Fundraising for Community Groups:
Lessons Learned at Gather Together 2003from Mountain Views, December 2003
At Gather Together 2003, CPC's annual gathering of grassroots organizations from across Western North Carolina, foundation staff and community leaders came together to discuss how to find financial support for grassroots efforts in a time of national recession. Below are some lessons that were pulled out of the discussion, including ideas for successfully working with foundations, and strategies for raising funds from your local community.
Fundraising: Working with Foundations
Foundations are nonprofit organizations that give grants to other nonprofit organizations. There are several kinds of foundations. In North Carolina two common kinds are private foundations (where a family or business has made a lot of money and has set up an organization to give some of it out to nonprofits) and community foundations (where many donors put their money together into a pool in order to give it out to community nonprofits). Foundations play a key role for nonprofit fundraising, but it is important to know that only 7 % of all the money that nonprofits bring in comes from foundations. 90% comes from individual donors.
Before You Apply
At Gather Together 2003, staff from three foundations shared wisdom about what grassroots organizations should do before applying for a grant from a foundation.
1. Get Your Organization Solid. The most basic lesson shared by foundation staff was that you need to have your organization solid and strong before you will be seriously considered for a grant. This means having a mission and vision statement at the base of your work, a strong board of directors and organizational structure, useful and relevant programs, and your nonprofit status (501(c)(3) status from the IRS).
2. Do Your Homework. Find out about the foundation by reading their materials or website. Look at their goals, application requirements, and geographic restrictions; what kinds of work they fund; and who they have funded in the past. See if your organization is a good fit. If it is, get ready to talk about your organization and its mission, goals, programs, budget, structure, and so on.
3. Make the Call. The first phone call introduces your organization to the foundation, and starts building that key relationship. Don't be nervous; the foundation staff's job is to take calls from folks like you. Listen for the fit for your organization. Be honest about where your group is: Paint a true picture rather than an overly rosy one.
Writing a Grant Proposal
Some of the keys here include:
- Have a strong organization, including a strong fundraising plan.
- Your group should write the proposal yourselves, since it's your plan.
- Follow the application guidelines.
- Be clear and specific in stating the need, activities, amount requested, and outcomes of your work.
- Don't be afraid to toot your own horn in describing past successes.
- Be realistic about how much money you ask for and how it will be used.
Hosting a Site Visit
A site visit is when foundation staff visit your organization to learn more. Key ideas here include:
- Let the foundation staff guide the discussion (because they have a set of questions they need answered)
- Have your Executive Director, a project staff person, and at least one board member there
- Be prepared, so that everyone knows the proposal and the budget very well
- Be able to clearly articulate the need, goals, and outcomes
- Relax and have fun - build relationships, because that's the key.
Fundraising: Grassroots Fundraising
Grassroots fundraising refers to efforts by small grassroots organizations to raise money from their local communities. Building a strong and broad base of individual donors allows grassroots groups to do the work they need to do without relying on foundation support (which is often focused on new projects and is usually time-limited). Grassroots fundraising requires a group of volunteers, and many of us are familiar with how it works: sending out letters asking friends and family to support your group's work; house parties where you ask for gifts; events such as raffles and auctions and parties and contests and carnivals....
Asking People for Money
At Gather Together 2003, participants spent the afternoon talking about different aspects of grassroots fundraising. One that came up again and again was that it's all about asking people we know for money. We all feel funny doing this, so folks shared some thoughts on how to go about it:
- You have to get over the fear of asking, and just ask. Ask, ask, ask!
- Show your passion about your work, and let your passion be contagious.
- Ask for a specific amount from each person - make your request specific.
- Prepare and train people in your organization on how to ask; talk about how we're all scared to ask for money.
- It's all about relationships. The people closest to you and your work are the most likely to believe in and support your work.
- Lots of folks will say no. Don't let that upset you.
- Be honest about your group and its work - paint a realistic picture.
- If somebody gives your group a gift, send a prompt thank you note. Hand-written and personalized is best.
- Keep track of gifts to your group. Start a fundraising database so you will know who has given what, and when.
Other Fundraising Ideas
Participants generated many other ideas related to grassroots fundraising in small group dialogues. Some of the highlights were:
- If you want people to come to an event or gathering, you have to work hard to get the word out.
- Events are as good for raising new friends for your organization as well as for raising money. Relationships are the key!
- Some of the many events that participants had been a part of included fish fry dinners, raffles, auctions, parties, fiestas, carnivals, benefit concerts, bingo, house tours, dance contests, men's beauty contests, and "kiss the pig" events.
- It takes a lot of planning, a lot of volunteers, and often a good bit of money to organize an event. Prepare carefully and thoroughly.
- Any time you invite people to a fundraising event, don't worry too much about who ends up not coming; work with those who do!
- Be sure and thank people for their gifts of time and knowledge as well as money.
- Remember, it's all about relationships. People who give are usually people who know you and like your work.
Resources on Fundraising for Grassroots Groups
Kim Klein and Stephanie Roth (Eds) - Raise More Money: The Best of the Grassroots Fundraising Journal (Chardon Press, Berkeley, CA). Key articles from a wonderful journal.
Kim Klein - Fundraising for Social Change (Chardon Press, Berkeley, CA). Best overview of grassroots fundraising.
Vicki Quatmann - You Can Do It: A Volunteer's Guide to Raising Money for Your Group (Southern Empowerment Project, TN). Specifically for grassroots volunteers - uses both words and pictures. Very good. Also available in Spanish.
Andy Robinson - Grassroots Grants: An Activist's Guide to Proposal Writing (Chardon Press, Berkeley, CA). Great how-to-write-a-grant-proposal book, especially for those new to grantwriting.
Michael Seltzer - Securing Your Organization's Future: A Complete Guide to Fundraising Strategies (The Foundation Center). Good overview of all the different possible approaches to fundraising.
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