not doing so can be incredibly detrimental to the overall success and growth of the campaign. As much as your goals are meant to push you, they will not be able to be reach if they are clearly unattainable.

Now, as you create these goals, you want to start evaluating the situation holistically. Many organizations make the mistake of being too broad and vague with their targets. To prevent that, you need to analyze and internalize every factor of your fundraiser. To start, analyze the data. Look at the previous success and flaws of last years campaign and evaluate the strengths and positives. From there, you and your team should meticulously breakdown the information in every which way possible. This can be from the number of donors you have to the number of financial gifts you received in that year. The more information you know, the better. Once you have consolidated that information, look at the targeted goals of the overall organization. Ask yourself what the financial cost are for said-charitable resources and implement that into your thinking. This will allow you to truly understand the figure should realistically be looking at moving forward in the future.

In addition to this, try asking yourself specific overarching questions such as: What are you trying to accomplish? Who are you trying to reach? What do you want them to understand about your campaign? These questions will provide a strong overview so that you can establish efficient and effective steps that can lead you to your goals. Think of these as mini-goals. These particular objectives are meant to help you conceptualize your path for success. To help improve this, try and make sure these steps are able to measure progress. This will allow you to analyze whether or not you are on or off track when it comes to your campaign’s achievement.

What is Fundraising Success?

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In many of my blogs, I have discussed the overall ins-and-outs of fundraising. While there is a multitude of avenues and approaches I can continue highlighting, the one that I want to speak more about is the overall fundraising success of an organization. With the immense amount of stress and high standards for a campaign, it is easy to get lost within the day-to-day operations of the job. In fact, with the financial figures in our mind, many workers within the field measure their fundraising success simply by how much the organization was able to raise. In their minds, success is based on getting from figure $X to figure $Y where Y is greater than X. So a campaign is deemed more successful if the current figure is larger than the last year’s figure, right? In the grand scheme of things, getting that number ahead of last years is only half the battle. There are a multitude of factors that need to be taken into consideration before truly determining the overall success of a campaign. 

To start, there are two different types of money getting raised, unrestricted donations and highly restricted donations. Unrestricted donations are funds that an organization can leverage loosely. This can be funding for specific supplies for the foundation of the mission or specific operational cost for the organization as a whole. Whatever is the case, this financial funding is the oil that truly makes a nonprofit run. In comparison, highly restricted donations are those that have more limitations to their use. While they may be easier to raise, they are not necessarily the most impactful, especially if you are looking to grow a new entity of your nonprofit organization. Because of this, it is important to truly understand the overarching impact both financial donations can have on an organization.

In addition to the type of funding that is raised, you also have to consider a variety of other factors such as the starting point of a campaign, last years numbers, the necessary cost for future goals, and the overarching goal of the organization. Because of this, one question continues to come to mind: What is the true success of a fundraiser? In many ways, the answer is simple. While we analyze, breakdown, compare, and internalize the data of the fundraiser, it is all to translate whether or not that financial figure is enough to deliver the necessary resources of the nonprofit organization in executing its mission. At times, funding may not be as high as it was last year. While we would want to do whatever it takes to push that number higher, we have to realize the vision and goals of our philanthropic efforts. By asking that end-goal of ‘What is our mission?’ you will be able to determine an accurate figure that is representative in gauging the overall success of your campaign.

In addition to that, one piece of advice I like to give other people, especially those in the fundraising sector, is to celebrate the wins, even the small ones. When the results of all actions are taken into account, fundraising can be a very difficult and arduous task. To celebrate these victories, especially through the dark times, you will allow your and your team to persevere effectively, effectively and consistently to your campaign’s end-goal. In addition, there are fewer things more uplifting than knowing that you are creating something that will have a strong potential for change. Constantly keeping that your fundraiser’s mission in mind will help motivate and inspire you in eventually reaching that success.  

Allen Proctor – A Vision for Successful Nonprofits

Allen J. Proctor, founder and principal of Proctor’s Linking Mission to Money, has nearly 30 years of experience evaluating the financial health of organizations, developing effective business strategies, and enhancing organizational effectiveness. Proctor has regularly developed innovative solutions to the financial and performance challenges of nonprofit organizations and for-profit corporations. Since establishing his company in 2001, Proctor has worked with clients to build a solid financial and strategic base for their future growth and presented workshops and seminars for audiences of all sizes.

Proctor has worked as a top executive at institutions as diverse as Harvard University (CFO and Vice President for Finance), New York City (Deputy Budget Director), New York State Financial Control Board (Executive Director), and Federal Reserve Bank of New York (Division Chief). Proctor earned his A.B. magna cum laude from Harvard University and his Ph.D. in economics and forecasting from the University of Wisconsin-Madison.

 

Focus on Your Donors

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When it comes to fundraising, it is absolutely imperative that you focus on your donors. As much as you want to continue building growth and development with new benefactors, you want to make sure you cultivate a strong foundational relationship with the individuals who have already contributed to your cause. In the grand scheme of things, nonprofit organizations need to view their operations and logistics as a business. Providing that necessary investment with specific donors, especially your high-valued clients, can, in turn, provide a stronger return on investment.

To start, let’s first examine why so many nonprofits overlook this step. When it comes to focusing on donors, many NGOs and organizations look primarily for growth. While focusing on other avenues and aspects will always be the name of the game when it comes to fundraising, you cannot forget about the individuals who helped established your presence in the beginning. By focusing and investing in your previous donors, you can essentially meet your fundraising goals, quarter after quarter by simply reaching out to that already tapped potential. By involving those individuals with the process, the overall return can lead to either new donations or new donors simply from your interaction and relationship with one client.

To do this, you need to first and foremost build a relationship and rapport with them. Any strong nonprofit organization knows that when it comes to landing a donation, it all begins with how you interact with the person on the other side of the table. Make sure you listen to their intrinsic goals. Ask them those overarching questions of what they believe in and what they are looking for. In many cases, your goals and vision align with their needs. By leveraging that knowledge, you can create that much-needed bond that can continue for years on end.

Once that bond is forged, it will be your job to communicate with that donor. This can be done in a variety of ways. Start by reporting back to them. For many of these donors, they want to know that their donations are leading to something great. Provide them that necessary feedback by reporting how their gifts are making that transformational change on an individual or a community. This can be done through a simple newsletter, appeals, social media, your websites, an email, a phone call, or other communication channels. The more consistent you are the better.  

In addition to communicating and updating your donor, try sending gifts and acknowledgments to them. This will always be important. When you make it a habit to send your donors a thank you letter or a gift of gratitude, you are forging that ever-lasting strong relationship. To continue building on that, consistently update them with information. Share various photos and sentiments of thank you cards from other parties. Here, an emotional appeal will play a large role. Not only will it give you a chance to connect with them, but also it will showcase the impact that their gift has done for another life.

Last but not least, stay donor focus. As stated before, it is easy to get lost within the operations of the day when it comes to fundraising. The simple idea of more donors leads to more donations absolutely works. But by hitting that low-hanging fruit of retaining donors on a long-term campaign, you will be able to see a stronger return as a whole when it comes to meeting your financial goals. To do this, continue communicating with those individuals. Everything flows into communication. Being donor focus can spark a wide variety of opportunities, which will be fundamental for your nonprofit’s future.

TedTalk: Passion is Not Enough

This talk was given at a local TEDx event, produced independently of the TED Conferences. Chris Grundner is the president and CEO of the Delaware Alliance for Nonprofit Advancement. Since his arrival in February 2012, he has enabled the organization to nearly double its membership and significantly expand its reach. Grundner, originally from Buffalo, NY, received his Bachelors in Business Administration from the State University of New York at Fredonia. He earned his MBA from Southern Methodist University in Dallas, Texas. In 1999, Grundner moved to Wilmington to join the co-brand credit card division of First USA Bank as the Director of Business Development. Due to his significant achievements, Grundner became one of the organization’s youngest Senior Vice Presidents in early 2002. However, later that same year, his wife, Kelly, was diagnosed with a malignant brain tumor at the age of 29. Grundner left his job at JPMorgan Chase in 2004 after her passing and started The Kelly Heinz-Grundner Brain Tumor Foundation in 2005 with the goal of bringing national attention to the disease. Through the foundation, Grundner has launched two brain tumor awareness initiatives – GET YOUR HEAD IN THE GAME® and Tulips Against Tumors™ – both of which became national programs when the organization merged with the National Brain Tumor Society (NBTS) in March 2010.

Dan Pallotta: The way we think about charity is dead wrong

Activist and fundraiser Dan Pallotta calls out the double standard that drives our broken relationship to charities. Too many nonprofits, he says, are rewarded for how little they spend — not for what they get done. Instead of equating frugality with morality, he asks us to start rewarding charities for their big goals and big accomplishments (even if that comes with big expenses). In this bold talk, he says: Let’s change the way we think about changing the world.

Providing Constructive Feedback for your Fundraiser

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When it comes to the growth and overall development for any campaign, the success of any fundraiser falls primarily on your ability to internalize the strengths and weaknesses of your fundraising strategy in a strong and holistic manner. By finding various beneficial ways for improvement, you will be able to refine and perfect any mishaps or mistakes that are preventing you from reaching your quarterly and annual fundraising goals.

To start, we have to, of course, understand the concept of constructive feedback. When it comes to constructive feedback, there has always been a negative connotation attached to its name. While difficult as it may be to highlight specific weaknesses within a project or an employee, constructive feedback can provide various positives for growth and development. Think of it like this. In life, settling will always be the biggest hurdle preventing you from success. Settling for anything less than you deserve will only force you to move two steps back than ten steps forward. Similar to this concept, settling on a ‘winning idea’ or ‘the traditional standards’ will only hurt your process for potential development. In order for you to achieve your intrinsic fundraising goals, you need to challenge the overall status quo by reflecting and evaluating what you can do in the future. By assuming that type of ‘do not settle’ mentality, you will be able to take particular negative conversations to positive professional discussions that can essentially improve and mend the skills, capabilities, attitudes, and strategy for your fundraising campaign.

Now, to do this effectively, you have to make sure you start by analyzing your previous campaigns. Go even as far as five years ago to truly gain a holistic understanding of the changes and trends within the data. By having that knowledge, primarily data, in mind, you will be able to uncover specific trends that can help you in the future. Once you have analyzed the campaign to its fullest, begin by cultivating a set of constructive questions that can elude you a more strategic plan.

When it comes to questions, focus on the data. Ask yourself, as well as the rest of the board, what internal and external factors could have led to those positive and negative trends. Analyze specific year-to-year approaches and ask which strategies worked and which ones did not. By thinking critically and asking these overarching questions, you will be able to discover the meaning behind the numbers. For many nonprofits, understand the data beyond the numbers will always lead to something greater. It gives you specific opportunities where you can question the overall facilities and operations of your organization so that group can culminate a strong and impactful attack plan.

Last but not least, you want to make sure you are evaluating the operational side of your organization. This means providing that much needed constructive criticism to your employees and workers. As stated above, constructive feedback is very similar to an overall evaluation for growth. While this can build tension, or even anxiety, for your employees, you want to make sure that every person, at the end of the day, leaves the workplace with a goal in mind.

In the grand scheme of things, there will always be opportunities for improvement. In order to hit your fundraising markers year after year, you want to make sure that you, as well as the rest of your organization, is progressing each and every day. By assimilating that concept of change, you will be able to a variety of growth such as strong leadership, refined operations, and impactful strategies. Remember, strength and growth only come through continuous understanding and change.  Do not let if hinder your abilities. Instead, embrace the new world order.