I will clean this up later on tonight.  I look forward to your comments!

Ronald Levy – Fundraising

Board of Directors

- raise its size

- raise expectations

- raise involvement

Opening Comments about the Sector

1) trustees want to leave an impression. they do not want to be letterhead board members. chief exec job that board members are fully engaged.

2) pick up the pace and multiply the asks. numbers matter – fundraising is not a college exam. fundraising is a rule of averages

Fundraising is baseball

3) dont just ask often but ask well.”please join me” are the most magical words.

4) convince the right donor who enjoys a strong relationship with the new potential donor. Ask for a specific sum and have the ask come from another done with another relationship.

5) in fundraising shoe leather trumps the keyboard almost always

6) do your homework on potential donors

7) early money is the best kind. EMILY “early money is like yeast”
fundraising is a deeply psychological process

9) pick soon and low hanging fruit friends of the organization and enlarge base

10) ask the already committed for leads advice and guidance and help with solicitation

11) remember that the overall obj is to diversity funding sources and funding methods. aim to develop diverse portfolio of institutional, trustee, individual and governmental

12) methods of raising funds should be diverse – biz sponsorship, special events, major gifts membership programs bequests mail order and corporate giving.

Message to Solicitor

1) fundraising is a branch of salesmanship

2) calling

3) understand never ever a bad season of the year or time of day or econ climate

4) everyone as a potential donor

5) giving as act of patriotic citizenship

6) “No is a delicious beginning to a great conversation!”

Message to Donors

1) give generously and as flexibly as possible

2) offer general operating support not restictive

3) challenge grant offers

4) interest friends and collegues

5) multiyear pledge as symbol of confidence

6) no recession period in which philanthropy has droppe more than 3-4%. even in rough times generous donations are there. $306 billion raised in 2007 is the begiining and is determined by attitude and resourcefullness and purposefullness of those who solicit

Question and Answer

Q – Alternative to large boards and how do you balance too big, great for fundraising and complicated for government?

Fundraising inexpensible to chief executive position.  Complex and active committee structure and informal structure that allows for social engagement, ad hoc problem solving and crosssection and passion and need of institution will allow the chief executive to tap into the wealth of knowledge of the board.

If you want to govern your organization, a dozen directors will be sufficient. Do not look to governance inteh corporate model for governance in the non profit model. Board in non prfit is center of web of influence and advocacy and center of resoucce and consciousness raising for non profit.

For new organizations it takes time to evolve. Gather the resources of your friends. Create artistic advisory board who can and will give generously.

Transitions – pain of transition within the board.  Objectify the need. If you have a board that agrees there is a distance bw the promise and the mission, question is over time how to alter the board to make contribution to resources needed. Grandfather all board members and create new expectation for new cohort of board members. All must adhere to new higher standard. The resident board members – inherited – will do one of two things 1) leave without being asked and 2) increase their own giving.

Q – How do you engage new weath that may not be engraned in philanthropy from their families?

Worst way is talking about the act of philanthropy.

The best way is demonstrating what private resources can do. Taking donors to see refugees or to see service to parents in need or children with learning disabilities. Taking parents to see what happens at lincoln center as a vehicle for transformation.

Do so in the company of peers i.e. peers who also recently came upon wealth who “GOT” the message and understand and who want others to join them.

Experiental exposure.

Q - Approach of making the ask.

Critical rule – ask comes from prospect in versus institution out.

Make donors aware of the prospect and overall condition to the issue.  Lastly reduce it to the program itself.

Q – How do you take message of continuing to be optimistic and respond to the reduction of assets during this economic time?

“When your community needs you most keep spending.”

Fundraising only for people who are optimistic regardless of environment.  Optimism for small donors and charity. Foundations and corporations should focus on newer and younger orgs of great promise that have less absortive capacity than more established orgs who should turn to 80% of philanthropy (individuals).

Q – Narcisistic aspect of Venture Philanthropy who are more interested in programs of own invention, how do you engage them?

Must get out the mind of a venture capitlist that many orgs arent venturing a lot of the time. Be able to talk the language of the venture capitalists to overcome the barrier.

Donor Tet

1) how did we do this year versus last – method and sector

2) how how are we doign this yr based on what we budgeted

3) how are we doing this year compared toour most admired ananlogs

4) who do we admire most that relates to large foundations and major gifts and who do we admire most who is engaged in email philanthropy and how do we compare and how can we do better

5) are we bridging the gap bw the promise of the org and the performance

Complacency and inertia are the most toxic diseases for non profit organizations and they bust me combated.

1) rigerous measurement

2) publicity even when they are critical

3) broad and diverse donor base – listen to donors and non verbal reactions to prospects

4) large and diverse board of directors

Mechanisms to keep org and yourself alive and curious and eager for the next step and growth and development

Q – Potential wealth is it more individuals or corporate giving in relation to prospects in this economy?

Corporate giving requires patience as corporate giving is 20% of the sector. Looking to the 80% of the giving sector – individual donors – is more efficient and effective in our current economic environment. They use emotional intelligence much more easily. They can be arbitrary.  They do not have to answer to a board. Individual donors are the easiest charter route.

Ask – Stare – Wait