Wednesday, October 31, 2007

Seven Steps You Need To Take Now To Compete In The Twenty-First Century

By: Jim Gould

Every year is finding nonprofits with more challenging environments for funding their programs and operations. There is less support from Federal and State Governments as they reallocate resources to meet their own expanding needs. Grants from foundations are harder to qualify for, and more difficult to obtain. Yet expenditures keep going up. Programs are more costly to fund, and salaries need to be kept competitive with the commercial sector. There are things every nonprofit needs to do to stay viable. Nonprofits need to recognize that they are operating in a competitive environment. Every donor and every grant are being sought by other nonprofits. Here are seven things you can do to stand out from the crowd.1. Modernize your website. Make it a place that people come to for current information. Keep adding new features as your webmaster makes them available to you. Incorporate features like webmail, flash, search and other applications. Use your website as a conduit to accept donations online. Be sure to include an “About Us” section that does much more than list staff email addresses. Use pictures and biographies to make your web visitors feel they know that person on your staff.2. Sit down with your bank and find out what they can do for you to make your operations more efficient. Use tools such as “Billpay” and direct payroll services to streamline your financial functions. Integrate your online banking activities with your desktop accounting software.3. Start thinking as if you were a for profit. Many non-profits pass up easy revenue by focusing on the tax implications of having that revenue deemed unrelated business income. If that were to happen, the worst is that the IRS can tax that revenue, putting the nonprofit in the same tax position as a for-profit, and still leaving a “profit.” Open a store that sells branded merchandise. Subscribe to online marketplaces that will return money to you when people shop online.4. Review the composition of your Board. Many Boards have members who are chosen not for their ability, but for their contributions to the Organization. Make contributors “Honorary” members with privileges to attend all meetings, but be sure your “Working” members are talented, enthusiastic, knowledgeable, and available to attend meetings and serve on committees.5. Bring in two outside consultants. Have the first expert review your operations and make recommendations for improvement. If you are anticipating a capital campaign, bring in a second consultant to perform a feasibility study. The conclusions of that study will give you a good idea of the likelihood of success, as well as specific recommendations for steps you can initiate now to better qualify you for success.6. Major companies are always asking their customers for feedback. You should do the same. This is the most valuable marketing information you can compile. It will point out areas that need attention, as well as programs that are being well received and could be expanded.7. We are living in a media-driven society. Make sure that newspapers, magazines, TV, and radio are kept informed about the services you provide. Write press releases, invite interviews, and visit with editors.This is a competitive world, but being a non-profit does not mean you are excluded from the consequences. Initiating some of these steps will help put you at the head of the pack.

Church Fund Raiser Ideas

By: Kimberly Reynolds

If you’re looking for some church fundraiser ideas, here are a dozen or so that are fairly easy to put together. These church fund raisers are low cost and take some effort, but they do a great job of raising much needed funds.Bake SaleBake sales are a great way to get everyone together and strengthen the bond with your church. You can do a typical bake sale fundraiser or a Christmas Cookie box sale where you sell tickets and everyone gets to fill up a box with their choice of cookies.Yard SaleDoing a big rummage sale or yard sale in the church parking lot on Saturday morning is a fun way to raise funds. You can get people to donate their items for a general sale, sell tables like a flea market does, or even let people sell things from their trunks for a small fee. Put out a general call for items and let parishioners know that you can send a crew around with a truck for big items from the attic or garage.Community CleanupA great project for a youth group is to do a community cleanup fund raiser. Essentially, your workers get pledges of so much per pound of trash collected and hauled away. This works especially well when the area being cleaned up is a visible eyesore such as a creek bed or illegal roadside dumping area.Car WashThe perennially popular car wash fund raiser is a summer staple and for good reason. Church youth groups can always count on it to raise hundreds of dollars for mission trips and other youth ministry needs.Christmas OrnamentsYou can put together a ’make your own ornaments’ craft class and charge a small fee to each attendee plus make a little extra on supplies. Buy the supplies in bulk in the off-season and schedule yours near the Thanksgiving timeframe. You can also offer Christian-themed ornaments, nativity scenes, decorations, etc. for sale as well.Easter LilliesTo have these beautiful flowers available for sale s few weeks before Easter, plant your bulbs in starter pots in February. Store them in a low-traffic area and nurture them along with some grow lights. With a cost of only a couple of dollars apiece, it’s a surefire moneymaker. Gardening SuppliesAnother easy way to raise funds in the Spring is to host a garden supplies event in the church parking lot. Work with nurseries, yard services, landscaping companies, and mulch or pine straw distributors. Use lots of roadside signs and publicize it the week before to attract a big crowd. Wristband FundraiserThese low-cost silicone bracelets can be ordered in bulk with your slogan of choice for well under a $1. The right color combination and message can create a huge demand. After all, Lance’s Armstrong’s foundation has sold over 80 million LiveStrong bracelets. Consider phrases like Got Faith?, WWJD, PrayStrong, BeStrong, Trust Your Faith, etc.PoinsettiasThese beautiful flowers always sell well around mid-November. Take orders for various types of poinsettias and deliver a few weeks before Christmas. You can also include wreathes and other holiday decorations in your holiday fundraising and make extra profits.RecyclingLong-term fundraisers that help the environment are also popular. You can recycle printer toner cartridges or even used cell phones and raise a steady flow of cash. It’s all about getting the word out and having lots of convenient donation points.Pancake BreakfastA big breakfast is a surefire draw when there’s a good cause behind it. A pancake breakfast fundraiser is easy to do and very low cost. Read the article for five great profit tips and don’t forget to place a big jar labeled ’donations’ right next to the cash register.Portrait DayEveryone loves to have their picture taken and a dress-up portrait day is a great photography fundraiser. Many companies will give you a big share of the revenue and also provide fun costumes for people to where. For example, you could do regular family portraits or offer 1890’s costumes for an old-fashioned feel. To increase attendance, pre-sell appointment certificates offering a free portrait for $10. So there you have it, a dozen or so church fundraiser ideas. Select one, run with it, and have fun!

A Fund Raising Idea That Instantly Funds Any Special Project

By: Robert D. Cavanaugh, CLU


In the next few minutes, you are going to learn the steps to implement a fund raising idea that can raise significant cash within a very short time frame. As opposed to simply asking donors to dig deeper into their pockets, this fund raising idea provides tax and increased income benefits to the donor. If you are involved in any facet of nonprofit fund raising, you can use this technique, for example, to buy or pay off the church organ, add another kennel at the local animal shelter or add a room on to the private school.Three Steps to Funding Your Project 1. Select an insurance agentThis fund raising idea involves annuities; annuities can only be placed by a licensed insurance agent. I would suggest selecting an insurance agent from outside the organization. Look for agents with the CLU, ChFC or CFP professional designations. My experience is that you are asking for trouble if you try to use an insurance agent who is on your board or active in your cause. Chances are there are several insurance agents to choose from and you don’t want to hurt anyone’s feelings. Resist the temptation to spread the business among several agents, as you want to keep things simple.Having been in the insurance business for 35 years, here is my rationale: If any agent within the organization expects to earn the commissions resulting from this fund raising idea, they should have brought the concept to the organization long ago.2. Communicate the Fund Raising IdeaProspects for this fund raising idea are senior members of your organization support group. They should be age 70 or older. The older the donor is, the greater their benefit.Here is a simple outline of the fund raising technique.a. A person donates cash or a highly appreciated asset.b. If an asset is donated, your organization sells the property and pays no tax on the sale.c. A portion of the sale proceeds purchases a single premium immediate annuity on the life of the donor.d. Your organization keeps the difference and can immediately fund your need.e. The donor receives an income tax deduction, which can be spread over 6 years if necessary.f. The donor also receives a guaranteed life income. The rate of return that the income represents is normally much greater than they have been receiving.g. The net result is that the donor receives an income tax deduction and increased income benefits. Your nonprofit receives immediate cash.The agent can assist with presenting this fund raising idea to your constituents. That is his or her forte. Many types of media can be used to communicate the idea; for example, a mailing, a post on your web site, a seminar, or an audio CD outlining the benefits.3. Set Up the Simple Administrative ProcedureMechanically, this is how the entire fund raising idea flows:a. Your organization uses the cash or the proceeds from the donated asset to buy a single premium immediate annuity on the donor. A simple letter is usually required, signed by the donor, to establish insurable interest. A one-page agreement, which complies with the laws of your state, outlines each party’s obligations.b. Each month your organization receives a check from the insurance company for each donor.c. Your organization could endorse these checks over to each donor or you could issues separate checks. The process is very simple. It is just a couple of new line items in your accounting system.SummaryYou may recognize this fund raising idea as a charitable gift annuity. Many national nonprofits have gift annuity programs. However, most small nonprofits do not. This is the power and simplicity of this fund raising idea. It is simple, straightforward and your organization receives funds immediately upon the completion of each transaction.National gift annuity programs do not fund your program immediately. Furthermore, national programs do not realize any gain until the person dies and then the gain goes into their coffers, not your organization’s.If you are involved in a charter school, a church or any nonprofit, here’s how the numbers could work out.Let’s assume there are 500 supporters and this fund raising idea applies to just 2%, or ten individuals. Further, assume that the range of donations is between $10,000 and $50,000, with the average being $25,000.This would bring in $250,000. The cost of the immediate annuities will vary by age, but let’s assume this cost is $125,000. That puts $125,000 in your organization’s pocket.This fund raising idea appeals to the average person. The donor benefits financially in two ways: a tax deduction and a guaranteed life income. Moreover, they get to see the end result of their gift. Your organization receives a large influx of cash quickly to fund a pressing need. This fund raising idea is a win-win for everyone.

It’s A Dog Eat Dog Nonprofit World

By: Jim Gould

You would not be working at a nonprofit if there was not a passion for your mission that compensated for the sacrifices in salary and other benefits you could probably earn in the commercial world. That says something about the kind of people we are. Most of us are:* Trusting. We cannot imagine that there might be bad people in our idealized world;* Optimistic. How could we survive if we did not believe we really could make a difference?* Sympathetic. We are mostly attracted to needy causes or people;* Non-confrontational. We mostly like consensus and seek agreement.* Collaborative. Our comfort level is with working as a team rather than going it alone.These are admirable and useful qualities to have in the nonprofit world. However, there are other people in your industry who do not fit this description. They operate more like they were in competition with everyone. Instead of trusting, they are wary. Instead of being optimistic, they are fearful of failure. Instead of being sympathetic, they are self-promoting. Instead of being non-confrontational, they fiercely stake out and defend their turf. Instead of being collaborative, they prefer to work alone isolated from their colleagues.These people see their nonprofits being in competition with every other nonprofit – and they are absolutely right. However, the qualities they bring to the contest can often be disruptive and ugly. If you do not acknowledge this, you will lose donor dollars, volunteer commitments, membership, and patronage.This article will describe the competitive environment in which nonprofits uncharacteristically find themselves. A subsequent article will deal with the strategies you need to consider in order to meet this challenge. Where is the competition? It is coming at you from all directions:* Geographic – Look at the other nonprofits in your town. Are some of you competing for the same resources? The problem is that if a donor decides, for example, to set up a charitable trust in favor of the hospital, it is unlikely they will consider a similar commitment to you. If the local library sponsors a town fair for their benefit, it means that you should not expect great success duplicating the experience. If a national charity prevails in a time of particular need, be it a tsunami or Katrina, people will channel their beneficence to them rather than you. * Category – If you are a museum, you are in competition with other museums. For example, if you are a local historical society, your constituency may reduce their aid to you if they spend a weekend in Washington, DC at the Smithsonian. You are also in competition for support from your County Museum, State Museum, etc.* Perception – As other nonprofits promote themselves in newspapers, magazines, newsletters, tv, and radio, you will find their name recognition increasing at your expense. Nonprofits need to recognize the importance of promoting their brand.* Economic – If other nonprofits can outspend you on technology, lure talent with higher salaries, extend their markets by advertising and public relations, and spend money on consultants, they are positioning themselves to enjoy the dividends of these investments.There are some ways that you can beat the competition, and create a better environment for the entire nonprofit community. We deal with these in the article “21 Things You Must do to Stay Competitive in the 21st Century.”

Individual Fundraising

By: Kimberly Reynolds

When you are doing individual fundraising for a personal cause such as breast cancer research, multiple sclerosis, AIDS charity, or even personal medical expenses, you need proven fundraising ideas. Here are six ideas for individual fundraisers.Dinner PartyAn easy way to raise funds is to throw a dinner party. You can make it a gala event, a potluck supper, or even a spaghetti dinner for hundreds of people. Use your creativity and design one that you feel comfortable doing.Line up a suitable location and publicize it well ahead of time. Selling tickets in advance at a discounted price is a great way to ensure a sellout. Include raffles, door prizes, and auctions for extra funds.Car Wash & Bake SaleWhy not do a one-two punch of two successful fundraisers in one? Car washes can easily $600 to $1,000 in a single Saturday and you can boost that by offering lots of home-baked goodies.Keep drawing new customers by avoiding the appearance of a long wait. To speed things up, wash cars in multiple lines. Offer the baked goods to all your customers. An easy way to do it is to have everything out on tables where drivers wait while their cars are washed. Sell small boxes for $10 that they can fill up with their selections.Holiday Home TourEver want to see inside some of the latest new homes or tour the best houses of the local historic district? So do lots of other people and it's surprisingly easy to make a great fundraiser out of a themed tour. For instance, new homes displaying the latest interior design fashions can be set up for fundraising. Sell tickets that allow access during a select time window such as week or ten-day timeframe. Builders then sell the designer houses either furnished or just decorated with great colors, draperies, etc. Or, you can arrange a 'candlelight' tour of the Historic District to benefit your cause. Work with the neighborhood association to find homeowners willing to open their homes for a single night. Do guided walking tours in small groups and point out significant sites along the way.'No Talent' ShowA twist on the standard talent show is doing one where everyone can demonstrate their lack of talent. Karaoke routines are popular as are wild dance moves and magic tricks. It's all in good fun and you can award prizes based on audience response, best costume, worst performance, etc.Charge performers a small entry fee and attendees an admission fee. For extra profits, sell food and drinks, offer silent auction items, and don't forget to have a donations jar at the ticket table.Themed DanceDances can be great fun and great fundraisers. All you need is a theme, a place, and some music. Possible themes include Roaring Twenties, Sixties, Disco, New Wave, Pop Tarts, Dancing With The Stars, Dancing Under The Stars, etc.Whatever time period or fashion disasters you choose, live music will draw a bigger crowd than having a DJ will. Book a band that can cover the hits of that particular era and add promote heavily.Add extra fundraising with silent auctions, wine tastings, whiskey tasting, catered dinner, slave auctions, and anything else that fits.Fashion ShowThese make a great mother/daughter event, but you can also take the fun route and include the Almost Queen For A Day men's beauty pageant for laughs during intermission.Work with area stores and designers to line up an appropriate selection of fashions that will appeal to large audience. Include a catered lunch and silent auctions of donated goods and services. You could also work with your business partners to put together a live auction of some donated designer clothing.Individual Fundraisers SummaryThere are lots of individual fundraisers that you can put together fairly easily and still raise significant amounts of money. All it takes is a little event creativity and you're in business.Add as many additional fundraising activities to your event as possible. Raffles, auctions, donations, sponsorships, sales, and discounts are among the most popular methods.Draw a big crowd by publicizing your event with a press release, email campaign, newsletter, and by having everyone involved work their contacts. Most of all, make it a fun individual fundraising event that captures attention and supports a great cause.

A New Twist to Fundraising for Your Organization

By: Michael C. Podlesny

For 13 years I volunteered my time as a youth baseball coach in New Jersey. Nothing was more daunting but also very important then raising funds to keep the league going above and beyond the normal registration fee the league charged. Here is an idea that goes beyond the normal selling candy (which most of the kids eat anyway). A very simple way to raise a good amount of funds that everyone in your organization can take part in, is a pancake breakfast buffet. First you need a venue to cook the breakfast and allow your customers to sit down and eat. We teamed up with a local church who had a complete kitchen. You may look into doing the same or even a firehouse. You serve pancakes and sausage and that is it. Anything more than that and you are creating more headaches then what you need. All the food, pancake mix, syrup, sausage etc., can be obtained by having your members donate it to the cause so there is no out of pocket expense for supplies. Your money is made in two fold, the first is obviously charging a nominal fee to attend the breakfast, usually $5.00 for adults, $2.50 for children and seniors. Pricing will vary on your area. The second, and this is really where the money comes in, is from selling small, business card sized advertisements that will be displayed on a placemat (11 x 17 sheet of paper). We charged $25 for each business card sized ad and $2.00 if someone just wanted to put their name on the placemat under the heading, "We would like to thank the following for the support of the XYZ Organization...". Depending on the size of your organization (ours was quite small, only 100 people), you can make in access of $1,000 or more. As with any type of fundraiser, the more organized you are and the more effort you put out, the better return you will have. I know of one local school in the area that did it and made nearly $10,000 from the fundraiser. Keep in mind when hosting this fundraiser that you should have 2 or even 3 people cooking the food in rotating shifts so that no one is getting burned out. You should also have a few people (depending on the size of the venue), showing customers to available seats, cleaning up tables and putting down new placemats. Also, if your venue allows it, you will want to keep a list of what customers attended, by having them fill out your welcome sheet that captures their names, addresses, email addresses, phone numbers etc. You will use this list the next time you host this kind of event to let them know you are having it again. Trust me when I tell you that I am not much of a sales person, but the ads were extremely easy to sell. Businesses in the area gladly paid the $25 for the spot. They were helping a good cause and at the same time got some ad space in front of potential customers. I recommend starting to sell the ads to businesses you already work with...your local grocer, drugstore or pharmacy, corner deli etc. You can sell names at work to relatives and so on. Now multiply that by the number of people in your ogranization, and you can see the funds add up quick. Well there you have it. It is a great way to raise some funds that will be profitable to your organization and fun for everybody. By: Michael C. Podlesny